{"id":16175,"date":"2026-06-18T23:02:17","date_gmt":"2026-06-18T23:02:17","guid":{"rendered":"https:\/\/siliconvalleymovingpost.com\/?p=16175"},"modified":"2026-06-18T23:02:17","modified_gmt":"2026-06-18T23:02:17","slug":"what-to-know-about-cubas-economic-measures-aimed-at-opening-up-the-islands-economy","status":"publish","type":"post","link":"https:\/\/siliconvalleymovingpost.com\/?p=16175","title":{"rendered":"What to know about Cuba\u2019s economic measures aimed at opening up the island\u2019s economy"},"content":{"rendered":"<div><p><strong>By ANDREA RODR\u00cdGUEZ<\/strong><\/p>\n<p>HAVANA (AP) \u2014 Cuba\u2019s Communist Party has approved an emergency economic package featuring unprecedented free-market measures aimed at opening up the struggling island\u2019s economy following heightened pressure from the United States.<\/p><p>Read more <a href=\"https:\/\/siliconvalleymovingpost.com\/?p=16169\">Alleged UFC attack plotter\u2019s behavior worried Calimesa family, which kept quiet, FBI says<\/a><\/p>\n<p>While the full document has not been released, here are some of the proposals, based on statements by Cuban President Miguel D\u00edaz-Canel and other officials.<\/p>\n<div><ul><div><div><li><div>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" alt=\"A worker unloads boxes of fruit at a state-run market...\" class=\"wp-image-16171\" height=\"683\" src=\"https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/e83857d07f073f3e5ad82f524ba4b188-1024x683.webp\" width=\"1024\" srcset=\"https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/e83857d07f073f3e5ad82f524ba4b188-1024x683.webp 1024w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/e83857d07f073f3e5ad82f524ba4b188-300x200.webp 300w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/e83857d07f073f3e5ad82f524ba4b188-768x512.webp 768w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/e83857d07f073f3e5ad82f524ba4b188-1536x1024.webp 1536w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/e83857d07f073f3e5ad82f524ba4b188.webp 1860w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n<div>A worker unloads boxes of fruit at a state-run market in Havana, Cuba, Wednesday, June 17, 2026. (AP Photo\/Jorje Luis Banos)\n<\/div><\/div><\/li><li><div>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" alt=\"People walk past graffiti in the colors of the Cuban...\" class=\"wp-image-16172\" height=\"682\" src=\"https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/efd427728848bdb18f1ed9ca7b46aae4-1024x682.webp\" width=\"1024\" srcset=\"https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/efd427728848bdb18f1ed9ca7b46aae4-1024x682.webp 1024w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/efd427728848bdb18f1ed9ca7b46aae4-300x200.webp 300w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/efd427728848bdb18f1ed9ca7b46aae4-768x512.webp 768w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/efd427728848bdb18f1ed9ca7b46aae4-1536x1023.webp 1536w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/efd427728848bdb18f1ed9ca7b46aae4.webp 1860w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n<div>People walk past graffiti in the colors of the Cuban flag in Havana, Cuba, Wednesday, June 17, 2026. (AP Photo\/Jorge Luis Banos)\n<\/div><\/div><\/li><li><div>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" alt=\"A man works on a classic American car in Havana,...\" class=\"wp-image-16173\" height=\"683\" src=\"https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/05919be720cd0df1091284094fd6328f-1024x683.webp\" width=\"1024\" srcset=\"https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/05919be720cd0df1091284094fd6328f-1024x683.webp 1024w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/05919be720cd0df1091284094fd6328f-300x200.webp 300w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/05919be720cd0df1091284094fd6328f-768x512.webp 768w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/05919be720cd0df1091284094fd6328f-1536x1024.webp 1536w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/05919be720cd0df1091284094fd6328f.webp 1860w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n<div>A man works on a classic American car in Havana, Cuba, Wednesday, June 17, 2026. (AP Photo\/Jorge Luis Banos)\n<\/div><\/div><\/li><li><div>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" alt=\"People push a broken-down, classic American car past a pile...