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Cuba opens dozens of state sectors to private firms

Published 30 July 2026

Cuba enacted sweeping economic reforms on Wednesday, July 29, 2026, opening dozens of state-controlled sectors to private businesses in an attempt to address a severe humanitarian crisis fueled by acute fuel and medicine shortages. The measures, detailed by state media and officials, represent a significant shift in the country's communist economic model as the government grapples with the compounding effects of a U.S. energy blockade and years of economic strain.

A lengthy decree, approved by parliament last month and effective Wednesday, removed 46 of 125 previously restricted activities for private enterprise and modified another 35. The reforms target sectors most affected by the current crisis, including fuel distribution, electricity generation, waste collection, and the manufacture and sale of medicines. Private firms will now be permitted to operate in areas such as cargo terminals, retirement homes, and the import and construction of electric vehicles. Oil and mining operations will be liberalized, subject to state licenses.

Officials framed the move as a necessary response to external pressure, not a change in ideology. Lázara Mercedes López Acea, president of the...

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