4 Americans in Cuba. Larry Stein
To the dismay of all travelers, Cuba has a dual currency system. The tourist currency, pegged to the dollar, is the convertible peso, referred to as CUC, and pronounced, “cook.” The local currency is the Cuban Peso, referred to as moneda national (mn).
A CUC is worth 25 pesos. Foreign currency cannot be converted into pesos. You must first convert to CUCs and then convert the CUCs into pesos. This conversion may only be made at an official Cadeca. Cadecas are government run, standalone, exchange agencies. After the exchange fee, you will receive 24 pesos per CUC.
Your accommodations, most restaurants, and all transportation will be paid for with CUCs. Food vendors selling pizza, sandwiches or juice should be paid in pesos. The vendors will accept CUCs, but you will receive little, if any, change.
Conversely, some stores have a sign indicating that they accept moneda national and CUCs. These stores always use a full rate of 25 pesos to a CUC, so you should pay in CUCs.
Currency Exchange
Bank line in Santiago de Cuba JS
The picture above is deceptive. The line continues across the street. Forget everything you ever knew about currency exchange. This is a cash economy in a communist country. Cubans don't have checking accounts. They don't have credit cards. There is no online transfer of funds. To get money, or to engage in any number of transactions, Cubans must go to the bank. Lines are always between one and two hours, if not more.
For those who remember the time before ATMs, every day is Friday afternoon, getting cash at the bank for the weekend. But, unlike those halcyon days, Cubans don't have the option to write a check to get cash at the market. There are no checks.
Because this is a communist country you don't have to wait in line at banks. Unlike your previous travels, banks don't have a better rate. The state owns the banks, most hotels and the Cadecas. The rate is the same for dollar exchange everywhere.
The first place you will exchange money is at the airport in Havana. As you exit the building there is an exchange on the left and on the right. Pick the shortest line.
Hotels are your friends. In most cities walk into any 4 or 5-star hotel and exchange money at reception. No line. The alternative is Cadecas. Lines are short, because Cadecas are seldom used by locals. Cadecas require that you show your passport. A copy won't be sufficient.
As I will remind you in the Baracoa section, that city is an exception. The hotels don't exchange currency. The Cadeca has long lines because it's also a Western Union. Most Cubans have relatives in the US, Canada, or Europe. Cubans rely on money, sent through Western Union, from their wealthier relatives overseas. Bring enough CUCs to Baracoa.
Should you need to wait in a line, when you arrive say “ultima.” The person who answers is the last in line. Cubans don't always stay in line. They may sit or run an errand. When the next person comes and asks ultima you will answer. Now you are slotted. You can sit down or run an errand. With a life of waiting in lines Cubans have developed this system of saving places in line.
The exchange rate for dollars to CUCs is one to one, with an asterisk. The exchange fee is 3%. But there is also a 10% penalty to compensate the government for embargo related costs of using dollars in the world banking system. Essentially a CUC costs you $1.13, but is worth a dollar to the recipient. There is no penalty, just a 3% fee, when you exchange your CUCs back to dollars when you leave. Use all of your pesos before you go to the airport, or you will have colorful souvenirs.
If you have Canadian Dollars or Euros, by all means bring them. Of course, you can avoid the 10% penalty by first exchanging dollars in the US for Euros or Canadian dollars. But your cost will be the difference between the buy and sell rate when you exchange in the US, and again when you exchange in Cuba. Savings, if any, will be minimal. As noted, Raul Castro has promised to remove the 10% penalty. We will see.
Intercity Transportation
Sancti Spiritus
There are flights between Havana and Santiago de Cuba, Holguin, Camaguey, Baracoa, and Nueva Gerona. Most likely, you will only fly between your last destination and Havana. Because you are required to arrive three hours before a flight that will usually be two hours late, flying is impractical for short distances.
All airlines are government owned. There is no competition. Cubajet is the largest airline, but which airline you are on will depend on your flight date. Prices are on the high side. One way to Santiago de Cuba is about 170 CUC and to Baracoa, $200 CUC. Planes are fairly comfortable.
In most cases you will travel by bus or taxi. At a cost of upwards of one hundred dollars a day, rental cars are not a cost effective option. Rental fleets are primarily, good looking, but poorly made, Chinese sedans. Some roads can be rough, so better to leave the driving to others.
Depending on the destination, for two people, a taxi is usually between two and three times the cost of the bus. With no intermediate stops, taxis are quicker. Taxis are great for closer destinations such as between Trinidad and Sancti Spiritu. For short hops, not needing a taxi between your accommodation and the bus station, will save you almost enough to make up for the price differential.
Try to get a Peugeot or other French car. Shocks on the Ladas, or most American classics, will be worse than the bus. Don’t expect air conditioning in classics or Ladas.
There are 3 classes of buses. Astro buses are rudimentary, subsidized transportation for Cubans. You won't be allowed to ride them. Your most common choice will be Viazul. These are comfortable buses with air conditioning. For more information and schedules see: http://www.viazul.com/index.php
You will read that you should purchase your tickets 2 to 3 days in advance, particularly in high season. This is good advice, but the only consistency at Viazul bus stations, is inconsistency. At least twice we were told tickets couldn't be purchased until the day of travel. Usually, tickets must be purchased at the station, which requires a cab to and from the stations since they are seldom in the city center. But, sometimes you can buy a ticket at Cubaturs, or another tour office. If you do buy a ticket in advance you must go to the reservation office to check in before boarding the bus.
The best procedure is to try to buy tickets for your next destination when you arrive at the bus station. Another inconsistency concerns luggage. Sometimes you will be charged one CUC for each checked piece, sometimes not.
If you and your wife were each paying 500 dollars per day, you would expect a luxury tour bus. Transtur is a cut above Viazul. Usually these buses, which pick up at the top hotels in a city, are exclusively for tour groups. But sometimes they are dead heading and become open to all comers. The price is only slightly more than Viazul. Tickets are purchased from tour offices. We used Transtur from Cienfuegos to Trinidad.
What to Drink
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