The National Institute of State Enterprise Assets (INAEE) announced Resolution 3/2026 this past Wednesday, outlining the structure, composition, and operations of Government Boards. These boards function as executive auxiliary bodies within the institute, as published in the Official Gazette No. 72 Ordinary of 2026, spanning pages 41 to 43.
Issued on July 24, 2026, this regulation describes these Boards as "collegiate management bodies that do not interfere with business autonomy," and their formation and operations are tailored to the classification of the enterprises they oversee.
According to the resolution, Government Boards are composed of an odd number of members, ranging from a minimum of five to a maximum of seven. Members are appointed by the INAEE or the property owner's representative at the territorial level. Exceeding this limit for boards established at the territorial level requires prior authorization from the INAEE.
Members serve for five-year terms, with the possibility of reappointment for additional terms. Reasons for termination include the end of the term without reappointment, failure to fulfill duties, conflicts of interest, and voluntary resignation.
The responsibilities of these boards include endorsing the strategic projection of the relevant business group or enterprise, approving proposals for strategic investments, periodically assessing the compliance with key management indicators, and overseeing policies on state enterprise property and assets.
Government Boards also have the authority to review subsidy requests for losses and determine their appropriateness, as well as approve the amount companies must contribute to cover the expenses of the business group they belong to.
Regarding operations, both regular and extraordinary sessions must be convened with at least five business days' notice, including the meeting agenda and necessary documentation. A quorum of over 50% of the members is required for a meeting to proceed.
The INAEE was established by Decree 144 of the Council of Ministers on January 6, 2026, as an entity directly subordinate to the Council of Ministers. Its mandate is to lead the transformation and development of Cuba's state enterprise system.
The legal framework supporting Resolution 3/2026 encompasses Decree Law 120 "On the Cuban State Enterprise System," approved on July 14, 2026, by the Council of State, with Chapter VIII establishing the Government Boards as executive auxiliary bodies of the INAEE.
Official Gazette No. 72 Ordinary of 2026 compiles a total of five regulations related to the reform of the state enterprise system: Decree Law 120, Resolution 170/2026 from the Ministry of Finance and Prices regarding financial and tax procedures, and Resolutions 1, 2, and 3 of the INAEE, which respectively regulate organizational movements and social purpose, the financial relationship system with the State, and the organizational regime of the Government Boards.
Understanding Cuba's New Government Board Regulations
What is the purpose of the Government Boards established by the INAEE?
The Government Boards are intended to serve as collegiate management bodies that provide oversight without interfering with the autonomy of state enterprises. They approve strategic projections, assess investments, and oversee compliance with management indicators.
How are members of these Government Boards selected?
Members are appointed by the INAEE or the representative of the property owner at the territorial level, and boards consist of an odd number of members, typically between five and seven.