Cuba approves 176 measures to expand private enterprise and foreign trade

Cuban authorities approved 176 measures this week that expand the role of private businesses, permit private banks, and allow direct imports and exports without state intermediation. The package also authorizes foreign fast-food chains to operate on the island and lets Cubans living abroad invest in domestic projects.

Officials said the steps are intended to diversify production and ease chronic shortages.

Scope of the changes Under the new rules, companies may hire workers freely and set their own prices in many sectors. The state monopoly on foreign trade, long a central feature of the economy, has been lifted for most goods. A Cuban-American political scientist noted that pillars of the previous system, including centralized allocation of resources, have been dismantled.

Implementation hurdles Authorities cautioned that results will depend on external conditions. They said many measures cannot function fully while an energy and financial embargo remains in place. Blackouts lasting up to 20 hours a day have already limited health care, transport, and schooling for months.

“Our country must seek a path to economic development where we must inevitably diversify our economy, diversify the way we do business and diversify the way we do investments.”