Inflation indices continue to rise significantly in Cuba. According to a study by economist Steve H. Hanke of Johns Hopkins University, there was an increase of up to 87% at the end of May.
The expert creates a monthly log on the subject. Hanke published a table on the island’s inflation behavior in recent years on his Twitter profile. His studies show that inflation reached exactly 86.66% just a few hours before the end of the fifth month of the year.
Just two weeks ago, Hanke himself described Cuba as the ninth-most country in the world. To reach this conclusion, the expert analyzed the real impact of the measures taken by the island to deal with the current economic crisis.
The Cuban peso plummets
The value of the Cuban Peso (CUP) is plummeting. It turns out that it has lost 63% of its value against the US dollar (USD) since January 2022. Just this week that begins, $1.00 is trading at $195.00 CUP in the informal Cuban market.
According to data released by the National Office for Statistics and Information (ONEI), inflation rose by 45.36% last April. After this alarming number became known, the experts even predicted a worse year 2023 than in the previous year.
For example, the price of food continues its upward trend, with annual growth reaching 70.67% at the end of April. On this topic, ONEI also showed its calculations. In the last 12 months, prices for basic foodstuffs increased by 72.6%.
Rice, cereals, root vegetables and dairy products are among the most sought-after and expensive at the moment. However, all of them had to accept significant promotions compared to the same period last year.