Showing posts with label economy. Show all posts
Showing posts with label economy. Show all posts

Tuesday, November 22, 2011

Cuba's smoke-and-mirror reforms


The Castro regime's announcement that for the first time Cuban citizens will be able to buy and sell their own homes has spurred an outpouring of irrational exuberance that real change is finally coming to the island-prison of Dr. Castro. "To say that it's huge is an understatement," one interested observer told the New York Times. "This is the foundation, this is how you build capitalism, by allowing the free trade of property."

Another told Reuters, "The ability to sell houses means instant capital formation for Cuban families ... It is a big sign of the government letting go." Still another writes in the Christian Science Monitor that these are "incredibly meaningful changes."

Such optimism is ill-founded. In fact, it is indicative only of one of two things: either it betrays a brazen political objective (Time magazine: "Why the U.S. Should Drop the Embargo and Prop Up Cuban Homeowners") or it demonstrates just how low the bar of expectation has been placed for what the Cuban people need and deserve that we must celebrate mere crumbs tossed their way by the Castro dictatorship.

Indeed, sweep away the hype and all you see are daunting hurdles as to how this announcement will change in any way the regime's suffocating control of the Cuban population. The new order restricts people to "ownership" of one permanent residence and one vacation home (as if the average Cuban is in any position to own a second home); all transactions must be approved by the State; no explanation is given on how you grant titles to homes that either have been confiscated from their rightful owners, have been swapped multiple times in the underground economy, or which house multiple families because of the severe shortage of available housing; the construction industry remains state-controlled; and the regime itself admits this order reflects no backsliding on the preeminence of the State in controlling the country's economic and political systems.

Beyond these challenges, however, is the fundamental fact that you cannot conjure private property rights, let alone the free trade in property, out of thin air. Those rights exist only where they are rooted in a credible, impartial, and transparent legal superstructure that can protect one's property, settle disputes, and guarantee transactions against the predations of the State. Anything less is a rigged game where the State is the dealer.

This is how the State Department's annual Human Rights Report characterizes Cuba's judicial system: "While the constitution recognizes the independence of the judiciary, the judiciary is subordinate to the imperatives of the socialist state. The National Assembly appoints all judges and can remove them at any time. Through the National Assembly, the state exerted near-total influence over the courts and their rulings ... Civil courts, like all courts in the country, lack an independent or impartial judiciary as well as effective procedural guarantees."


Translation: Cubans' ability to "own" property, trade, or leverage their property to build capital will continue to exist at the sufferance of the State. And what the State giveth, the State can taketh away. The bottom line is that, ultimately, all Cubans will really own is a piece of paper that says they own something.

Rather than empowering individual Cubans, the regime's goal in allowing the open trade of houses is to hopefully siphon more Cuban American money into the island's perennially bankrupt economy. With average Cubans on the island too poor to buy or improve their dilapidated dwellings, their hope is relatives in Miami and elsewhere will remit even more cash to the island attempting to improve their relations' situation. Indeed, the cynicism of relying on Cuban exiles to support the Cuban economy has never bothered the Castro brothers in the slightest.

The Castro regime recognizes the increasing unrest among the repressed and impoverished Cuban people for fundamental change, but they are capable only of prescribing more painkillers rather than the radical surgery that is needed to restore the nation's health. Pretending to devolve more autonomy in individuals' lives is just one more cruelty inflicted on the Cuban people over five decades of dictatorship, a cruelty made worse by the cheerleading from abroad.

By José R. Cárdenas
Source: FP Blog


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  • Sunday, October 23, 2011

    Freedom House study reveals optimism in Cuba about economic reforms


    The Freedom House report on Cuba released today finds that Cubans see real economic change there, and more Cubans now would rather work for themselves than hold once-prized state jobs.


    When Raul Castro announced radical changes to the economic structure of communist Cuba, the country was in a semi-daze.

    Many Cubans were excited about the prospects of economic change, particularly opening access to self-employment. But, as state jobs were slashed, many were also worried about going it alone after a lifetime of stable, if paltry, government salaries and subsidies.

    But a new Freedom House survey released today shows a radical change in perceptions. Forty-one percent of Cubans say the country is making progress, compared to only 15 percent who felt optimistic about the country’s future when Freedom House last conducted field research in December 2010. In fact, today more Cubans say they would prefer to work for themselves than for the government, the survey shows.

    Less than a year ago, Cubans were “very skeptical about change. They doubted real change would happen,” says Daniel Calingaert, deputy director of programs at Freedom House and co-author of the study. This survey was carried out in June, after reforms were implemented formally at the Sixth Communist Party Congress in April. And now, Mr. Calingaert says, Cubans see “change is real.”

    This economic opening is the “most significant positive change to have taken place in Cuba since communism was introduced half a century ago,” the new survey concludes.

    At first glance, Cuban optimism could be a good sign for the Castro government. But it could also pose additional challenges. Cubans who have tasted economic freedom say they want more, and a bit of stability has also allowed them the luxury to think beyond the day-to-day economics of feeding a family. “It’s opening people to new possibilities,” says Calingaert. “There is more interest in individual freedoms.”

