Havana: Cuba's Communist Party has approved a sweeping package of economic and social reforms that would expand the role of private capital and market mechanisms as the island grapples with its worst economic crisis in decades, according to official media.
According to Anadolu Agency, the Communist Party's Central Committee approved 176 reform proposals grouped into 23 areas during an extraordinary plenary session Wednesday, as reported by Granma, the party's official newspaper. The measures are intended not only to address current economic difficulties but also to support long-term growth.
The reforms cover a broad range of sectors, including economic planning, property relations, agriculture, labor and wage policies, energy, foreign investment, foreign trade, tourism, transport, taxation, banking, and finance. They also include measures related to digital transformation, artificial intelligence, the knowledge economy, statistics, and regulatory oversight.
According to Escambray, a provincial state-run newspaper citing Cubadebate, a Cuban state-run news website, the package would reshape the country's business structure, expand opportunities for private capital, and recognize market mechanisms as tools for allocating resources more efficiently. Cuban officials stated that the measures do not represent a departure from the country's socialist model and remain consistent with the constitution. They acknowledged, however, that implementation would require legislative changes, including amendments to existing regulations and the adoption of new laws.
President Miguel Diaz-Canel emphasized the urgency for action given Cuba's current circumstances. According to Granma, he highlighted the need for a deep and agile economic agenda that can be implemented in the short term. This agenda would combine macroeconomic stabilization, incentives to boost production, legal certainty, investment promotion, greater use of technology, and targeted social protection.
Prime Minister Manuel Marrero Cruz remarked that the proposals are intended not only to help the country withstand current challenges but also to promote future development, according to the Cuban Presidency. The Presidency stated that the reform package will now be submitted to the National Assembly.
The measures come as Cuba faces what officials describe as its most severe multidimensional crisis since the "Special Period" following the collapse of the Soviet Union in the 1990s. Official media reported that the economy contracted sharply in the first half of 2026, while average daily power outages reached 20 hours and the country's electricity deficit climbed to 1,955 megawatts.
Cuban authorities have attributed much of the deterioration to tighter US measures, accusing Washington of disrupting oil supplies, pressuring companies doing business with Cuba, and restricting the island's access to international credit and financing. The White House announced on May 1 that President Donald Trump signed an executive order imposing new sanctions on Cuban officials and entities, citing repression and threats to US national security and foreign policy. In January, Trump also signed an executive order declaring a national emergency and establishing a mechanism to impose tariffs on goods from countries that sell or supply oil to Cuba, according to the White House.