Manuel Marrero, Cuba’s prime minister, presented his economic reform plans to parliament on Thursday. The intention is to move the country more towards a free market economy, including by privatizing state-owned companies and allowing foreign investment.
Source: Belga
“This is the most far-reaching economic reform of the past 70 years,” economist and columnist Daniel Torralbas told the French news agency AFP. According to Torralbas, the main intention is to expand the role of the private sector in the Cuban economy. He therefore speaks of “drastic reforms, not merely cosmetic adjustments”.
Cuba’s Communist Party gave the green light to the plans on Wednesday. The privatization of state-owned enterprises, among other things, stands out. The regime will also allow companies with more than 100 employees for the first time. This concerns a total of 176 concrete proposals, according to Prime Minister Marrero.
Cuba, an independent island nation in the Caribbean Sea, has been in economic troubles for years. In 2021, the regime allowed small and medium-sized enterprises with up to 100 employees for the first time, to calm social unrest among the population.
The oil embargo that the United States imposed on the country in December has only increased the pressure for reforms. The island has since suffered regular power outages and food shortages, making it partially dependent on humanitarian aid.