Cuba Approves Most Of The Country’S Private Activities

2021-02-07   |   by CusiGO

Cuba’s economic reform process continues. The government is taking more and more in-depth measures aimed at establishing a mode of production different from that of the past 60 years, which is hard to reverse: the role of the state is getting smaller and smaller, the role of the private sector is getting bigger and bigger, and the private sector has been hindered so far, but is now being asked to become a leader Save the economy in this raging crisis. On Saturday, after years of waiting, the authorities announced that they would eventually liberalize entrepreneurs and their activities in most sectors of the economy, eliminating the currently restricted 127 Private job lists.

This measure has long been called “good news” and “a step in the right direction” by economists, although most people agree that this decision must be approved and encouraged by small and medium-sized private enterprises as soon as possible.

“This is a huge historic step, which involves a paradigm shift in self employment. For decades, from the moment it appeared, it has been constrained by a list of disposable activities that can be carried out, and any unauthorized activities are illegal, “said oniel D í AZ Castellanos, founder and entrepreneur of Auge, A private consulting firm was founded in 2014 in the context of Raul Castro’s push for reform in the past decade and has been providing consulting services to nearly 100 private enterprises for six years.

In 2010, Cuba had 157, 000 account holders. In 2014, the number of self-employed in Cuba has reached 478000. Today, more than 600000 people (13% of the workforce) are licensed to engage in 127 authorized jobs.

Under the announced measures, the list has been removed and self employment has been authorized in nearly 2000 activities covered by the national classification of economic activities (CNAE). According to Marta Elena feto, the Minister of labor and social security, 124 private sector projects are based on their terms of reference, priorities or national security issues (such as health care, education, employment, employment, education, education, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment, employment) Protect or develop natural resources. One of the key points is to know what is the supervision of professionals (architects, lawyers, engineers, etc.), who are currently unable to practise in private. As Fito said, this restriction can continue, despite the lack of detail.

In addition to the rest of the activities, Ricardo Torres, a researcher at the Center de estadios de la estadios de la economics, said Ricardo Torres, a researcher at the Center de estadios de la economics, is a researcher at the Center de la estadios de la economics When regulations are introduced, it is necessary to consider “tax adjustment”, “the relationship between customers and contractors, foreign customers and other economic sectors” or the access of self-employed persons to sources of funds.

“However, this is positive news and a step in the right direction,” Torres summed up the feelings of most economists. For the founders of prosperity, classifying national economic activity as “the pillar of the system” is “a very important step, but not enough to have a significant impact on discretion”, which has hitherto been a burden on the private sector.

As a self-employed person who understands the difficulties encountered by the private sector so far, Diaz castranos believes that if there is a limited list of authorized jobs, “as well as shortages of raw materials, weak regulation and economic sanctions”, in the new situation, the government should pay more attention to them At a time when the possibility of doing so has multiplied, “this opens up a road that will not go backwards, allowing entrepreneurs to play an increasingly important role in the economy together with other participants.”. O’Neill used a Cuban proverb to warn the authorities: “people will” kill “by proposing something innovative.” Let institutions be prepared to guide and encourage those who want to make Cuba a great country, because we are: people who don’t believe in obstacles. ”

Pedro Monreal, another well-known economist in Cuba, has been calling for the expansion of private sector profit margins for many years. He stressed that “now, the progress of reform must give priority to small and medium-sized enterprises, because small and medium-sized enterprises provide a higher upper limit of production rate for labor force, rather than through the reform Your own account. ” Like him, most analysts believe that the establishment of a “negative list” can clarify the problem. All private economic actors, including small and medium-sized enterprises and cooperatives, must participate together after legalization, which is an urgent step to revitalize the economy.

The government’s decision to expand the accounts and the profit margins of the private sector comes at a time when the island is very sensitive, complex monetary reforms are under way, there is a serious shortage of shops, there is no tourism, there is no liquidity, and the outlook has not improved – thanks to the Coronavirus, the intensification of the US trump embargo and the inefficiency of the national production system, is 11%.

Monetary unification has triggered inflation and dealt a heavy blow to the pockets of Cubans. This is part of Cuba’s entry into the real economy, which means the end of decades of equality policies and subsidies. Hundreds of thousands of workers now have to be re absorbed by the private sector, which is a matter of life and death. That’s why entrepreneurs like Diaz Castellanos believe that even if there is a “retrogression” in opening up, there are still restrictions on storytelling, Reform has not regressed: “the private sector will become more and more important in Cuba.”