Cuba is experiencing change that may eventually revolutionize Cuban society and the economy.
The regime of Raul Castro is set to implement a micro-credit system to bolster self-employment.
This change comes on the heels of other important policy decisions oriented towards building national production:
“Meanwhile, since March, banking and credit policies have been in place for individuals, such as loans for farmers to buy equipment and supplies in retail stores with the goal of boosting national food production. Also, loans may be granted to people authorised to engage in self-employment, to finance their working capital and investments via the purchase of assets, supplies and equipment, and to allow these self-employed workers to sell products and services to state entities through contracts.”
The trend towards self-employment and individual initiative is a change for socialist Cuba, where micro-credit was once seen as offensive to socialist goals.
One recalls the pains Fidel Castro took to ‘correct’ those he believed misinterpreted him in saying the Cuban economic model has failed. However, it certainly looks like they are transitioning away from the socialist model. The Cuban government is also set to shed government workers in its bid to reform.
Now, with one more Cold War era country moving away from state-led socialism due to its inefficiencies and failures, one wonders why it is taking Canada’s NDP so long to admit ‘socialism’ is not the wave of the future.