HAVANA (Reuters) – Communist-run Cuba on Tuesday imposed sweeping price controls on all state and private businesses as it battles a deepening economic crisis and mounting U.S. sanctions.
Resolutions published in the official gazette banned all retail and wholesale price increases except for products imported and distributed by the state where already-set profit margins cannot be increased.
Effect - Market - Cuban - Economist - Restrictions
“In effect they have suspended what there is of a market,” a Cuban economist said, asking not to be identified due to restrictions on talking to foreign journalists.
While state-run companies dominate the economy, reforms in recent years have led to a growing private sector of cooperatives, farmers, small businesses and self-employed individuals who, for example, work in the skilled trades or drive taxis, and in general operate on a market basis.
Resolution - Finances - Prices - Ministry - Actors
Resolution 302 of the Finances and Prices Ministry lists all actors in what is called the non-state sector, saying that they “cannot increase current prices and tariffs of products and services.”
Cuban President Miguel Diaz-Canel announced earlier this month that the government had adopted a series of emergency measures to fight economic stagnation and dwindling foreign currency earnings that began in 2015 as the economy of key ally Venezuela imploded, and which have been aggravated...
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