Economist Elías Amor critically addressed the official stance of the Central Bank of Cuba (BCC) regarding the transfer of pension payments to small and medium enterprises (SMEs), dismissing it as a facade. He argues that the explanation of safeguarding the elderly is deceitful and that the real issue stems from operational chaos caused by long lines at bank branches.
In a discussion with Tania Costa, Amor firmly refuted the statements made by BCC President Juana Lilia Delgado Portal. "That’s a lie. If seniors in Havana are wandering around like zombies, looking for something to eat, scavenging through garbage, it’s evident that the plight of the elderly in Cuba is perhaps the most severe across Latin America," he stated.
The Underlying Crisis of Bank Queue Chaos
Amor emphasized that the BCC's leadership is more concerned about the disruption that pensioners’ queues cause to banking operations on payment days, rather than the welfare of retirees.
"The issue arises when people line up to collect their pensions, making it impossible for banks to conduct any other business. The pension queue essentially halts all other banking activities," he remarked.
Consequently, any individual seeking other financial services—whether to make a foreign currency payment, withdraw funds, or conduct any financial transaction—finds themselves unable to do so due to the overwhelming presence of retirees.
Structural Inefficiencies and Public Distrust
Amor pinpointed the root cause as systemic inefficiencies: "These lines form because banks are ineffective, lack robust software to serve clients efficiently, and because people don’t trust the banks. They prefer to withdraw cash directly at the counter since ATMs fail to dispense the required cash."
Illustrating the severity of the situation, Costa shared a particular incident: "Someone just told me that their mother-in-law was supposed to receive her pension between the 1st and 4th of this month, but it’s the 23rd (Thursday), and she still hasn’t been paid."
SMEs Involvement: A Flawed Solution
Amor criticized the involvement of SMEs in pension payments, asserting that this approach fails to tackle the core issue: "This is what concerns the president of the Central Bank of Cuba, but the real problem lies in the queues."
The BCC announced this measure on July 17, which was supported by Resolution 74/2026 effective from July 20, as part of a broader economic strategy of 176 actions unveiled by the Cuban government in June 2026. This initiative had been tested since April in four Havana municipalities and since May in Holguín, where about 20 SMEs began distributing pensions to nearly 5,000 retirees.
The social context exacerbates the analysis. With 27.6% of its population over 65 years old, Cuba has more than 1.7 million retirees depending on the system, where the maximum pension amounts to 4,000 pesos monthly—less than 10 dollars in the informal exchange rate—against a basic basket costing over 30,000 pesos. According to Cuba Sindical data, 99% of surveyed retirees indicated that their pensions are insufficient to meet basic needs.
Amor concluded emphatically: "It’s not about helping the elderly or improving their conditions. It’s simply about avoiding bank queues that disrupt operations, which is ultimately what concerns the president of the Central Bank the most."
The economist called for an immediate cessation of the scheme, labeling it as "another one of the regime's many misguided ideas that fail, and they end up blaming the blockade and embargo for their failures."
An audience member added to Amor's analysis by suggesting that the regime fears potential social unrest emerging from these lengthy bank queues.
Understanding the Banking Crisis in Cuba
Why are pension payments causing disruptions in Cuban banks?
The main issue is that pension payments create long queues, effectively halting other banking operations as retirees flood the banks to collect their pensions.
What are the implications of involving SMEs in pension payments?
Involving SMEs does not resolve the core issue of inefficiency and distrust in banks. It is seen as a superficial fix rather than a solution to the systemic problems causing the queues.
How does the economic situation affect Cuban retirees?
Cuban retirees face significant economic hardship as their pensions are insufficient to cover basic necessities, especially with the maximum pension being less than 10 dollars monthly at the informal exchange rate.