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Weekly Report - 05 September 2019 (WR-19-35)

CUBA: Keeping private enterprise in check

The Cuban government has introduced new rules restricting the creation of non-agricultural cooperatives (CNAs), the legal figure under which Cuban nationals can establish small private enterprises on the island. The government says that the new rules, which will come into effect in November, with registration of any new CNAs suspended until then, are designed to ensure that individuals do not abuse the system. But it is likely that following the emergence of hundreds of CNAs since their introduction in 2013 as part of a series of reforms designed to liberalise Cuba’s state-run national economy, the socialist government is now rowing back amid concerns that it could lead to the rise of a well-established private sector that could start pushing for greater market liberalisation.

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