Dollarization prompts government to change usage of one of its digital payment methods

The Cuban government has just changed the rules of use Prepaid Cards Bond, Newly created in January 2024as a result of the economic plan implemented from that time on, the authorities changed their intentions, i.e. Dollar They go directly to the bank and payments on the island are made electronically.

These cards are issued by the state-owned Banco de Crédito y Comercio (BANDEC) and are intended for Cubans and foreigners living or not on the island. On the day of creation, their minimum deposit amount was $50from which a four-dollar purchase commission was deducted.

Well, according to reports, as of August this year The agency itself reports, Prepaid cards can be purchased for $5 or equivalent in MLC All branches of Banco de Crédito y Comercio in the country and CADECA offices.

That is, from now on, interested people can buy a prepaid card for five dollars, they will receive a four-dollar commission and leave a deposit.

The purpose of the change? As he told Official site CMHW Yanet Méndez Castillo, communications and marketing manager at Villa Clara Bank, said the cards can be topped up from abroad with no maximum or minimum limits and can also be used with cash in Cuba. They will serve as another means of receiving remittances and acquiring dollars circulating in the country.

The card is valid for five years and is used exclusively for the purchase of goods and services in the island’s retail and wholesale networks, as well as the sale of fuel in US dollars at service centers enabled by the military conglomerate GAESA.

To withdraw cash deposited on the card, the original barriers are retained: If the holder of the payment method is leaving the country and wishes to repay the unused amount, up to a maximum of 100 USD or its equivalent in other available currencies, they must always present their flight boarding pass and go to the bank to do so.

Cuban authorities recognize that after years of prohibiting the use of U.S. dollar cash payments on the island, these will gradually be restored. Since August 1 last year, Government accepts Canadian dollars In tourist facilitieswhich can be extended to other business entities.

The Cuban Tourism Board’s Toronto office reported at the end of July last year that since the country is a major source market for Cuban tourists, tourists can pay with debit and credit cards from Canadian banks or cash in the currency.