    Indeed, one of the more surprising findings is that, when asked what reforms they most wanted, Cubans said increased freedom of expression and the freedom to travel (28 percent). This is a radical change from the most recent study, when economic reform topped the wish list of respondents.

    The Cuban government has a long way to go on the freedom front. Most Cubans continue to get their news from the government. The poll showed that only 40 percent of Cubans surveyed knew what happened to Egypt’s leaders, while only 36 percent knew how the revolution in Tunisia ignited.

    Here are some of the survey’s specific major findings:

    • 79 percent say they have noted visible change in the past six months in Cuba, including more self-employed on the streets.
       
    • 63 percent of respondents favor the reforms introduced under Raul Castro. The report quotes an ice-cream vendor: “Imagine, I can make more money selling ice cream than I ever did as an accountant for the government.”
       
    • 49 percent say that it is better to work for themselves, compared to 44 percent who say a government job is better.

    That is not to say that Cubans aren’t wary of changes ahead of them. For example, the field research culled commentary from Cubans voicing concern about unsteady incomes, having enough funds to start their own businesses – especially those without family in the US to help – and growing resentment among less successful entrepreneurs.

    “The changes are causing a sense of insecurity and resentment among some Cubans, as might be expected in a country where citizens were almost entirely dependent on government for their material needs and had no experience of market competition,” the report says. “Such insecurity and resentment accompanied the shift from communism to market economies in Eastern Europe and the former Soviet Union. While the insecurity and resentment presents a challenge for reform in Cuba, it is also a reflection of how profound are the changes that are currently underway.”

    By Sara Miller Llana

    Source: CSMonitor


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  • Tuesday, October 11, 2011

    Cubans Escaping Castro's Economic "Reforms"

    Cubans continue to "vote" against the Cuban regime

    The number of Cubans intercepted at sea trying to reach the coast of Florida more than doubled in the last fiscal year according to figures released by the Department of Homeland Security. In the previous fiscal year, 422 Cubans were intercepted at sea by the Coast Guard, while in the fiscal year 2011 (which just ended on September 30th), 1,000 Cubans were caught. Moreover, the number of Cubans who actually reached the U.S. shore increased by 70%, from 409 in fiscal year 2010 to 696 in fiscal year 2011. This is the first rise in illegal Cuban immigration by sea in 3 years according to authorities.

    This is yet another sign that the much heralded economic “reforms” announced by Havana aren’t working. The massive layoffs of hundreds of thousands of public employees undertaken by the government of Raúl Castro were meant to be absorbed by Cuba’s almost non-existent private sector. The Communist regime tried to ease the pressure by allowing private employment in 178 economic activities, such as masseurs, clowns, shoemakers, locksmiths, and gardeners. However, as I warned over a year ago, it capped the number of permits for these private activities at 250,000 while also penalizing the new entrepreneurs with stiff tax rates. It doesn’t take a Nobel Prize winner in economics to realize that Cuba’s nascent private sector wouldn’t be able to make room for all of the newly unemployed. What then for these people?

    Earlier this year I talked to an official from the U.S. Interest Section in Havana who told me that we shouldn’t be surprised if we see a steady increase of Cubans trying to escape the island towards the United States. Faced with a dilapidated economy, hundreds of thousands of unemployed, and growing social unrest, the Castro regime wouldn’t hesitate in letting more Cubans use the “escape valve” of emigration. We might be seeing the first signs of this.

    by Juan Carlos Hidalgo

    Source: Cato@ Liberty


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  • Saturday, October 8, 2011

    Vietnam presses Cuba on debt


    Before increasing investment in oil and construction on the island, Vietnam wants Cuba to find a way to its debt with rice exporter Vinafood and allow the opening of a Vietcombank office in Havana, official daily Viet Nam News reported.

    Debt is rarely mentioned in the official communication between the two long-time partner countries.

    Prime Minister Nguyen Tan Dung urged a Cuban delegation, in Hanoi for routine bilateral talks, to “continue creating favorable conditions for Vietnamese enterprises to invest in the Caribbean nation and to encourage more Cuban investment in Viet Nam,” according to the official daily. Dung suggested the partners should “come up with solutions to settle outstanding debt” and urged Cuba to speed up the permit process for Vietcombank, the government foreign trade bank, to open a branch in Cuba.

    “The presence of the bank will help facilitate the financial settlement between Vietnamese and Cuban companies and enable Vietnamese investors to invest in Cuba, particularly in the fields of construction, oil and gas, and trade,” Dung said, according to the newspaper.

    Foreign Trade Minister Rodrigo Malmierca, who led the Cuban delegation, said Cuba wants Vietnam to continue to sell rice, and pledged to honor Cuba’s financial commitments by gradually reducing credit debts with Vinafood, according to Viet Nam News. Malmierca said Cuba wanted the partners to agree on a joint development strategy.

    Neither Cuba nor Vietnam have released details about the debt.

