Cuban economist Mauricio De Miranda Parrondo raised alarms on Friday about the recent announcement of 176 economic measures by the Cuban regime. Presented to the National Assembly, these measures are not a socialist reform, but rather a shift towards an "authoritarian patrimonial capitalism" orchestrated by the Communist Party.
The proposal, unveiled by Prime Minister Manuel Marrero Cruz in the presence of Miguel Díaz-Canel and with the clear endorsement of Raúl Castro, includes the controversial Measure 17. This measure aims to convert state-owned enterprises into joint-stock companies or partnerships, enabling individuals, non-state management forms, and other state enterprises to purchase shares.
De Miranda expressed his concerns on Facebook, stating, "I have long argued—and I will continue to do so—that the Cuban leadership is steering toward a transition from bureaucratic socialism to an 'authoritarian patrimonial capitalism'."
Historical Parallels and Potential Risks
The economist, who serves as a professor at the Pontificia Universidad Javeriana in Cali and co-directs the civic think tank Cuba x Cuba, compared this transition to historical instances where political elites seized state assets. He referenced Nicaragua's "Sandinista Giveaway" of 1990 and the post-Soviet "mafia capitalism" in Russia and Central Asian republics.
"We are being prepared for a 'Sandinista Giveaway' with the hallmark of post-Soviet mafia capitalism," De Miranda cautioned. His primary concern is that, without institutional transparency, the process could lead to the enrichment of those close to power. "This could pave the way for relatives and close friends of the power elite to become 'shareholders' without any clear source of their 'capital'," he warned, questioning if the nation's limited resources could be usurped by the well-connected.
Economic Realities and Necessary Reforms
De Miranda acknowledges the possibility of Cuba needing to sell state assets during a transition. "As an economist, I recognize that selling state assets might be necessary, especially because the country is in ruins and the confiscation of private property did not lead to 'people's ownership' but rather 'ownership by no one'," he admitted.
However, he emphasizes that this process requires conditions currently absent in Cuba. "Such a transformation would need a capital market with clear, transparent rules and equal opportunities," he pointed out, adding that without a shift towards a democratic state with separate powers and judicial independence, the result would likely be "Crony Capitalism."
Criticism of Additional Measures
The economist also criticized Measure 36 within the reform package, which acknowledges "the legitimate growth of financial and material wealth of legal and natural persons" and promises labor protection "without allowing indiscriminate exploitation of man by man."
"So, does this mean non-indiscriminate exploitation is permissible in Cuban 'socialism'? I'll leave it at that for now," De Miranda remarked sarcastically.
The implementation of these 176 measures, organized into 23 axes, would necessitate the amendment of more than 148 legal provisions and the approval of 32 new regulations, as reported by the regime itself. De Miranda had elaborated on his thesis regarding the transition to patrimonial capitalism in an article published on December 26, 2025, in Cuba x Cuba, a portal that was subsequently blocked by the regime.
Understanding Cuba's Economic Transition
What are the main concerns about the economic measures proposed by the Cuban government?
The main concerns include the potential shift towards an "authoritarian patrimonial capitalism" that could lead to the enrichment of those close to power, without transparency or clear rules.
Why does Mauricio De Miranda Parrondo compare Cuba's situation to the "Sandinista Giveaway" and post-Soviet Russia?
He draws parallels because both historical instances involved political elites seizing state assets without proper regulation, leading to uneven distribution of wealth and power.