Cuba’s Tiananmen?

Source: Liberty
by Robert H Miller

“What has seemed like a sudden phenomenon of discontent actually began in January 2021, when the Cuban government announced the merger of two currencies, the CUC and the CUP, resulting in a 2300% devaluation of the CUP, Cuba’s national currency. Since its introduction in 1994, the CUC, or convertible peso, has been pegged at par with the US dollar. On the other hand, the CUP has fluctuated unpredictably with the CUC and has been subject to price controls and every sort of government manipulation imaginable. … Then on June 21, Cuban banks announced that they would no longer accept US dollar deposits. Since 90% of remittances to Cubans come from the US, this piles another unexpected level of adversity onto the longsuffering Cuban people. … A recipe for disaster? With Cuba’s foreign exchange plummeting, imports are drying up.” (07/14/21)