    Vietnam, a close political ally of half a century, has been selling 400,000 tons of rice per year to Cuba under generous conditions, making the fellow Communist nation the island’s main source of the basic staple. Payment terms in the past have included 450 to 540 days and either interest-free or very low interest financing. In September 2010, state company Vinafood 1 signed an agreement to sell Cuba 200,000 tons of rice, including 50,000 tons for a low price of $496 per ton.

    Affected by a cash crunch in Cuba, bilateral trade dipped to $250 million in 2010 but is expected to grow again this year.

    State oil company PetroVietnam leased an offshore block in Cuban waters and partnered with Russia’s Zarubezhneft, but has not performed an exploration drill yet. Meanwhile, state construction company Housing & Urban Development Corp. (HUD) in 2008 signed a letter of intent with Grupo Palmares to jointly build a 300-hectare golf community near Bauta, just west of Havana. HUD has also been negotiating construction of another golf course resort in Varadero as well as a hotel at Playa Santa Lucía in Camagüey province. In 2009, Vietnam also agreed to set up textile and electronics joint venture production in Cuba.

    Dung committed to Vietnam’s continued support of rice cultivation programs in Cuba. Agricultural projects supported by Vietnam have played “a very important role” in Cuba, Malmierca said.

    Meanwhile, Cuba wants to introduce new pharmaceutical products to the Vietnamese market, Malmierca said.

    Source: Cubastandard


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  • Saturday, September 17, 2011

    Cuba After Castro


    Social networks and media outlets have been spreading rumors on Fidel Castro's alleged death the past few weeks.. The speculations started in early August after an infected virus-email depicted the Cuban leader lying in a coffin. The fact that Castro has not appeared in public since the Communist party meeting in April 2011, and that he has stopped writing his editorials in the Cuban paper Granma elicited further suspicions about the status of his health. According to an op-ed in the Venezuelan paper El Universal, Castro's health situation is deteriorating; this could be the reason why Venezuelan President Hugo Chavez decided not to go back to Cuba to continue receiving chemotherapy, and instead decided to go to Hospital Militar Carlos Arvelo in Caracas for treatment.

    The Venezuelan state-run media, however, assured everyone that Castro is alive and healthy. On September 7, the program La Hojilla, run on Venezuelan Television, aired an interview with a Fidel Castro looking in good shape, putting to rest rumors about his health. "Those who are at this moment enjoying and believing that Comandante Fidel had a stroke, I'm sorry to inform you that he is alive and kicking," said Mario Silva, the program's host. In the interview, Castro joked about the rumors about his death: "They've killed me off any number of times," he said. "The guys who make these predictions make me laugh, as if for me death would be bad news."

    Future Scenarios

    After the revolutions in the Arab world, some opinion makers have wondered whether Cuba could be also hit by a spontaneous uprising against the regime, in which the economic crisis might deepen, despite policies of liberalization.

    The Spanish political magazine Atenea argued that after the death of the Comandante, a possible scenario for Cuba could be the continuation of market liberalization's reforms while at the same time trying to keep alive the ideology of Catroism. Last April 2011, during the 6th Congress of the Cuban Communist Party, Raul Castro took further steps towards economic reform and political liberalization. Reuters reports that Castro's brother "in public statements… has accused government cadres of laziness, corruption, neglect and ideological rigidity and has repeatedly urged them to reject old revolutionary dogma and embrace new ways of thinking."

    The death of a charismatic leader such as Fidel Castro, along with the pursuit of economic liberalization, could, however, lead to the disappearance of Castroism, and with it, the dictatorial regime -- but not without a price to pay. Raul Castro lacks charisma, historical legitimacy and the needed consensus among the government's elite. This is why the after-Fidel time could be characterized by a power vacuum and instability, followed by uprisings and infighting. If such a situation emerged, there is a risk that Cuba could become a failed state if the international community would not help its transition. Of course, that would totally depend on who did the helping. A failed state in Cuba would be am extremely dangerous scenario: drug cartels could take advantage of the instability on such a strategically-situated island.

    According to Atenea, a possible political scenario for the post-Castro-era in Cuba would be a negotiated transition. If Raul Castro will not manage to continue his rule on the island, the Cuban economic and military elite – pressured by the socio-economic crisis – could be willing to share power-quotas with other sector of the society. Following the example of South Africa, where a negotiated transition was led by Nelson Mandela, Atenea suggests that a Cuban dissident could be the means of democratizing the country. Again, the success of that, for Cuba and for the world, would depend on which dissident.

    The path thorough democratization will not be easy for Cuba, a country for five decades under the grip of a dictatorship. Unless the Cuban people suddenly start an uprising against the regime, however, the Castro brothers have no intention of giving up power. As Venezuelan president Hugo Chavez said, Fidel Castro is more alive than ever, and willing to continue the fight against "Imperialism." Any popular revolt would be instantly repressed by the powerful Cuban Revolutionary Armed Forces, who now control 60% of the economy. In order to avoid giving up to this privileges, they will defend Castor's regime to the death.

