Cuban architect Abel Tablada has called on the National Assembly of People's Power (ANPP) to clarify the fate of the billions of dollars generated over the past decade by ETECSA, Cuba’s sole telecommunications company. This demand follows a rise in service rates that has sparked widespread public discontent. While Tablada acknowledges ETECSA's need for foreign currency to maintain its infrastructure, he sharply criticizes its affiliation with the non-transparent, military-run GAESA, which controls a significant portion of the nation's economy.
Tablada argues that ETECSA has been economically drained, noting that, as per its own president, the company doesn't control the allocation of its revenue, as funds are diverted to other sectors. He expressed this in his piece, "The Destination of ETECSA's Revenue: Reflection and Three Uncomfortable Questions for the National Assembly of Cuba," shared on Facebook.
The Decline of National Currency and Public Welfare
The architect also highlighted the devaluation of Cuba's national currency following the government’s failed "Ordering Task," which has led to the current tariffs losing real value against inflation. This has resulted in Cubans preferring to purchase internet packages in Cuban pesos rather than having relatives buy them abroad.
"The gradual increase in national poverty, driven by both external and internal factors, is what truly warrants a national protest," Tablada emphasized, pointing out that this poverty prevents citizens from covering essential living expenses with their salaries or pensions, much less funding quality telecommunications infrastructure through taxes.
Economic Crisis and Lack of Transparency
Tablada criticized the Cuban government for phasing out subsidized basic food products and raising prices in both foreign currency stores and the private market. He stated, "The country is in a multisystemic crisis, decapitalized and deeply in debt."
He noted that ETECSA was once a major source of foreign revenue through international recharge packages and sales of CUC cards, equivalent to USD before the "Ordering." The lack of transparency in Cuba’s governance leaves the exact figures unknown, he lamented, accusing centralized power of disrespecting its citizens.
Demanding Accountability and Strategic Leadership
In a critical tone, Tablada posed three questions to the Parliament: Where were ETECSA’s accumulated foreign revenues invested over the past decade? Has the ANPP debated the allocation of these funds and their impact on the company's sustainability? How can the country’s largest business conglomerate remain unauditable?
Additionally, he questioned when and how the Parliament will hold the Council of Ministers, the Council of State, and the Communist Party accountable for leading the nation, countering decades-long economic warfare by devising intelligent strategies to leverage Cuba’s natural and human resources. He stressed the need for democracy, citizen participation, and leadership with a strategic vision to overcome the blockade and internal challenges.
ETECSA’s New Tariff and Public Outcry
Announced on May 30, ETECSA’s new measures restrict internet access for most Cubans, requiring higher payments in Cuban pesos and foreign currency once the limited package is exhausted. This decision was swiftly condemned by the majority who survive on Cuban pesos and witness the creeping “partial dollarization” of public services and essential goods.
Even state media and organizations like the FEU and the Hermanos Saíz Association, representing young artists and intellectuals, have spoken out against the steep rate hikes.
Most Cuban citizens have responded with outrage to ETECSA’s justification of multimillion-dollar losses due to alleged "frauds" over the past four years. Critics have accused the state-run company of incompetence and manipulation to justify exorbitant rates.
Economist Pedro Monreal described the situation as a “monumental incompetence case” by both ETECSA and the Cuban government for allowing the alleged fraud to persist for years without effective intervention.
The Cuban regime anticipated public backlash to the abrupt ETECSA rate increase and preemptively activated repressive measures to curb social unrest. The tariff hike not only affects household finances but further restricts access to information, communication with the outside world, and social media activity, at a time when public discontent increasingly finds an outlet online.
Frequently Asked Questions about ETECSA's Financial Management
How has ETECSA's revenue been managed over the last decade?
It's unclear how ETECSA's revenue has been managed due to a lack of transparency. Funds have reportedly been diverted to other sectors, and there's no public record of how this money is spent.
What are the implications of the new ETECSA tariffs?
The new tariffs limit internet access for many Cubans, require higher payments in different currencies, and have been met with widespread public disapproval.
Why is there criticism over the governance of ETECSA?
Critics argue that ETECSA's governance lacks transparency, accountability, and public engagement, leading to mismanagement and unfair financial practices.