Benefit of Cuba’s double currency system
Cuba has a double currency system. To get the benefit of this double currency system one must get employment in the tourism Industry. The recent economic reform in Cuba is also encouraging people to seek employment in private sector. People who are earlier employed with the government organizations are now joining tourism related industry to get the benefit of “tourist currency”. Cuba has a separate currency to be used exclusively in the tourism sector to purchase luxury goods.
There is the National Peso and the Convertible Peso. The Convertible Peso (CUC) used to be pegged to the same value as the US dollar, although it is nowadays slightly more valuable. The National Peso is exactly 25 times less valuable than the CUC. This system with two different currencies has basically created two parallel economies within the country. Basic goods and services are bought using the national peso, while any luxury items can only be bought with CUC.