    Economic Liberalization

    The fake news about Castro's death succeeded in bringing back the question of whether the ideology of Castroism can survive after Castro. Many analysts argue that Catroism is doomed to disappear: the island has no other choice but to liberalize its economy to overcome its current economic crisis. Some cautious measure towards the openness of the market has already taken place in Cuba under the presidency of Fidel Castro's brother Raul. Even Fidel Castro himself admitted that the Communist economic model failed: "The Cuban model doesn't even work for us anymore," he confessed last September, 2010.

    As pointed out by a University of New Mexico paper by Mario Rivera, Cuba found it necessary long ago "to put into effect market-oriented policies," especially to address the severe economic crisis triggered by the loss of Soviet support after 1989 that left the country with nothing to sustain it. However, "even the most spontaneous and forceful change is occurring within revolutionary bounds, and… the fits and starts of liberalization policy have simply manifested the tactical agility of Cuban leaders. In this view, the cyclical nature of economic policymaking in Cuba is not cause for concern so much as a corollary of pluralism—of a plurality of intersecting and competing interests within the confines of a socialist civil society. The creation of mixed enterprises, joint ventures, and other hybrid forms of commerce, and the rise of managerial, entrepreneurial, and other social networks in the economy, is an indication of a potential for the development of capable institutions, both public and private, in a democratic direction," the paper noted.

    by Anna Mahjar-Barducci

    Source: Hudson New York 


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  • Saturday, August 6, 2011

    Cuba's Liberation at Hand


    The liberation of Cuba has begun.  Not by invasion, but from within.  Communism has failed, and the people of Cuba are demanding freedom.  Including the revolutionary right to buy and own their own homes.

    Fifty-two years ago, Fidel Castro, posing as a reformer, seized power in a revolution promising "change," social justice and a redistribution of wealth.  He attacked the rich, the owners, the employers.  He was celebrated in leftist circles around the world as a herald of a new and better society.  His 1960 visit to New York set off waves of joy and adulation.

    When Castro plastered the walls of Havana with the slogan, "Socialism or Death," most Cuban employers fled, often with only the clothes on their backs.  Factories, farms, businesses, homes, cars with tail fins—all left behind, all confiscated by the state.  Private property was abolished.  All would be equal.  Cubans who stayed realized how equally poor they all quickly became.

    For longer than most Americans have been alive, Castro and his Communist elite have controlled every aspect of every Cuban's life.  They turned one of the most beautiful countries on Earth, "The Pearl of the Antilles," blessed with fertile soil, abundant water and numerous natural resources, and inhabited by some of the happiest, most fun-loving people in the world, into one big gray poor gulag.

    Since the Castro revolution, the Free World has surged ahead, producing a higher standard of living for more people than any period in human history.  Wealth in free countries was not "spread around," it was created and multiplied, causing what Jack Kennedy called a rising tide to lift all boats.  Many thousands of Cubans, fleeing Castro's tyranny, have prospered in freedom in the U.S. and other countries.

    Modern communications have made it inevitable that despite state censorship, Cubans increasingly recognize the failure of communism, that confiscation has not produced "fairness" and that the state-run economy has not produced prosperity. They recognize and demand change.  The kind of change that toppled the failed Communist states all over Europe.  The kind of change that is bringing prosperity to China.

    Fidel nearly died in a botched operation by Cuban doctors (remember Michael Moore's praise of the Cuban state-run medical system?) and had to call in a Spanish doctor from a private clinic in Madrid to save his life.  Ditto Hugo Chavez.  His cancer was treated in Cuba, but by private doctors from Spain.  Cubans saw and reacted.  "Socialism or Death" for the common folk, but free-market doctors for the Communist elite.

    The everyday Cuban has long depended on an illegal black market to survive.  Doctors drive cabs, engineers fix 1950s cars, illegal restaurants spring up in a cook's living room, money changes hands so someone can illegally get a better apartment, college grads wait tables at the few tourist hotels allowed by the regime.  People get by doing what they have to do.

    In the last few years, Cuba has allowed more foreign investment, primarily to develop tourism, but more recently to exploit offshore oil deposits in the Gulf of Mexico that Americans have been forbidden to touch.  More Cubans are coming into contact with foreigners.  More jobs are being created by foreign investment

    Cubans want more.  The Castro regime is on the defensive.  Self-employment rules have been loosened in the last year and cell phone ownership is increasing.  Buying and selling cars will soon be allowed.  The dam is cracking, the river of freedom will be restored. 

    Starting at the end of this year, the regime has promised that Cubans can buy and own their own homes.

    Private property is the cornerstone of capitalism.  It's the talk of Havana.  After making the promise and raising expectations, the regime is widely predicted to hem in private ownership with regulation and taxation.  New owners might be limited to one home or apartment, forbidden to resell for a number of years, and be required to live there full-time.

    Nonetheless, in a country where all the land and buildings are owned by the Castro State, the restoration of the concept of private property ownership is a big (Biden) deal.

