Cuba announces details of currency unification, plans larger-denomination bills

Cuba announces details of currency unification, plans
larger-denomination bills
Published October 01, 2014

HAVANA – Cuba's central bank chief is giving new details of the
elimination of a special currency, saying that the shift will require
putting more Cuban pesos into circulation and issuing
higher-denomination bills.

The elimination of the stronger currency is one of the toughest
challenges facing Cuba's struggling socialist economy, forcing officials
to eliminate a distorted double set of prices for many goods without
spawning inflation.

Most Cubans earn and buy goods in local pesos. The convertible peso used
largely in the tourism sector is also used by Cubans to buy many goods
long unavailable in local currency. The convertible peso is worth about
one U.S. dollar, or 24 local pesos. The highest-denomination local bill
is 100 pesos.

Central Bank president Ernesto Medina tells the state news agency
consumer prices won't change.

Source: Cuba announces details of currency unification, plans
larger-denomination bills | Fox News -
http://www.foxnews.com/world/2014/10/01/cuba-announces-details-currency-unification-plans-larger-denomination-bills/