First after 1959; Cuba opens its doors to foreign investment

Havana: Cuba welcomes foreign investment in the country’s domestic retail and wholesale trade sector. For the first time in 60 years (since 1959), the Cuban government welcomed foreign investment into the country.

The official announcement regarding this came out on Monday night.

The amendment would allow foreign investors to partially or fully invest in Cuba. The government has also made it clear that foreigners will be given an opportunity after completing all the tests.

The communist government’s action comes as the country is going through its biggest economic crisis in recent times. The move is also aimed at boosting domestic industry and addressing commodity shortages.

Companies in the country are currently facing major difficulties in accessing foreign currency and raw materials.

The communist government hopes that foreign investment in the government-controlled trade sector will solve the shortage of medicine, food and other essential goods.

“Foreign investment, brought into wholesale and retail trade with government controls, will contribute to the recovery of domestic industry and allow the expansion and diversification of supply to the people,” Cuban Finance Minister Alejandro Gil tweeted Tuesday.

Earlier, foreign investment was allowed only in the domestic manufacturing and service sectors of the country.

At the same time, it is doubtful how much foreign investors will welcome the government’s new move, as strict government restrictions will remain in place in Cuba.

After Fidel Castro nationalized the retail sector in the 1960s, foreigners were absent from the sector.

Cuba is going through the biggest economic crisis in the last 30 years. During the administration of former US President Donald Trump, severe sanctions were imposed on Cuba. Apart from this, with the arrival of Kovid, the situation worsened.

Content Highlight: Cuba to allow foreign investment in domestic wholesale and retail trade, first time in sixty years