Page 12 - ARUBA TODAY
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A12   WORLD NEWS
                    Tuesday 17 april 2018
            Raul Castro leaves Cuba with new freedoms, deep problems




            By  MICHAEL  WEISSENSTEIN                                                                                           jor  disruption  for  inefficient
            and ANDREA RODRIGUEZ                                                                                                state   businesses   whose
            HAVANA  (AP)  —  In  2008                                                                                           subsidized  balance  sheets
            Raul  Castro  took  over  a                                                                                         will  finally  become  under-
            country where most people                                                                                           standable  when  they  are
            couldn't own computers or                                                                                           denominated  in  a  single
            cellphones,  leave  without                                                                                         currency.  Those  state  busi-
            permission,  run  most  types                                                                                       nesses  gained  new  com-
            of private businesses or en-                                                                                        petitors  as  Castro  expand-
            ter resort hotels.                                                                                                  ed the space for capitalism
            Castro  set  about  re-engi-                                                                                        in  the  Cuban  economy
            neering the system he had                                                                                           by  permitting  private  en-
            helped  create  and  Cuba                                                                                           terprise  in  dozens  of  fields
            opened  dramatically  over                                                                                          ranging from agriculture to
            his  decade  in  office.  But                                                                                       hospitality to construction.
            when  Castro  steps  down                                                                                           "We've  risen  up  economi-
            Thursday after two terms as                                                                                         cally.  The  new  possibilities
            president  he  will  leave  his                                                                                     have  changed  my  life,  of
            successor  a  host  of  prob-                                                                                       course,"  said  Yanelis  Gar-
            lems that are deeper than                                                                                           cia,  a  44-year-old  mother
            on  the  day  his  brother  Fi-                                                                                     of  three  who  saved  mon-
            del  formally  handed  over                                                                                         ey  from  raising  pigs  in  her
            power.  Cuba  has  nearly                                                                                           backyard to slowly build a
            600,000  private  entrepre-                                                                                         prosperous  six-room  bed-
            neurs,  more  than  5  million                                                                                      and-breakfast   and    taxi
            cellphones,  a  bustling  real    In this Jan. 28, 2018 file photo, Cuba's President Raul Castro looks at his watch as he walks with   business  in  the  central  city
                                         Cuba's  Vice  President  Miguel  Diaz-Canel  Bermudez,  right,  and  National  Assembly  of  People's
            estate  market  and  one  of   Power President Esteban Lazo Hernandez, left, to the unveiling of a replica of a statue of Cuba's   of Santa Clara. "I've always
            the  world's  fastest-growing   independence hero Jose Marti in Havana, Cuba.                                       liked  having  my  own  busi-
            airports.  Limited  internet                                                                       Associated Press  ness to be able to provide
            use  is  expanding  fast,  with                                                                                     for  my  family.  It's  been  re-
            thousands  of  Cubans  in-   tural  problems  with  deep  soon.                        nesses  to  receive  subsi-  ally good."Cubans fill thou-
            stalling new home connec-    and  wide-ranging  reforms  "The political future of who-  dized  goods  and  services  sands  of  flights  a  year  to
            tions this year. Foreign debt  has  many  wondering  how  ever takes over in April de-  like  water  and  electricity  Miami,  Panama  and  Can-
            has  been  paid.  Tourism  a  successor  without  Cas-    pends  on  the  economic  in  Cuban  pesos,  then  turn  cun, where they cram duf-
            numbers  have  more  than  tro's  founding  father  cre-  question,"  said  Jose  Raul  around  and  charge  their  fel  bags  with  gym  socks
            doubled  since  Castro  and  dentials  will  manage  the  Viera  Linares,  a  former  first  relatively wealthy clients in  and Xboxes for the vibrant
            President  Barack  Obama  country  over  the  next  five  deputy  minister  of  foreign  convertible pesos at a sig-  private  sector  and  rising
            re-established  diplomatic  or 10 years.                  affairs. "It's the possibility for  nificant profit.      middle  class.  But  last  Au-
            relations  in  2015,  making  "People  in  Cuba  really  young  people  to  dream,  Castro  called  for  elimina-   gust,  the  Cuban  govern-
            Cuba  a  destination  for  haven't     processed     yet  to  design  their  own  future.  tion  of  the  dual  curren-  ment  froze  new  licenses
            nearly  5  million  visitors  a  what  it  means  to  have  a  That's all based in the ma-  cies from the beginning of  for private bed-and-break-
            year,  despite  a  plunge  in  government  without  Raul  terial wealth that this coun-  his  presidency,  but  never  fasts, restaurants and other
            relations  under  the  Trump  or Fidel leading it," said Yas-  try is able to achieve."  got  around  to  it.  Unlike  his  popular businesses, leaving
            administration.              sel Padron Kunakbaeva, a  The  greatest  immediate  brother  Fidel,  who  extend-      many  Cubans  questioning
            On  the  other  side  of  the  prolific  27-year-old  blog-  challenge   for   Castro's  ed  his  time  in  office  until  how  their  government  en-
            ledger,  Cuba's  Soviet-style  ger  who  writes  frequently  expected   successor   —  illness  forced  him  to  retire,  visions a path to prosperity.
