On Friday, Miguel Díaz-Canel, the leader of Cuba, unveiled a series of fresh economic reforms and shortly afterward oversaw military exercises in the Santa Fe Defense Zone located in the Havana municipality of Playa. This combination underscores the regime's current priorities amidst the most severe economic crisis in decades and an increasing rhetoric of external confrontation.
This visit was part of the so-called Year of Preparation for Defense, a program initiated by authorities in early 2026, which includes weekly activities every Friday under the doctrine known as the War of All the People.
Accompanying Díaz-Canel were Esteban Lazo Hernández, President of the National Assembly; Roberto Morales Ojeda, Secretary of Organization for the Central Committee of the Communist Party; and General Álvaro López Miera, Minister of the Revolutionary Armed Forces (FAR), as reported by the Presidency's account on X.
During the tour, officials reviewed updates to defensive plans and discussed issues related to energy, food production, water supply, healthcare services, and communications—sectors that have been particularly hard-hit by the ongoing crisis in the country.
After reviewing the reports, Díaz-Canel praised the efforts of the visited area, suggesting it could serve as a model for other similar structures.
Earlier, in an interview aired by the official television magazine "Buenos Días," the president introduced new economic measures included in the Economic and Social Program for 2026.
The initiatives cover six key areas: economic leadership, municipal autonomy, business autonomy, agricultural recovery, foreign trade, and foreign investment.
Among the most significant announcements is the potential for municipalities to directly manage import and export operations, handle foreign currency revenues, and negotiate foreign investment projects, including initiatives with Cuban residents abroad.
Regarding state enterprises, Díaz-Canel stated they would have greater autonomy in resource management, retain part of the foreign currency earned from exports, choose suppliers and clients, and engage in the currency market.
The leader also announced the unblocking of stalled small and medium-sized enterprise (SME) files and a reduction in activities banned to the private sector, measures presented by the government as part of a new wave of economic flexibility following years of regulatory controls, restrictions, and setbacks.
The blend of economic announcements and military exercises occurs amid escalating political tension. In recent months, the government has intensified calls for defensive readiness while attempting to push through reforms to curb economic decline, marked by power outages, food shortages, production drops, and accelerated emigration.
The day before, Cuba's military leadership closed ranks with Díaz-Canel during the ceremony marking the 65th anniversary of the Western Army, where Raúl Castro sent a message of support.
On June 6, during an event at the Karl Marx Theater, Díaz-Canel declared that Cuba would militarily respond to any external aggression, asserting that "if the homeland is attacked, we will respond in legitimate defense. And if there is an attempt to enter, rest assured, there will be determined and firm combat," rhetoric that has accompanied recent activities of the national defense system.
On Thursday, Pete Hegseth confirmed from Central Command in Tampa that an operation to capture or eliminate Díaz-Canel "remains an option on the table."
FAQs on Cuba's Economic and Military Strategies
What are the new economic measures proposed by Díaz-Canel?
Díaz-Canel's new economic measures focus on six areas: economic leadership, municipal and business autonomy, agricultural recovery, foreign trade, and foreign investment.
Why is Cuba emphasizing military readiness?
Cuba is emphasizing military readiness due to the severe economic crisis and increasing rhetoric of external threats, aligning with the Year of Preparation for Defense initiated in 2026.
How do the new economic reforms affect Cuban municipalities?
The reforms allow Cuban municipalities to manage import and export operations, handle foreign currency revenues, and negotiate foreign investment projects directly.