Cuba adopted on Thursday a vast program of reforms in favor of the market economy to try to put an end to a serious crisis, while the island finds itself under maximum pressure from Washington.
The 176 measures represent the biggest upheaval in the island's economic model since the adoption of communism almost 70 years ago.
AFP reviews some of the most notable measures:
- Private sector
Small and medium-sized businesses, employing up to 100 people, were permitted in 2021 and have become an important part of the economy. With independent workers allowed ten years ago, they now dominate the retail and daily transport sectors.
The reforms adopted Thursday drastically strengthen the role of the private sector. Large companies, with no size limit, will be allowed and Cubans will be able to own more than one company.
Foreign investors will no longer be limited to forming joint ventures with the state, but will also be able to invest in the private sector.
The government promises to reduce bureaucracy for business creation.
State enterprises will be transformed into commercial companies and the state salary scale will be abolished in favor of agreements concluded at the level of each enterprise.
- Energy
Fuel supplies have always been a problem in Cuba long before President Donald Trump imposed a de facto oil blockade on the island of 9.6 million people.
To increase supplies, private and foreign investments will be able to operate in the purchase and sale of fuel.
Tax breaks will be put in place for investments in renewable energies, such as solar panels, which have multiplied in the last two years to deal with the energy crisis.
- Property
Although Cubans have, since 2011, had the right to own a private home, many buildings remain state property.
The reforms will allow Cubans living on the island and abroad to buy buildings, "on a case-by-case basis", and to acquire real estate in areas with high tourist potential.
- Bank
Private investment in the banking sector will be encouraged and citizens and private companies will be able, for the first time, to hold foreign currency accounts.
Remittances from Cubans abroad, a lifeline for many families, will no longer go exclusively through the state and private exchange offices will also be allowed to operate.
- Land
Agricultural land will remain in the hands of the state, but can be exploited by private companies for forestry, agro-tourism and tobacco production within the framework of usufructs for an indefinite period.
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