On Sunday, Prime Minister Manuel Marrero Cruz wrapped up a three-day training session for presidents of Business Groups and Government Boards at the School for State and Government Leaders. During the event, he championed 176 economic transformations approved in June as a means to "modernize" Cuba's business system while maintaining its socialist principles.
Hosted by the National Institute of State-Owned Business Assets, this event provided a platform for Marrero to reiterate a narrative the regime has been pushing for months. Despite widespread public skepticism, the government argues that market-driven measures—such as business autonomy, potential for bankruptcy and liquidation, the conversion of state entities into commercial enterprises, private banking, and private exchange houses—are tools to "enhance socialism."
The prime minister emphasized that, as stipulated by the constitution, the socialist state-run enterprise remains "the main entity of the national economy." According to him, the reforms are designed to increase efficiency, decentralization, and production linkages with non-state management forms.
Following the meeting, Marrero Cruz spoke to the press, commending signs of change among business leaders. "Today, our socialist state enterprise has the same conditions to act and make decisions as any other non-state economic actor," he declared, as reported by the state-run Canal Caribe.
He noted, "We are already witnessing substantial changes, even transformations within the leadership itself, and undoubtedly, this will boost productive capacities: there will be more supply, we will gradually lower prices, and we will curb this inflation that harms our economy so much," added the regime's leader.
The prime minister also announced progress in implementing the reform package: of the 176 approved transformations, 158 are currently underway with the support of 194 legal norms, representing approximately 89% of the total. The central legal piece of the reform is Decree-Law 120 of the Cuban State Business System, published in the Official Gazette on September 2 and effective since the 9th of that month.
In an unusual admission, Marrero acknowledged, "We know there's a lot of uncertainty among the population." Nonetheless, he expressed optimism, stating that "those forces are already starting to be unleashed."
This marks the third or fourth time in recent months that Marrero Cruz has convened or concluded training events for leaders at the same school. Since June, he has repeatedly highlighted that the main barrier to reforms is the "change in mindset" of state apparatus officials, urging them to abandon centralized planning logic. In June, he had already warned that "the biggest transformation has to be in our way of thinking."
The Cuban populace, however, recalls the failure of the 2011 Guidelines and the 2021 Task Order, with no tangible results amid ongoing power outages, food and medicine shortages, and inflation.
The first private exchange house in Cuba only opened on September 17, selling the dollar above the official rate, a stark illustration of the gap between official rhetoric and the economic reality Cubans face daily.
"Now, the most important part is missing, which is to be able to actually see those results," Marrero Cruz admitted to the press.
Understanding Cuba's Economic Reforms
What are the main objectives of the recent economic reforms in Cuba?
The recent economic reforms aim to modernize Cuba's business system by increasing efficiency, decentralization, and enhancing production linkages, all while maintaining socialist principles.
How is the Cuban government addressing public skepticism about the reforms?
The government is pushing the narrative that these market-driven measures are actually tools to perfect socialism, despite public skepticism and past failures of similar initiatives.