Raúl Castro Backs Economic Reforms in Cuba Amidst Crisis

Former Cuban President Raúl Castro has given his backing to a series of economic reforms designed to tackle the island's deepening crisis. The proposals, debated by top officials of the Communist Party (PCC) in Havana, aim to stabilize the economy under significant pressure from Washington.

Castro, 95, who no longer holds official positions but remains a key figure, stated in a letter presented at a meeting that transforming the economy is what best serves the Revolution today. The PCC's central committee discussed about twenty proposals during an extraordinary plenary session. These include opening more sectors to private investment, attracting capital from Cubans living abroad, and shrinking the state apparatus, all while facing a U.S. oil embargo imposed in January.

The reforms, previously outlined by President Miguel Díaz-Canel, could be approved by the National Assembly as early as Thursday. Prime Minister Manuel Marrero emphasized that while the reforms recognize market mechanisms for efficient resource allocation, they do not signify an abandonment of the state's social responsibility. However, it remains uncertain if these measures will satisfy U.S. President Donald Trump's demands for change.

The Cuban government appears compelled to act due to economic deterioration, social pressure, and growing international isolation. The U.S. oil embargo has pushed the already fragile economy towards collapse, leading to widespread blackouts, and shortages of food, fuel, water, and medicine. Private businesses, authorized in 2021, are becoming increasingly vital, and plans are in motion to reduce the size of the state sector by cutting ministries and public employees.