    A (freer) market in housing faces challenges created by 60 years of communism.  Private classified ads, for example, are forbidden.  How do you let buyers or renters know you want to sell or rent?  Brokers, cell phones and pads in hand, comb the streets of Havana listing availabilities and preparing to put buyers and sellers, renters and landlords, together.  Wait until they get the Internet!

    The government-owned housing stock is a wreck, with too many people jammed into small, deteriorating units.  There is no construction industry, no materials industry.  As in other collapsing socialist states, such industries will spring up to meet demand if the regime allows it.  They will allow it because the Cubans will demand it.

    Financing the recreation of a freer property market is the easy part. 

    Those prosperous Cubans who fled Cuba already legally pump more than $1 billion a year into the Cuban economy (and black market) through remittances to family members.  Cubans from Miami, hearing of the potential for private ownership, have already staked out their favorite homes, farms and apartments to buy either directly or through family members.

    Defenders of the Castro regime, especially the Left in the U.S., criticize the new reforms.  "Experts" fear, says the Los Angeles Times, a re-stratified society, the reemergence of the haves/have notes divide, the horror of "gentrification."  Yup, freedom and opportunity could be a downer.

    For the people of Cuba, these reforms are but a taste of the life they yearn for, the life of hope and opportunity they see people enjoying in other countries, a life forbidden to them by the Castro regime for all these years.

    What must the average Cuban, who has experienced not a "lost decade" but a lost lifetime, think of the U.S., the beacon of freedom and prosperity, turning now to national health care, government confiscation of private property, our President demonizing wealth creators and employers as the evil "rich."  Making the same mistakes, falling for the same propaganda that has enslaved Castro's Cuba.

    Pay attention to Cuba.  Know its history under Castro.  Or be condemned to repeat that history here.

    by Roger Hedgecock 

    Source: Human Events 


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  • Sunday, July 31, 2011

    Cuba Aviation & Biotech Execs Off to Prison


    At least ten executives in Cuba’s government controlled airline and pharmaceutical industries were sentenced to 3 to 13 prison terms for corruption, announced official sources on Friday.

    The accused “received cash and other benefits to favor foreign companies in business transactions” with the Cuban firms they represented, found the court, which also ordered the confiscation of money and goods obtained by the executives in their criminal activity.

    Among those punished was Jose Heriberto Prieto, the director of the cargo division of Cubana de Aviación who got 13 years. Jair Rodríguez Martin, former head of exports for the Herber Biotec S.A. Biotech and Pharmaceutical products was given 10 years.

    Nonetheless, the deposed president of the Institute of Civil Aeronautics, General Rogelio Acevedo, was not mentioned in the case. He was also absent from sentencing of other officials under his command earlier this year.

    Cuba’s President Raul Castro has repeatedly warned that corruption will not be tolerated under his government, struggling to kick-start the country’s depressed economy.

    In a recent meeting of the Council of Ministers, Castro said: “Whoever commits a violation, whatever it is, will be brought to task, and to do so our courts, judges and prosecutors will begin to play a more decisive role.”

    Cuban political analyst Esteban Morales told IPS that corruption represents an “extraordinary danger” to the country and that “its corrosive power” makes it a matter “of national security.”

    By Circles Robinson

    Source: Havana Time


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  • Friday, July 1, 2011

    Cuba to allow foreigners, migrants to buy and sell homes

    "For Sale"

    The Cuban government is to allow private individuals, including foreign residents and Cubans who moved abroad, to buy and sell homes and cars by the end of the year, the Communist Party daily Granma said Friday.

    The Council of Ministers made the decision last weekend, as it sought to build on the economic recommendations made by the recent Communist Party Congress.

    'The agreements that were made by the Congress will not be shelved away,' Cuban President Raul Castro was quoted in Granma as saying to government officials.

    Castro has long insisted on the need for economic reform in communist Cuba, particularly to strengthen the private sector. He sees this as the best way to overcome the serious financial difficulties that currently affect the country.

    Cubans who live on the island and foreigners with permanent residence within its borders will now be allowed to buy, sell, exchange or donate homes.

    'It will be possible to transfer to partners, ex partners and relatives to a fourth degree of kinship the homes belonging to Cuban individuals who leave the country for good, as long as they have permanently lived with the owner for five years,' the report said.

    The new policy, according to Granma, seeks among others 'to contribute to solving the home-deficit problem' in Cuba.

    Source: M&C


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  • Friday, June 24, 2011

    Cuba: Another Historiography Is Possible

    The Presidential Palace, built between 1913-1920. From 1965, the Museum of the Revolution. 

    Last Friday, I was talking with a young Honduran historian who was referring to Cuba’s Republican stage (1902-1959). She simplified that period by comparing it to how she sees Panama today: a paradise for gambling and sex but with a government that is failing to provide its citizens a dignified life.

    No matter how much revolutionary historiography has attempted to satanize Republican Cuba (attaching it with prefixes like “neo” or “pseudo to the noun “Republic”), it takes an effort to think this way by anyone who values logic and knows something about the history of Cuba.

