June 19, 2026, 7:25 a.mJune 19, 2026, 7:25 a.m
Against the backdrop of severe political tensions with the USA, Cuba’s National Assembly has passed the most extensive economic reform in the socialist Caribbean country in decades. The 176-point plan provides for a greater opening of the previously state-controlled economy. Regulations should be dismantled and market economy mechanisms introduced.
Tensions in Cuba: The country has now announced economic reform.Image: keystone
“Cuba, our beloved Cuba, is currently living through the most difficult hours of this century and we have the historic responsibility to save it,” said President Miguel Díaz-Canel after the vote. It initially remained unclear whether the measures correspond to the demands of US President Donald Trump’s government for economic opening in Cuba.
The reform plans, supported by former President Raúl Castro and the Communist Party, were previously presented by Prime Minister Manuel Marrero Cruz in a special session of Parliament. They “do not mean giving up the construction of socialism, but are a prerequisite for its preservation,” said Marrero Cruz.
Message: Most extensive reform since the collapse of the Eastern Bloc
The Cuban embassy in Washington spoke of the “most comprehensive reform package since the 1990s”. At that time, Cuba had lost its most important ally with the collapse of the Soviet Union, which plunged the island into a deep economic crisis.
The population of the communist-ruled island has been suffering from a severe economic and energy crisis for years, which has recently worsened significantly due to sanctions by the US government. With an oil embargo and other pressure measures, Trump is trying to force the Caribbean country to open up economically and politically in accordance with his wishes.
Cuba remains ready for talks with the USA, said Díaz-Canel. However, the economic plan is a national decision and is not related to negotiations. “We send the following message to the government of the United States, without hate, but also without fear: If you really want to help the Cuban people, let us live!” He called on the US government to allow Cuba to trade freely and not to block the import of medicines and fuel.
Fast food chains are also welcome
The projects pursued by the Cuban government are intended to open the island to foreign and local private investors. Investments should be made easier in the real estate sector, banking, gas stations and restaurants, among others – international fast food chains should also benefit from this.
The communist government also wants to create new business opportunities in the tourism sector, which was hit hard by US sanctions. According to this, additional investments should be permitted in regions where severe restrictions have previously applied, such as in the old town of Havana and on the Los Cayos island chain.
Fidel Castro’s legacy should be preserved
Private investors should be allowed to buy and sell apartments, and Cubans and foreigners should be able to buy shares in state-owned companies. It was not initially announced which state-owned companies were involved.
Marrero Cruz did not speak of economic reforms, but of “economic and social changes” with strategic importance. The economic model will be transformed without abandoning the principles of the 1959 revolution led by Fidel Castro. (dab/sda/dpa)