The Ministry of Economy and Planning in Cuba has recently approved 122 new economic actors, all of which are private Micro, Small, and Medium Enterprises (MSMEs). This brings the total number of approved MSMEs to 11,240 since the approval process began in 2021.
The latest batch of approved MSMEs covers a range of industries, with construction services, gastronomic services, transportation, production of different products, and vehicle maintenance and repair being the most popular categories. It is noteworthy that all of the newly approved MSMEs are private entities, as clarified by the Ministry.
MSMEs in Cuba can be state-owned, private, or mixed, according to the law. These economic units are defined as having legal personality, specific dimensions, and characteristics, and their purpose is to produce goods and services that meet societal needs.
While the Cuban government has expressed support for the opening up of the economy through the approval of MSMEs, there have been concerns about speculation and price regulation. The former Minister of Economy, Alejandro Gil Fernández, warned against the trend of importing final goods instead of raw materials for direct marketing. Prime Minister Marrero Cruz, on the other hand, believes that the decision to approve MSMEs was the right one and has led to a positive impact on the economy.
However, there are calls from the population for more state intervention, particularly in regulating prices. The Minister of Finance and Prices, Vladimir Regueiro Ale, acknowledged the need to regulate some prices to prevent speculation and abuse in the market.
As MSMEs continue to play a significant role in Cuba’s economic landscape, the debate around their regulation and impact on the economy is likely to persist. Subscribe to notifications for updates on this evolving situation.