            command  economy  still  from what he describes as  57-year-old  Vice  President  Raul  has  long  made  clear  "We've  seen  necessary  re-
            employs  three  of  every  a Marxist, revolutionary per-  Miguel   Diaz-Canel    Ber-  that he would step down as  forms  and  I  think  that  in
            four  Cuban  workers  but  spective.  "We're  entering  mudez  —  is  unwinding  a  president in 2018 as part of  the  future  there  will  have
            produces     little.   Private  unknown territory."       byzantine    dual-currency  a coordinated handoff to a  to  be  more,"  said  Norma
            sector  growth  has  been  Tens of thousands of highly  system  featuring  one  type  new generation of leaders.  Chiang, a 77-year-old state
            largely  frozen.  The  aver-  educated     professionals  of  Cuban  peso  worth  4  He will remain first secretary  accountant  and  auditor.
            age monthly state salary is  are abandoning the island  cents  and  another  that  is  of  the  Communist  Party,  "Self-employment needs to
            $31  —  so  low  that  workers  each  year,  leaving  Cuba  nearly a dollar. The system  the country's guiding body,  be broadened, little things
            often  live  on  stolen  goods  with  the  combination  of  was designed to insulate a  but  many  Cubans  expect  like bakeries or food stands
            and  handouts  from  rela-   third-world  economy  and  state-run,  egalitarian  inter-  him  to  move  into  semi-re-  that  can  be  in  the  hands
            tives  overseas.  Foreign  in-  the  demographics  of  a  nal  market  using  "national  tirement  in  Santiago,  the  of  individuals  and  not  the
            vestment  remains  anemic.  graying  European  nation.  money" from trade with the  largest  city  in  Cuba's  east,  state." Despite the image of
            The  island's  infrastructure  After  a  2016  recession,  outside  world  denominat-  where he was born and led  Raul Castro as an all-pow-
            is  falling  deeper  into  disre-  Cuba  said  growth  was  1.6  ed in "convertible pesos."  rebel troops in the country's  erful  military  strongman,
            pair. The break with Wash-   percent last year, although  The  barrier  between  the  1959 revolution.              many  Cubans  say  back-
            ington  dashed  dreams  of  official  accounts  remain  two worlds swiftly collapsed  In one of his final speeches  and-forth  moves  and  the
            detente  with  the  U.S.,  and  opaque  and  questioned  and  the  system  has  fos-   last  year  he  called  once  overall slow pace of reform
            after  two  decades  of  get-  by experts. The single-party  tered  big  economic  dis-  again  for  the  system's  ur-  have shown the difficulty of
            ting  Venezuelan  subsidies  government  controls  vir-   tortions.  Inefficient  state  gent elimination, a process  modernizing  a  Soviet-era
            totaling  more  than  $6  bil-  tually  all  forms  of  expres-  enterprises  receive  mam-  that  many  expect  to  start  bureaucracy controlled by
            lion  a  year,  Cuba's  patron  sion and organization, with  moth  subsidies  by  obtain-  in  Diaz-Canel's  first  year  in  hundreds  of  thousands  of
            has  collapsed  economi-     near-zero tolerance of pub-  ing  expensive  convertible  power.  Eliminating  dual  civil servants who would be
            cally  with  no  replacement  lic  criticism  or  dissent.  The  pesos  for  the  price  of  the  currency  is  widely  seen  as  threatened  by  a  transition
            in the wings.                mood on the street is pes-   cheaper  "Cuban  peso."  necessary for Cuba's econ-       into a market economy, a
            Castro's  inability  or  unwill-  simistic,  with  few  expect-  The  dual-currency  system  omy to grow, but it carries  difficulty Castro's successor
            ingness  to  fix  Cuba's  struc-  ing a better future anytime  also  allows  private  busi-  risks  of  inflation  and  ma-  will also face.q
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