Cuba imposes stricter controls on the private sector



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The Cuban government on Tuesday released new controls on the island's private sector, including commercial licensing restrictions for one person, reflecting its concern that trade reforms have boosted wealth inequality 39, tax evasion and the black market.




  President of Cuba, Miguel Díaz-Canel
05/30/2018
REUTERS / Marco Bello

President of Cuba, Miguel Díaz-Canel 30/05/2018 REUTERS / Marco Bello
The regulations, which will come into effect in December, were expected since the government froze the licensing of certain popular business categories for nearly a year, saying it needs to develop better rules for the sector. privately owned

which is growing rapidly.

The ruling Communist Party reported in March that there had been mistakes in setting up a market opening that former President Raul Castro had introduced in 2010 to attempt to reduce the state wage bill and restructure the weakened economy.

The new regulations are the first major political announcement since President Miguel Díaz-Canel succeeded his mentor, Raul Castro, in April, although they have been examined since before that. Reuters reported in February a similar overview of the approved regulations.

Small business management has transformed the lives of many people on the Caribbean island in recent years. The number of freelancers in fields such as tourism and transportation has almost quadrupled to more than 591,000 since 2010, or about 13% of the total workforce in Cuba, according to the Communist Party's Granma newspaper .

Cuba will control the private sector at a time when its economy is already facing declining Venezuelan subsidies, tougher US trade and travel regulations and the devastation caused by severe storms over the past few years. last two years

"I have to give up a license now," said Ariadna Perez, 31, who runs a coffee shop and nail salon in Havana. "I will lose a lot of what I have, and I have children and a family to support."

  Reuters
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