The peso convertible is issued by the Republic of Cuba for foreigners who temporarily located in the country and overseas Cubans to secure government control over the foreign exchange traffic. It must be used for nearly all services such as hotel accommodations, restaurant visits, public long-distance transports and international postal services, as well as for the purchase of many higher quality or imported consumer goods, food subsidized by the Cuban State and for fuels.
The official exchange rate is equally pegged to the U.S. dollar. The exchange rate to the Cuban peso is officially committed on 1 CUC = 24 CUP (buy) or 1 CUC = 25 CUP (sell) (as of 2012).
Differently as its name suggests the peso convertible is not freely convertible.