Cuban peso

The peso is one of two official currencies in use in Cuba, the other being the convertible peso. There are 25 CUP per CUC. Most Cuban state workers receive their wages in national pesos, but some receive a portion of their salary in convertible pesos. Shops that sell basic necessities such as groceries accept only national pesos whereas convertible pesos are much more commonplace in "dollar shops" which sell imported commodities and goods; the word "peso" may refer to either currency. Cuban convertible pesos are 25 times more valuable per face value; the convertible pesos are distinguishable from the national ones, as CUC coins have an octagonal shape within the outer round rim. The only exception to this is the most common CUP coin, the 1 peso has this octagonal shape. Before 1857, Spanish and Spanish colonial reales circulated in Cuba. From 1857, banknotes were issued for use on Cuba; these were denominated with each peso worth 8 reales. From 1869, decimal notes were issued denominated in centavos, with 100 centavos for each peso.

In 1881, the peso was pegged to the US dollar at par. The currency continued to be issued only in paper form until 1915. In 1960, the peg to the US dollar was replaced by one to the Soviet ruble; the peso lost value because of the United States embargo against Cuba and the suspension of the sugar quota. The suspension was the main economic force driving Cuba to seek out a new economic partner, the Soviet Union; when the Soviet Union dissolved in 1991, the peso lost much of its value with the exchange rate falling to 125 pesos to the US dollar. It has become more valuable and fluctuated between 23 and 25 pesos to the US dollar. In 1993, during the period of economic austerity known as the Special Period, the US dollar was made legal tender to encourage hard currency to enter the economy; the US dollar was the currency used to purchase some non-essential goods and services, such as cosmetics, staple kinds of food and drink. In 1994, the convertible peso was introduced at a par with the US dollar.

On November 8, 2004, the Cuban government withdrew US dollars from circulation, citing the need to retaliate against further US sanctions. In 1897 and 1898, pesos were issued by revolutionary forces promoting independence. In 1915, cupro-nickel 1, 2 and 5 centavos, silver 10, 20 and 40 centavos and 1 peso, gold 1, 2, 4, 5, 10 and 20 peso coins were introduced; these coins were designed by Charles E. Barber, who designed the Barber dimes, half dollars for the US; the coins were minted at the US mint at Philadelphia. The gold coins and 2 centavos were not produced after 1916, with the large star design 1 peso ceasing production in 1934. A new silver peso showing a woman, representing the Cuban Republic, beneath a star was issued from 1934 to 1939. A centennial of Jose Marti commemorative peso was produced in 1953. Brass 1 and 5 centavos were issued in 1943, with copper nickel composition sporadically from 1915 to 1958. Beginning in 1915, 2, 5, 10, 20 and 40 centavos coins were minted; the last 10, 20, 40 centavo coins were produced in 1952.

As mentioned above, in 1953, silver 25 and 50 centavos commemorative coins were issued. These were the last silver coins issued for circulation; the last US produced. In 1962, cupro-nickel 20 and 40 centavos were introduced, followed, in 1963, by aluminium 1 and 5 centavos. In 1969, aluminium 20 centavos were introduced, followed by aluminium 2 centavos and brass 1 peso in 1983. Cupro-nickel 3 peso coins were introduced in 1990, with brass-plated-steel 1 peso and nickel-clad-steel 3 peso coins following in 1992. 40 centavo coins were withdrawn from circulation around July 2004 and are no longer accepted as payment. In 2017, the Banco Central de Cuba introduced bi-metallic 5 pesos coin (the difference is the denomination and composition. Coins in common circulation are 5 and 20 centavos and 1, 3 and 5 pesos. Between 1988 and 1989, the National Institute of Tourism issued "Visitors' Coinage" for use by tourists. In 1981, cupro-nickel 5, 10, 25 and 50 centavos and 1 peso were introduced, followed in 1988 by aluminium 1, 5, 10, 25 and 50 centavos.

The INTUR coins were replaced by convertible pesos. Under the Spanish Administration, the Banco Español de la Habana introduced Cuba's first issue of banknotes in 1857 in denominations of 50, 100, 300, 500 and 1,000 dollars; the 25 peso denomination was introduced in 1867, the 5 and 10 peso denominations in 1869. During the Ten Years' War, notes were issued dated 1869 in the name of the Republic of Cuba in denominations of 50 centavos, 1, 5, 10, 50, 500 and 1000 pesos. In 1872, 5, 10, 25 and 50 centavo, 1 and 3 peso notes were introduced by the Banco Español de la Habana. In 1891, the Treasury issued notes for 10, 20, 50, 100 and 200 pesos. In 1896, the name of the bank was changed to the Banco Español de la Isla de Cuba, it issued notes in denominations of 5 and 50 centavos and 1, 5 10, 50, 100, 500 and 1000 pesos, followed by 10 and 20 centavos in 1897. In 1905, the National Bank of Cuba iss

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