Cuba Communist Party approves sweeping economic reforms

Cuba's Communist Party has approved a significant package of economic reforms aimed at opening the state-dominated economy to more private investment and attracting capital from Cubans abroad, as the country confronts a severe economic crisis exacerbated by U.S. sanctions. The measures, described by President Miguel Díaz-Canel as the most substantial in years, were backed by influential former President Raúl Castro during an extraordinary plenary session of the party's Central Committee on Wednesday, June 17.

The reform package is designed to address widespread shortages of food, fuel, medicine, and electricity, with power cuts sometimes lasting over 30 hours. Officials framed the changes as a necessary modernization of Cuba's economic model, drawing inspiration from market-oriented policies in countries like China and Vietnam, rather than a direct response to pressure from Washington.

Key proposals include opening a broad range of sectors to private investment, granting Cubans living abroad the same investment conditions as foreign investors, and reducing the size of the state by cutting the number of government ministries from 27 to 20. The plan also aims to grant greater...