Castro claims reforms to Cuban economy meant to solidify socialism

Castro claims changes to Cuban economy meant to solidify socialism

The Cuban economy is set to undergo sweeping changes next year but not towards a capitalist system. Cuban President Raul Castro spoke before the country's lawmakers on Saturday about the main reason behind the impending economic reform. He said it was meant to solidify the socialist state and make the system "irreversible." The Cuban economy is starting to deviate from its decades-old Soviet economic model. Castro had trimmed the huge bureaucracy by laying off one million state workers and the government is now actively encouraging the growth of private enterprises. The Cuban economy grew 2.1 percent this year and 3.1 percent in 2011. Raul Castro succeeded his ailing brother Fidel Castro as the country's president in 2008. The government is prodding Cubans to engage in business and go into self-employment.

"The measures we are applying, and all of the changes that are necessary for the modernization of the economic model, are aimed at preserving socialism, strengthening it and making it truly irreversible," he said in a speech a copy of which was provided online by the government-operated Cubadebate. Castro's plan is up for approval in next year's Communist Party congress, the first such meeting in 14 years. The government is urging public debates and disseminating information about Castro's proposal to change the Cuban economy, including participating in private industry. "Many Cubans confuse socialism with handouts and subsidies, equality with egalitarianism. We can assure you that, this time, there will be no going back," he said about his plans for the Cuban economy during the National Assembly held in the capital Havana.

Posted by James Fried on Monday December 20 2010, 1:52 AM EST. Ref: CNN. All trademarks acknowledged. Filed under Featured News, World. Comments and Trackbacks closed. Follow responses: RSS 2.0