cabinet
Layoffs: Cuba’s economy minister must go
Miguel Diaz-Canel (2nd from left), President of Cuba, and Raul Castro (M), former President of Cuba, attend the Labor Day celebrations. photo
© Ramon Espinosa/AP/dpa
Cuba is experiencing one of its worst economic crises since the revolution 65 years ago. A government countermeasure was canceled at the last moment. Now the economics minister has to go.
On Wednesday, an increase in fuel prices of more than 400 percent announced for the following day in Cuba and the sale of fuel at certain gas stations in foreign currency were postponed indefinitely. The reason given by the government was that a computer virus originating from abroad had been detected in the sales system. Planned price increases for long-distance transport were also canceled as a result. The government had announced the measures around three weeks earlier to stimulate the economy and correct “distortions”.
Severe economic crisis
Cuba is in one of the worst economic crises since the revolution around Fidel Castro in 1959. In addition to the trade embargo of the neighboring country USA, which has been in effect for more than 60 years, there is also the collapse in tourism during the corona pandemic and the support of the ally Venezuela because of its own crisis subsided. Attempts by the Cuban government to reform the inefficient economic system have so far been timid. There is high inflation.
Food, medicine and fuel, among other things, are scarce in Cuba and the electricity is often out for long periods. According to the current exchange rate, an average monthly wage is less than 15 euros. Since 2022, around four percent of the Caribbean country’s approximately eleven million inhabitants have emigrated.