It is the first time since the Cuban revolution in 1959 that foreign investors will be allowed to fully own Cuban wholesalers and retailers to start public-private ventures, said trade minister Ana Gonzalez Fraga. Previously, foreign investment was only allowed in the production of goods and in the service sector. The communist state retains full control over foreign trade.
Cuba is currently experiencing its worst economic crisis in 30 years, partly due to the tougher sanctions imposed by the US administration of Donald Trump and partly because the tourism sector has been hit hard by the pandemic. Residents can only buy foods like chicken in specific stores on certain days, and have to queue for hours for them.
The country hopes that allowing foreign investment will improve the availability of food and other goods, Gonzalez Frega said. Unfortunately, previous measures to stimulate the economy have not had the desired effect, she added in an interview on Cuban television.