In a striking admission during an extraordinary session of the Cuban Communist Party's Central Committee, President Miguel Díaz-Canel conceded that obstacles to Cuba's progress stem not only from external pressures like the U.S. embargo. "There are hindrances that originate internally—bureaucracy, sluggishness, regulations that stifle productive efforts, and decisions we have delayed," Díaz-Canel stated at the close of the meeting held at the Palace of the Revolution.
The Cuban leader acknowledged that mere resistance is insufficient in the current climate, emphasizing the urgent need for an "emergency" economic and social agenda. He insisted on immediate action, even if consensus is not reached on all measures.
"Some actions may lack unanimous support, but they are urgent. Each initiative will have a designated official accountable, with specific deadlines, performance indicators, and public reporting," he asserted.
This statement marks an unprecedented self-critique in the regime's official rhetoric, which has long attributed the nation's issues predominantly to the American embargo.
Despite this admission, Díaz-Canel still largely blamed the embargo, the executive orders from the Trump administration on January 29 and May 1, 2026, and Cuba's designation as a state sponsor of terrorism.
He also conceded that the announced measures are not new. "These are not novel ideas; they are decisions discussed and approved long ago. The mistake was not in proposing them, but in delaying their implementation. This postponement period must end," he remarked.
The session approved a comprehensive package of economic and social reforms presented by Prime Minister Manuel Marrero Cruz. This includes increased openness to both domestic and foreign private investment, banking modernization, partial dollarization, territorial decentralization, and reducing ministries from 27 to between 20 and 21.
These reforms also allow municipalities to import, export, and manage currencies independently, while enabling Cuban expatriates to invest on equal terms with other economic players.
Former leader Raúl Castro participated via videoconference, endorsing the proposals, which the regime portrayed as a sign of political legitimacy. His message warned that "the proper and timely implementation of these transformations is as crucial as their approval."
The process moved rapidly, with Díaz-Canel announcing the reforms on June 12, just five days before the session. An unprecedented advisory group of five economists, including three critical of the regime—Omar Everleny, Juan Triana, and Julio Carranza—convened on June 13.
This Thursday, the National Assembly, known for unanimously ratifying proposals, is holding an extraordinary session to formalize the Communist Party's approved measures.
The reforms come amid Cuba's most severe economic crisis in decades. According to April 2026 projections by the Economic Commission for Latin America and the Caribbean (ECLAC), Cuba's GDP will shrink by 6.5% this year—the steepest downturn in Latin America—culminating in a cumulative loss of nearly 26% since 2020.
Additionally, power outages exceeding 20 hours daily in some provinces, a sugar harvest below 150,000 tons—the lowest in over a century—and an exodus exceeding 250,000 Cubans in 2024 compound the nation's woes.
As the session unfolded, protests erupted in Santiago de Cuba, Santa Clara, and several Havana neighborhoods, with residents chanting "Down with the dictatorship" in El Cotorro.
Public reaction on social media was largely skeptical. Economist Pedro Monreal described the measures as "belated pragmatism" and warned that Cuba "missed the train of reforms seen in China and Vietnam."
Analyst Carlos Saladrigas was even more blunt: "Time has run out for the country," he stated on June 16, indicating that the announced measures are insufficient given the depth of the crisis.
Understanding Cuba's Economic Reforms
What are the main economic reforms proposed in Cuba?
The reforms include increased openness to private investment, banking modernization, partial dollarization, territorial decentralization, and a reduction in the number of ministries.
Why did Díaz-Canel acknowledge internal barriers in Cuba?
Díaz-Canel recognized that internal issues such as bureaucracy and delayed decision-making are significant obstacles to progress, alongside the longstanding external pressures like the U.S. embargo.
How have recent reforms been received by the Cuban public?
Public reaction has been largely skeptical, with many viewing the measures as insufficient and overdue, given the severity of Cuba's current economic crisis.