Cuba's Economic Reforms


Relevant Facts:Nuevos Lineamientos
  • First draft written and approved in November 2010
  • Sixth Communist Party Congress convened in April 2011 to discuss and debate the Lineamientos.
  • Second draft written and approved in May 2011
  • 2/3 of the linemaientos were modified, integrated or eliminated in the second draft, and 36 new lineamientos were added.
  • Majority of new lineamientos were in the Macro Economics and the Agricultural Industry sections.
  • Total lineamientos in Draft I: 291
  • Total lineamientos in Draft II: 311
General Themes of the Lineamientos:
  • Increase unproductive land by 50%
  • Regain lost capital available to industry
  • Cut excessively high payrolls and restructure payroll and employment policies
  • Raise labor productivity with a combination of harsher discipline and more salary bonuses.
  • Increase exports in a wider array of products.
  • Reduce dependence on imports.
Various Initiatives:
I. Economic Management Model
  • 1: The socialist planning system will remain as the dominant strategy in Cuba.
  • 9: The creation of supply markets selling at wholesale prices, without subsidies for cooperatives, lessors, farmers and self-employed workers.
  • 22: The number of employees will be determined by the private enterprise.
II. Macroeconomic Policies
  • 56: Change taxation system in favor of a more progressive structure.
  • 62: The central authority will remain in control of price levels and structure.
VI. Social Policy
  • 162: The rations book will no longer be used as the method of distribution.
VII. Agricultural Policies
  • 172: Modify the production system to allow a more streamlined and efficient collection process.
  • 183: Develop a training program to provide education in the fields of vetinary, industrial technology, economics, administration and others.
X. Transport Policy
  • 286: Allow the sales of privately owned automobiles between individuals.
XI. Construction, Housing and Hydraulic Resource Policy
  • Allow the sales of private homes between individuals.
October 2015
Date Title
10/5/15 Six Lessons In Innovation From Cuban Entrepreneurs
Ricardo Herrero, The Huffington Post
September 2015
Date Title
9/22/15 Cost and Benefits From a Possible Return of Cuba to the IMF and to the World Bank. Is it Worth Exploring? Files
From the Island, Cuba Study Group
9/19/15 What Cuba’s new wave of entrepreneurs need to know
Russell Walker and Kyle Bell, Fortune
9/16/15 What Happens When Cuba Devalues Its Peso?
Jose Gabilondo, The Huffington Post
9/3/15 A new-style Cuban cooperative hopes road to success is paved with spices
Mimi Whitefield, The Miami Herald
9/3/15 Cuban bank to offer business loans
August 2015
Date Title
8/21/15 A Breakout Year for Cuban Entrepreneurs
Indira Lakshmanan, Bloomberg
8/13/15 Challenges Posed by Cuba’s Labyrinthian System of Imports
Omar Everleny Perez Villanueva, From the Island
8/11/15 Cuba’s tourism boom leaves some worrying they’ll be left out
Andrea Rodriguez, AP
8/10/15 Under the radar, advertising returns to Cuba
Nora Gamez Torres, El Nuevo Herald