Cuban government considers price increases amid financial struggles
Date
12/24/2023 8:26:59 AM
(MENAFN) Amid mounting economic pressures, the Cuban government announced on Friday its contemplation of raising prices for essential commodities like fuel and electricity or potentially reducing the rations of basic necessities available to its citizens. President Miguel Díaz-Canel conveyed that these stringent measures have become imperative, particularly in light of the country's economic setbacks. The Minister of the Economy previously highlighted that Cuba's economy had shrunk by an estimated 1 percent to 2 percent over the past year, coupled with an alarming inflation rate hovering around 30 percent. Compounding these challenges were disruptions in the tourism sector, traditionally Cuba's primary revenue generator, and setbacks in agricultural production.
Addressing the gravity of the situation, President Díaz-Canel emphasized the complexities surrounding the proposed measures, categorizing them as responses to the intricate economic landscape rather than ideological shifts. He sought to dispel misconceptions, vehemently refuting claims that such actions represented a neo-liberal agenda aimed against the Cuban populace, a crackdown on small enterprises, or an undermining of the essential goods and services available through government-issued coupons. Echoing this sentiment, Prime Minister Manuel Marrero Cruz further elaborated on the government's predicament, highlighting the potential necessity to adjust prices for gasoline, electricity, and gas or curtail the provisions outlined in government ration books.
These discussions transpired during the concluding sessions of Cuba's National Assembly of People's Power, effectively the country's legislative body. The ongoing economic turmoil in Cuba has precipitated a significant exodus, compelling hundreds of thousands to seek refuge in the United States. While recent weeks had witnessed a slight respite with diminishing queues at gasoline stations, the recent announcements about potential price escalations have reignited concerns among the populace.
Alberto Corujo, a 54-year-old driver from Havana, articulated the palpable anxiety, revealing his challenges in securing gasoline amidst burgeoning lines at filling stations. Similarly, Mercy García, employed as a secretary at a state-affiliated enterprise, painted a bleak picture of the prevailing conditions, emphasizing the pervasive hardships stemming from stagnant wages juxtaposed against skyrocketing prices, underscoring the profound socio-economic strains gripping the nation.
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