\" class=\"wp-image-16174\" height=\"682\" src=\"https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/d588477ffb36c4325567e17f475847b0-1024x682.webp\" width=\"1024\" srcset=\"https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/d588477ffb36c4325567e17f475847b0-1024x682.webp 1024w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/d588477ffb36c4325567e17f475847b0-300x200.webp 300w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/d588477ffb36c4325567e17f475847b0-768x512.webp 768w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/d588477ffb36c4325567e17f475847b0-1536x1023.webp 1536w, https:\/\/siliconvalleymovingpost.com\/wp-content\/uploads\/2026\/06\/d588477ffb36c4325567e17f475847b0.webp 1860w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n<div>People push a broken-down, classic American car past a pile of trash in Havana, Cuba, Wednesday, June 17, 2026. (AP Photo\/Jorge Luis Banos)\n<\/div><\/div><\/li><\/div><\/div><\/ul><div><div>A worker unloads boxes of fruit at a state-run market in Havana, Cuba, Wednesday, June 17, 2026. (AP Photo\/Jorje Luis Banos)\n<\/div><span>Expand<\/span><\/div><\/div>\n<h4>Decentralize state-run economy<\/h4>\n<p>Measures are expected to further decentralize Cuba\u2019s state-run economy. Under the island\u2019s current economic model, the government largely determines what is produced, who produces it, the prices at which goods are sold and how the country\u2019s resources are allocated.<\/p>\n<h4>Nonspecific changes to foreign exchange market<\/h4>\n<p>Currently, only state agencies and banks can exchange currencies, though many people rely on the informal market.<\/p>\n<h4>Government downsizing<\/h4>\n<p>Legislation has been introduced to reduce the number of ministries from 27 to 21 for greater efficiency.<\/p>\n<h4>Municipal independence<\/h4>\n<p>The measures would give municipalities greater authority to approve businesses operating within their jurisdictions and to manage relations with economic actors, including state-owned enterprises, cooperatives and private companies. Municipalities also would be allowed to import and export goods and manage their own foreign-currency revenue. Cuba has 168 municipalities across its 15 provinces.<\/p>\n<h4>Autonomy for state-owned companies<\/h4>\n<p>Companies would be allowed to design their own pay systems, use and distribute profits with fewer restrictions, import and export goods, and enter into partnerships with private businesses and cooperatives.<\/p> <div>\n<\/div>\n<p>The reforms also would broaden the range of activities that state-owned companies are permitted to undertake. Cuba has about 2,000 state-owned enterprises.<\/p>\n<h4>Elimination of state intermediaries<\/h4>\n<p>Under the proposed changes, businesses, including small and medium-sized enterprises, would be allowed to import and export goods directly rather than through state-run entities that currently oversee the process and set fees.<\/p><p>Read more <a href=\"https:\/\/siliconvalleymovingpost.com\/?p=16167\">Police shooting of a 1-year-old Mississippi boy ignites tension between police and Black residents<\/a><\/p>\n<p>The measures also would provide incentives for the import of inputs and raw materials used in production.<\/p>\n<h4>Subsidies to phase out<\/h4>\n<p>Cuba\u2019s post-revolution rationing system long guaranteed access to basic products at low, controlled prices. However, upcoming reforms will gradually phase out these subsidies, moving food and other goods to market pricing.<\/p> <div>\n<\/div>\n<h4>Rebuilding abandoned infrastructure<\/h4>\n<p>Recent U.S. sanctions against Cuba\u2019s business conglomerate Gaesa have forced historic hotel chains like Meli\u00e1 and Iberostar to suspend contracts with their Cuban counterparts. New measures include finding new ways to utilize the island\u2019s nearly abandoned infrastructure.<\/p>\n<p>D\u00edaz-Canel has said the emergency plan and the policy document prepared by the Communist Party\u2019s Central Committee were shaped by the experiences of China and Vietnam, two communist countries that have introduced market-oriented economic reforms while maintaining one-party rule.<\/p>\n<h4>Mounting US pressure<\/h4>\n<p>The announcement of the new economic measures follows months of mounting U.S. pressure and high-level talks between the two countries, which have included former President Ra\u00fal Castro\u2019s grandson, Ra\u00fal Guillermo Rodr\u00edguez Castro.<\/p>\n<p>The United States has long restricted trade with and travel to Cuba in efforts to get the Cuban government to release all political prisoners, end political and religious repression and open its economy to private U.S. investment.<\/p>\n<p>The Trump administration has ramped up that pressure in recent months, imposing a fuel embargo on the island and indicting Ra\u00fal Castro in connection with the 1996 downing of two civilian planes operated by Miami exiles.<\/p>\n<p><em>Follow AP\u2019s coverage of Latin America and the Caribbean at https:\/\/apnews.com\/hub\/latin-america<\/em><\/p><p>Read more <a href=\"https:\/\/siliconvalleymovingpost.com\/?p=16165\">Family of man fatally stabbed while charging EV in Downey Civic Center sues city<\/a><\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>Cuba\u2019s Communist Party has approved an emergency economic package featuring unprecedented free-market measures to open up the struggling island\u2019s economy.<\/p>\n","protected":false},"author":1,"featured_media":16170,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"class_list":["post-16175","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-world-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - 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