economy

Cuba Approves Unprecedented Free-Market Reforms in Effort to Stave Off Economic Collapse

Cuban lawmakers Thursday adopted nearly 200 historic free-market reforms aimed at rescuing the Communist island from a severe crisis aggravated by a U.S. oil blockade.

Cuba Approves Unprecedented Free-Market Reforms in Effort to Stave Off Economic Collapse

TL;DR

  • Cuba has adopted nearly 200 free-market reforms to reduce the state's economic role and attract investment.
  • The reforms aim to rescue the island from a severe crisis aggravated by a U.S. oil blockade.
  • Foreign investors will no longer be required to form joint ventures with the state.
  • Large private enterprises will be authorized, and both Cuban and foreign investors can acquire stakes in state companies.
  • These reforms are described as the most profound since the 1959 revolution.
  • Cuba is facing severe shortages of food, fuel, drinking water, and medicine, with power cuts becoming the norm.
  • The U.S. has been exerting significant pressure on Cuba, including an oil blockade.
  • Despite external pressures, President Diaz-Canel stated the reforms are to preserve socialism.