Miguel Díaz-Canel unveiled a significant set of economic reforms this past Friday, promising enhanced independence for state-owned enterprises, municipalities, and agricultural producers, amid Cuba's most severe economic downturn in decades.
The announcement was made to the press team of the Republic's Presidency and broadcasted on the television show "Revista Buenos Días."
This initiative is part of the so-called Economic and Social Program for 2026, which was approved by the Council of Ministers following a public consultation at the end of 2025.
The Cuban leader emphasized that the program was developed with the help of both Cuban and international experts, drawing parallels between Cuba’s situation and the experiences of China and Vietnam, and utilizing artificial intelligence tools. He noted that over twenty areas of economic transformation have been pinpointed.
Greater Freedom for State-Run Companies
Díaz-Canel assured that state-run companies will be able to operate "without interference," allowing them to export and import directly, retain a portion of their earned foreign currency, choose clients and suppliers, and engage in the currency exchange market.
"Companies will be able to produce and provide services to the fullest extent of their capabilities, without any limitations," he stated.
Empowering Local Governments
Another prominent measure is the increased autonomy granted to municipalities: they will be able to import and export without intermediaries, manage foreign currency, approve investments from Cubans both inside and outside the island, and determine which economic players can operate within their territories.
"I believe the country will always be stronger and have more response capabilities as municipalities also grow stronger," he declared.
Agricultural Sector and International Trade
In the agricultural domain, new measures aim to facilitate direct access to input markets, open real foreign currency accounts, and attract foreign investment.
Regarding foreign trade, the plan includes eliminating the requirement for state intermediaries and offering tariff benefits to those importing raw materials. Additionally, there is a promise of expedited approval for small and medium-sized enterprises with pending files, along with reducing the list of prohibited activities for the private sector.
Political Rhetoric and Public Skepticism
Díaz-Canel's address was laden with anti-American rhetoric. He attributed the crisis to "a multidimensional aggression as part of a completely aggressive policy by the United States government towards Cuba," insisting that Washington "cannot forgive that, at this point, despite maximum pressure, the revolution still exists."
The leader failed to mention the direct sanctions imposed on June 4 by the U.S. Department of State on him and his wife, which froze their properties and accounts in the United States.
Despite the promises, skepticism prevails due to a history of unfulfilled commitments. Since the January 2021 "Ordering Task," the regime has repeatedly vowed greater business autonomy without actual decentralization taking place.
Simultaneously with these announcements, the government established INAEES, a new entity that will centralize control over more than 2,000 state-owned companies under the Council of Ministers. Economist Pedro Monreal warned that this structure could become "the graveyard of companies," signifying more recentralization than actual autonomy.
The Economic Commission for Latin America and the Caribbean (ECLAC) projects a 6.5% decline in Cuba's GDP by 2026, while The Economist Intelligence Unit estimates a 7.2% contraction, far from the 1% growth projected by the government itself.
Power outages last between 20 and 30 continuous hours, and over a million Cubans have emigrated since 2021.
The public's reaction to the new announcements was one of widespread skepticism, with sarcastic comments on social media labeling them as "more of the same."
Carlos Saladrigas, a prominent businessman, has been clear on this matter: there will be no investment in Cuba without real changes in the country's conditions.
Understanding Cuba's Economic Reforms
What are the key changes announced by Díaz-Canel for state-owned enterprises?
Díaz-Canel announced that state-owned enterprises will have more autonomy, allowing them to export and import directly, manage some of their foreign currency earnings, select their business partners, and participate in the currency exchange market without interference.
How will municipalities benefit from these reforms?
The reforms grant municipalities the power to conduct import and export activities without intermediaries, manage foreign currency, approve domestic and international investments, and determine local economic participants.
What impact might these changes have on Cuba's agricultural sector?
The agricultural sector is set to gain from improved access to input markets, the establishment of foreign currency accounts, and the attraction of foreign investment, potentially enhancing productivity and growth.