National Bank of Cuba (redirected from Banking in Cuba)

National Bank of Cuba 

the central bank of issue, credit, and national accounting for Cuba. Established in 1948.

Since 1961, all issue of bank notes, extension of credit, and other banking operations in the country have been vested in the National Bank of Cuba. All other banks in Cuba were nationalized and absorbed. The bank’s initial capital, provided by the state, was 1000 million pesos.

The bank takes part in drafting the annual economic development plan, monitors the plan’s implementation, dispenses government funds, extends credit to all sectors of the national economy, and oversees the fiscal operations of enterprises and organizations. The bank holds the cash reserves of state enterprises and organizations, as well as those of the general population. It also sets the operating rate of return on investments and handles all state insurance affairs.

The National Bank of Cuba has a monopoly on foreign exchange transactions and holds the country’s gold and hard currency reserves. The bank sets the international rate of exchange for the Cuban peso and reconciles all international accounts, including those involving credit. The bank’s central offices are in Havana, with branches throughout the country and agents and affiliates both in Cuba and abroad.

I. G. MAEVSKAIA