Soundness of Cuba's monetary reform weighed

بقلم: Jorge Ruiz Miyares
2021-02-11 08:07:02

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Marino Murillo

Havana, February  10 (RHC)-- The Ordering Task, one month after its implementation in Cuba,  has ratified its importance to boost the economy and make it more transparent, a party official confirmed Wednesday.

Marino Murillo, Political Bureau member and head of the Commission for the Implementation and Development of the Party's Guidelines, reported on the progress of the reform, designed to organize the economy and seek efficiency.

As of January 1, the circulation of the CUC currency was eliminated, and a single exchange rate of 24 pesos for one dollar was established, in addition to the elimination of excessive subsidies and undue gratuities. There was also a modification in income distribution.

"So far, the plan has confirmed the importance of the process, and since it is very transversal, it has to do with the whole society. I don't think there is any person who has not been impacted in some way by the reform", he added.

Speaking in the Round Table TV program, Murillo ratified that this economic and social step also intends to distribute the wealth generated under the socialist principle that the person who contributes more, works, and is more efficient,  will earn more.

He insisted on the concept that no one will be left behind with the elimination of gratuities and subsidies since, from now on, these aids will be for vulnerable people and not for products. However, the prices of foodstuffs for children and other sectors of the population, among others, will be maintained.

Likewise, the State Budget foresees some 18 billion pesos (750 million dollars) to support the state business system, which does not mean covering inefficiencies, nor that they will be transferred to prices because the task 'was designed as an adjustment, but not in the manner of the adjustment of wild capitalism', he explained.

The Ordering task, Murillo explained, is being implemented at a very complicated economic moment due to the reinforcement of the  U.S. blockade, the minimal flow of foreign currency into the country, the Covid-19 pandemic, and the world financial crisis.

But there is a notion that there are many reserves and potentialities in the state sector to be searched and exploited



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