Previously, the Cuban peso had been for domestic use and the value of the convertible peso was tied to that of the US dollar.
Reuters cited independent economists charged with investigating as estimating that the real rate of inflation could be anywhere between 100% and 500%. Pavel Vidal, a former economist of Cuba's central bank, told Reuters that the true inflation had largely been occurring in private and informal markets that aren't properly accounted for by government statistics.
Cuban economic indicators come from government data and are not audited by international organizations. Cuba is not part of the World Bank or the International Monetary Fund (IMF).
What will Cuba's economic policy be in 2022?
Gil said hiking salaries would only increase the inflationary spiral and Cuba could not import cheap goods because it did not have the hard currency to do so.
He said that measures adopted this year to increase growth and domestic production would keep prices down. These include granting greater autonomy to state businesses and the legalization of small and medium-sized private businesses.