The Cuban government continues to strengthen and expand commerce in dollars throughout the country. Now it's Holguín's turn, as it has just opened its first store using this currency, and it did so amidst a blackout.
"Visit us at Agua y Jabón. We look forward to seeing you at the Las Maravillas store on Frexes / Maceo and Mártires street," announced the Tiendas Caribe chain on Facebook.
The store, which previously operated in MLC, was inaugurated this past Tuesday, February 18, and sells toiletries, perfumes, cleaning products, household goods, and baby items.
Payment is accepted only in cash dollars or bank cards in USD, including both international cards and the Clásica offered by the CADECA network.
According to a report from CubaNet, the store occupies an area of about 190 square meters with around twenty shelves. The managers posted posters on the glass facade, and very little natural light enters, which makes it difficult for customers to shop during a power outage.
The schedule is from 9:00 AM to 4:30 PM, but they are closing an hour early to assist workers with the manual counting of sales, as the power outages prevent this from being done with the machines.
Unlike what happened in dollar stores opened in other provinces, there was no advertising for the one in Holguín. "We have to do it discreetly; we know this causes discomfort to the population," commented a worker.
This type of business is part of the government's strategy to generate foreign currency, while the supply in the national currency remains inadequate.
For most of the population, who receive their salaries in Cuban pesos, these stores exacerbate social differences and do not resolve the crisis.
"The MLC is messed up. It was empty and now everything is showing up," questioned a user in the comments section of the Tiendas Caribe post.
"The dollar is what moves. What is left for the humble, is the question I ask myself," another person remarked.
"If it were kept in MLC, there wouldn't be so many offers, which is a great disrespect to the people," stated a third party.
At the beginning of the month, the Cuban government opened a new dollar store in Havana, also dedicated to selling hygiene and perfumery products.
The establishment, managed by the mixed company MCM Camacho S.A., is located on the Boulevard de San Rafael, where the Giralt appliance store used to be and which sold recycled clothing a few years ago.
Virgilio Arencibia Villa, the company's treasurer, explained to the press that they initially started with the perfumery sector, but that a market area will be opened as opportunities allow.
In its desperate effort to attract foreign currency, the Ministry of Domestic Trade announced the upcoming opening of 50 new dollarized stores.
Deputy Minister Aracelys Cardoso Hernández acknowledged at the Round Table that the supply in national currency is inadequate due to the contraction of production and the shortage of foreign exchange, which hinders the restocking of domestic trade.
The Cuban economist Pedro Monreal criticized this economic policy of the regime, asserting that the expansion of trade in foreign currency deepens the "economic distortions" in the country.
"Every time sales in dollars expand in Cuba, the 'economic distortions' that the government claims to want to correct are reinforced. Selling more each day in a currency in which salaries and pensions are not paid is an economic policy error," Monreal stated on his X account.
Frequently Asked Questions about the Opening of Dollar Stores in Cuba
Why is the Cuban government opening stores in dollars?
The Cuban government is opening stores that accept dollars as a strategy to attract foreign currency amid an economic crisis and a shortage of products in the national currency. This process of partial dollarization aims to generate revenue through foreign currencies to keep the economy afloat.
What products are sold in the dollar stores in Cuba?
The dollar stores offer a variety of products that include toiletries, perfumes, cleaning supplies, household items, food, beverages, and baby products. These products are both domestic and imported and are generally better stocked than in stores operating in the national currency or in freely convertible currency (MLC).
How does the opening of dollar stores affect the Cuban population?
The opening of dollar stores has generated inequality and discontent among the Cuban population. Most Cubans receive their salaries in Cuban pesos, which makes it difficult for them to access these stores. Furthermore, this measure has exacerbated social differences, as only those with access to foreign currency, typically through remittances, can shop in these establishments.
What is the impact of partial dollarization on the Cuban economy?
Partial dollarization has intensified economic inequalities and has led to greater dependence on foreign currencies in Cuba. At the same time, it has exacerbated shortages in stores operating in the national currency, as many products are diverted to the dollarized system, leaving a large part of the population without access to basic goods.
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