    At least it takes some effort on my part, because for me the Cuban republic was not merely an American backyard for gambling and prostitution. There were also institutions here that for their seriousness and quality earned an esteemed place in the memory of our senior citizens.

    These were such that I’ve yet to meet an elderly elementary school teacher who doesn’t speak of their career without concluding with the sentence: “Us, yes, we are true teachers!” in an obvious critique of educators created by the revolutionary government.

    That republic of “players and prostitutes” also gave humanity numbers of people of international stature, such as the world champion of chess (Jose Raul Capablanca) and of boxing (“Kid Chocolate”). And I have to say that if Cuba still cannot point to a Nobel Prize winner from that time, it was simply because the sponsors and organizers of that award considered it undue to grant such a distinguished medal to a Latin American.

    It’s worth clarifying that despite the fact that the Swedish academy never granted Dr. Carlos J. Finlay the award, it did indeed nominate him for it on at least six occasions. This was an award that he clearly deserved because of his discovery of the Aedes aegypti mosquito as being the transmitting agent of yellow fever, thus saving hundreds of thousands of lives, which in an ironic twist of destiny also facilitated the completion of the Panama Canal.

    Another republic quite removed from the casinos and brothels was the one that grouped itself around Cuban intellectuality. Here at least three true erudite circles existed: the liberal, the Catholic and the socialist one, each led by a caliber of intellectuals at the continental level – people such as Jorge Mañach, Jose Lezama Lima and Juan Marinello, each also with their own identity and way of thinking about Cuba.

    From their respective political positions, and throughout the entire period of the republic, these cultivated circles that knew how to maintain intense, respectful and enriching dialogues on the issues that affected the nation, a matter that has been excessively downplayed in today’s Cuban academic and cultural panorama.

    That republic, which my Honduran friend automatically compared to the worst part of Panama, she also defined as “of little importance” also had one of the most important architecture schools on the continent. This was where architects like Nicolas Quintana (who died recently in Miami), Havana resident Mario Coyula and many others designed and built in barely a half a decade (1953-1958) two of the most emblematic neighborhoods in Havana and in Cuba: Vedado and Miramar.

    It goes without saying that this Cuba, so “ill-favored” and full of thugs (according to national historiography), had the first Latin American Olympic champion: fencer Ramon Fonts (1904).

    It’s also worth remembering the important role that Cuba would play in the technological development of the region. The first Latin American airborne journey was carried out by a Cuban, Agustin Parla. The 1913 flight lasted almost three hours as that pilot traveled between Cayo Hueso (U.S.A.) and the town of the Mariel, west of Havana.

    Even rights such as divorce — so trying and difficult to understand for sexist Ibero-Americans at the beginning of the 20th century — was accepted in our country as early as 1918.

    In terms of other women’s rights, the first feminist movement in Ibero-America appeared at the end of the 1930’s in Cuba, thirty-six years ahead of the movement in Spain, for example.

    Other important facts that my friend should know is that in 1937 Cuba decreed, for the first time in Ibero-America, laws for the eight-hour work day, the minimum wage and university autonomy.

    In 1940 a constitution was adopted which was the first one in Ibero-America that approved the right of women to vote, equal rights for different sexes and races, and women’s right to work.

    In 1951 the Riviera Hotel became the first in the world to have central air conditioning.

    In terms of our agrarian culture, my friend should also know that in 1954 Cuba succeeded in producing one head of cattle for each resident, with the Cuban population back then numbering around six million people.

    It would also be worthwhile to recognize that in 1956 the UN recognized Cuba as the number two country in Latin America in terms of its literacy index, with its illiterate population consisting of only 23.6 percent – well above Spain’s illiterate population of 60 percent.

    In 1957 Cuba was recognized by the UN as the leading Ibero-America country in terms of its number of doctors per capita (1 for every 957 residents).

    In 1958 Cuba ranked as the second country of the world in the percentage of households with color television and it was the third in the world to establish a color TV station.

    In 1958 Cuba was the Ibero-American country with the most automobiles (160,000, or one for each 38 residents).

    I also feel it my duty to tell my friend that in 1959, Havana led the world by being the city with the most movie theaters (358), even surpassing cities like New York and Paris.

    In conclusion, I would like to let my friend know that I don’t have anything personal against our fine Panamanian sisters and brothers, nor do I believe that she does. Still, I would like to know if she still thinks the same after this brief review of the data on the Cuban Republic.

    Alfredo Fernandez Rodriguez

    Source: Havana Times 

    Related: Clouds in my Cuban coffee 


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  • Sunday, June 12, 2011

    Cuba: Tobacco dollars over public health






    In a section of the documentary "An Inconvenient Truth", Al Gore talks on the topic of smoking and its harmful effects on human life, but this piece of the film seems to be ignored by Fidel Castro and the Cuban communists, although they are apparently anti-global-warming activists.

    Much of the civilized world has begun to pass laws to ban smoking in places that affect other people, as recommended by the World Health Organization; however, as if it were not enough to be one of the only countries still governed by a socialist dictatorship, Cuba also prefers to be one of the few nations to avoid anti-tobacco regulations in order to not harm the earnings of its state tobacco industry.

