The Cuban government has further embraced dollarization by opening a new store in Havana that operates exclusively using U.S. currency. This move comes amid criticism over the widening economic divide on the island.
The newly opened establishment, previously a store in Moneda Libremente Convertible (MLC), is situated at La Quincallera, part of the Tiendas Caribe chain, located on Avenida 51 in the Marianao municipality. Under the initiative "Agua y Jabón," this retail outlet offers essential personal hygiene and household cleaning products, accepting various international and local cards with special incentives, as announced by the Habana Oeste Division on their Facebook page.
Images from inside the store reveal well-stocked shelves filled with liquid and powder detergents, fabric softeners, soaps, shampoos, and personal care items. This development highlights the ongoing transformation of Cuban commerce, where access to quality goods and services increasingly hinges on the ability to transact in dollars.
Recently, Ernesto Martínez, the first vice president of Cimex S.A., stated on the official television program Mesa Redonda that the expansion of dollar-only stores is a gradual effort, particularly targeting small markets that are easier to supply.
In this scenario, the regime has insisted that MLC accounts will remain in Cuban banks while defending the dollar's role in the economy. Following the opening of the 3rd and 70th Supermarket in Miramar, Havana, which was touted as "accessible" for the general population despite high dollar prices being out of reach for many Cubans, other similar establishments have followed suit.
The most recent addition is the store “Las Maravillas,” located on Frexes Street between Maceo and Mártires in the city of Holguín. Previously operated in MLC, it officially opened on Tuesday, February 18, and sells hygiene products, cosmetics, cleaning supplies, household items, and baby products. Unlike other dollar stores inaugurated in different provinces, the Holguín location was opened without any publicity. "We have to do it discreetly; we know this causes discomfort among the population," a worker commented.
Understanding Cuba's Dollarization Strategy
Why is the Cuban government opening dollar-only stores?
The Cuban government is opening dollar-only stores as part of a strategy to increase the availability of goods and services by leveraging foreign currency, which is perceived as more stable and valuable than the local currency.
What products are available in these new stores?
The new dollar-only stores offer essential personal hygiene products, household cleaning supplies, cosmetics, and baby items, among other goods.
How does this affect the economic divide in Cuba?
The introduction of dollar-only stores may exacerbate the economic divide in Cuba, as access to these stores is limited to those who have the means to acquire and use foreign currency, leaving many Cubans unable to afford the goods offered.