Cubans Express Concern and Criticism Over Upcoming Increases in Basic Service and Gas Prices
The recent announcement of increases in rates for basic services and gasoline starting in the coming weeks has generated criticism and concern among Cubans and experts. The rates for fuel will begin in February, with those for energy and liquefied gas following in March, authorities reported.
The planned increases include a five-fold price hike in fuel and a 25% increase in gas and electricity, which experts warn will add significant pressure on salaries and impact the cost of living.
“The workers’ salary is not even enough for the basic basket,” complained Cuban Yanei Vázquez, a state worker, highlighting the concerns among the population. The ongoing economic crisis on the island has only heightened the challenges faced by the citizens, with shortages, long lines, power outages, and increased migration.
The government has defended the rate increases as necessary to address the battered state budget, which has been negatively impacted by the pandemic and United States sanctions. Cuban President Miguel Díaz-Canel rejected claims that the measures represent a neoliberal package, instead framing them as an adaptation in response to the U.S. embargo. Former President Raúl Castro supported the move, but experts have questioned its impact on the population.
Moreover, international oil and gas prices are currently lower than a year ago, raising further questions about the necessity of the proposed rate hikes. Cuban economist Pedro Monreal warned about the potential impact on citizens’ pockets, particularly with the significant increase in the retail price of regular gasoline.
The planned increases have further fueled frustration among many Cubans, who are already struggling to make ends meet amid the ongoing economic challenges on the island.