HAVANA (AP) 鈥� Cuba鈥檚 Communist Party has featuring unprecedented free-market measures aimed at opening up the struggling island鈥檚 economy following heightened pressure from the United States.
While the full document has not been released, here are some of the proposals, based on statements by and other officials.
Decentralize state-run economy
Measures are expected to further decentralize Cuba鈥檚 state-run economy. Under the island鈥檚 current economic model, the government largely determines what is produced, who produces it, the prices at which goods are sold and how the country鈥檚 resources are allocated.
Nonspecific changes to foreign exchange market
Currently, only state agencies and banks can exchange currencies, though many people rely on the .
Government downsizing
Legislation has been introduced to reduce the number of ministries from 27 to 21 for greater efficiency.
Municipal independence
The measures would give municipalities greater authority to approve businesses operating within their jurisdictions and to manage relations with economic actors, including state-owned enterprises, cooperatives and private companies. Municipalities also would be allowed to import and export goods and manage their own foreign-currency revenue. Cuba has 168 municipalities across its 15 provinces.
Autonomy for state-owned companies
Companies would be allowed to design their own pay systems, use and distribute profits with fewer restrictions, import and export goods, and enter into partnerships with private businesses and cooperatives.
The reforms also would broaden the range of activities that state-owned companies are permitted to undertake. Cuba has about 2,000 state-owned enterprises.
Elimination of state intermediaries
Under the proposed changes, businesses, including , would be allowed to import and export goods directly rather than through state-run entities that currently oversee the process and set fees.
The measures also would provide incentives for the import of inputs and raw materials used in production.
Subsidies to phase out
Cuba鈥檚 post-revolution rationing system long guaranteed access to basic products at low, controlled prices. However, upcoming reforms will gradually phase out these subsidies, moving food and other goods to market pricing.
Rebuilding abandoned infrastructure
Recent U.S. sanctions against have forced historic hotel chains like with their Cuban counterparts. New measures include finding new ways to utilize the island鈥檚 nearly abandoned infrastructure.
D铆az-Canel has said the emergency plan and the policy document prepared by the Communist Party鈥檚 Central Committee were shaped by the experiences of China and Vietnam, two communist countries that have introduced market-oriented economic reforms while maintaining one-party rule.
Mounting US pressure
The announcement of the new economic measures follows months of mounting U.S. pressure and between the two countries, which have included former President Ra煤l Castro鈥檚 grandson, Ra煤l Guillermo Rodr铆guez Castro.
The United States has long restricted trade with and travel to Cuba in efforts to get the Cuban government to release all political prisoners, end political and religious repression and open its economy to private U.S. investment.
The Trump administration has ramped up that pressure in recent months, imposing a fuel embargo on the island and in connection with the 1996 downing of two civilian planes operated by Miami exiles.
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