    According to WHO, about 6 million people will die this year because of smoking, not including passive smoking, but in the socialist paradise of the Castro brothers, the "problem" to choose between health and dollars is defined in the style of Wall Street investment bankers, what makes more profit?, where tobacco capitalism wins easily.

    While Venezuela, Argentina, Ecuador, Peru, Colombia, Guatemala, Panama, Brazil, Mexico, Uruguay and other Latin American countries continue to move to offer its citizens smoke-free spaces, Cuba continues to hold the annual "Habano's Festival", tobacco is still among the top three Cuban export products, and the pictures of Fidel Castro and Che Guevara with cigars in their mouths are part of Latin American communist culture.

    A few years ago, the government of Cuba sought to promote anti-tobacco regulations, but they were nullified with the excuse of being intolerable for the people, which sounds highly implausible because we are talking about one of the most repressive dictatorships on the planet.

    And in this we have another of the contradictions of Cuban socialism. Fidel prefers to write about the growth of deserts in Africa and toxic emissions in the northern hemisphere, but where he can do something real for life, in Cuba, where the Castro family has dominated for the past 52 years, he chooses to discuss the problems in foreign countries.

    Luis Alberto López Rafaschieri and José Alberto López Rafaschieri

    Source: From the Beginning


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  • Friday, June 10, 2011

    Oakland airport authorized for flights to Havana


    In the latest sign of thawing relations between the United States and Cuba, Oakland International Airport has been authorized to offer nonstop flights to Havana.

    The airport announced Wednesday that as soon as December it will provide weekly charter flights to and from José Martí International Airport in partnership with Cuba Travel Services of Long Beach.
    Oakland joins eight other airports nationwide, including Chicago, Dallas/Fort Worth and Baltimore, that were authorized in March to fly to the communist country. Previously, only Los Angeles, Miami and New York airports offered such service.

    The United States' historically strained relationship with Cuba began loosening in January, when the Obama administration announced that it would relax restrictions on academic and religious travel to the island nation. Rep. Barbara Lee, D-Oakland, who pushed for the city's airport to be authorized by U.S. Customs and Border Protection to provide the flights, has long lobbied for more open interactions between the two countries.

    "It's one step in the right direction. I think we need to fully lift the travel ban as a major first step," she said. "Allowing airports to get a license to get a charter flight directly into Cuba is huge for Oakland."

    Tickets in October

     

    Round-trip tickets are expected to go on sale in early October for about $860, said Michael Zuccato, general manager of Cuba Travel Services, which will schedule the flights. The journey to Havana takes about 5 hours and 40 minutes; the return flight takes about 6 hours and 45 minutes.

    Cuba Travel Services has yet to finalize which carriers it will use, Zuccato said. It is in talks with a number of airlines, including Spirit Airlines, Southwest Airlines and JetBlue, and will use aircraft that can hold up to 160 passengers, such as a Boeing 737.

    Zuccato said Cuba Travel Services partnered with the Oakland airport because most of its would-be customers in the area reside in the East Bay. A spokesman for San Francisco International Airport said it is not planning to offer flights to Cuba.

    The travel changes announced in January do not affect the ban on U.S. tourism, meaning that those most interested in soaking up the sun at Cuban beach resorts will have to wait a while longer. Most trade remains barred.

    Academic opportunities

     

    But the new policies open possibilities for academic and religious groups. Accredited educational institutions can now apply to operate in Cuba under a license that authorizes students, faculty and staff to take credit courses toward a degree, conduct graduate research and teach a 10-week course at a Cuban academic institution. Members of incorporated religious organizations can also apply for a general license to participate in religious activities.

    Bay Area scholars who study the Caribbean and Latin America praised the news. UC Davis operates a study-abroad program in Cuba, but UC Berkeley and other universities canceled theirs because of the previous restrictions.

    "It's not that much further than the East Coast, but because of connections and all kinds of restrictions, it's just really a nightmare to get there," said Laura Enriquez, a UC Berkeley sociology professor who researches agriculture in Cuba and chairs the campus' Working Group on Cuba. "This will make it massively easier."

    The increased access to Cuba, though gradual, marks a significant step away from the icy relationship that has existed since the Cold War, said María Elena Díaz, an associate professor of history at UC Santa Cruz. The Havana native has taught a class on 20th century Cuba for the past decade.

    "I think that, slowly, Cubans and North Americans are coming to the realization that all of these restrictions are antagonistic and have not worked," she said. "Cuba has been moving on and the United States is staying behind. This is the moment, I think, to catch up."

    Stephanie Lee
    Source:  SFGate


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  • Saturday, June 4, 2011

    Raul Castro completes the octogenarian club to rejuvenate Cuban leadership


    Cuban President Raul Castro turned 80 on Friday, vowing to rejuvenate the country's aging leadership and its sagging economy.
     
    No official events took place as he joins Cuba's club of octogenarians, which already boasts his brother Fidel Castro, 84, and his second in charge, Jose Ramon Machado Ventura, who is 80.

    At a recent summit of the Communist Party, Castro said one of his last duties as head of government would be to pave the way for successors.

    “Today we face the consequences of not having a reserve of adequately prepared substitutes, with the experience and maturity to assume the new and complex work of leading the party, the state and the government,” he said.

    But on Thursday when seeing off former Brazilian president Lula da Silva, Raúl insisted it was a shame he could not retire because he was less than half way through the first of two possible five-year terms, thus hinting he would stand again for the presidency in 2013.

    If he were to retire his presumed successors are of the same generation -- vice-president Jose Ramon Machado is also 80, and close confidant Ramiro Valdes is 79.

    However in a radical break from the past, Castro has paved the way for more private enterprise, encouraging Cubans to open small businesses and pay taxes on their endeavors.

    Cubans have bought more than 200,000 licenses allowing them to go into business for themselves since last October. At the same time, Castro announced massive layoffs in the state sector that will eventually mean the elimination of more than 1 million jobs.

    Reform has reached agriculture where families are allowed to farm their plots and sell directly to consumers at market prices. Cuba with ample farmland to feed its population is desperate to cut its imported food bill, mostly from the US and Brazil and which is two billion US dollars per annum.

    In that line of action the scheme of free lunches for almost everybody has been gradually abolished and will be limited to the really needy.

    Even when there were no plans to mark Raul 80th birthday on Friday, officials anticipated that a grand celebrations is programmed for his elder brother Fidel's 85th in August. Former president Lula da Silva was in Cuba where he met with both Castro brothers, Raul and Fidel, to visit the construction of the Mariel port, 43 kilometres west of Havana. The port restructuring was subsided with a US$ 300 million credit line awarded during Lula da Silva’s term. Lula reported to be “happy” with his trip and his meeting with the Castros.

    Source: MercoPress


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  • Thursday, June 2, 2011

    Clouds in my Cuban coffee


    The writer returns to the country of her birth, only to have her illusions met by hard reality.

    Our family was lucky. Or at least that’s what my parents told me, over and over again. “We got out of Cuba just in time.” First my mother, with my two siblings and me in 1960. Then my father, shortly before the revolutionaries appropriated the family business. My grandmother waited the longest, emigrating the following summer. She left her husband behind, forever as it turned out. He stayed in Havana to take care of a younger brother who had been imprisoned by Castro’s regime for “collaborating with the CIA.”

    After I married and had children of my own, I began dreaming of returning to Cuba. My situation was complicated, though. First, because I am now a U.S. citizen. Second, because both sides of my family had been part of the hated bourgeoisie before the Cuban revolution and had openly opposed Fidel Castro.

    I called my uncle in Washington, D.C., for advice. He’d been the mayor of Havana and ambassador to the United States under former president Ramón Grau. He discouraged me from going, warning that it would not be safe for any member of our family to return. My father agreed. He knew Fidel well — he had crossed paths with him every day in the hallways of their private Jesuit high school. “He was a bully then,” he said, his face darkening, “and he is a paranoid bully now. You might get in, but you might not get out.” Still, one afternoon, he drew a map of Havana with an engineer’s precision and carefully marked a half-dozen places of interest in red pencil: the family business, our home in Havana, my grandparents’ houses.

    My maternal grandmother lived with us in New Jersey after she emigrated. One summer morning, she patted a spot beside her and told me a secret. Just before she fled Cuba, she whispered conspiratorially, she had hired a master carpenter to hide a few precious belongings under the staircase of her home. A box of photographs. A bundle of letters. Family heirlooms, nestled in velvet and gold-brocade drawstring pouches. “Si regresas a La Habana,” my grandmother concluded, squeezing my hands too tightly, “If you make it back to Havana . . . promise me, Ali, that you will go to my house and get my things.”

    Twice, in my 30s and again in my 40s, I wrote letters and submitted applications for entry as a visiting journalist. I didn’t get very far, and I set aside my dream — until my eldest brother died unexpectedly, at age 51. He was cremated, and we scattered his ashes in the Atlantic Ocean hoping the sea would carry him to Cuba, his homeland. As the dark clot of cremains dissipated in the lapping waves, the familiar longing rose in me. Suddenly, nothing seemed more important than returning to Cuba.

    I quit my publishing job of 27 years. I found a new job in education that qualified me to conduct research in Cuba.

    I spent long hours online and on the phone investigating potential itineraries. Finally, on the off chance that I’d satisfy both countries’ requirements for legal travel, I paid a well-connected Cuban travel agent to process a thick stack of forms and documents.

    It was madness, but it worked. At the 11th hour, I received a phone call from the agent, who told me she was holding in her hands the Cuban government’s entry permit. She was as surprised as I was. “The Cuban officials must not have looked closely at your application. You’re very lucky.”

    Three weeks later, on Aug. 1, 2009, I stood in line at Miami International Airport with a lively group of Cuban families waiting to board a chartered flight to Havana. The minute our plane lifted off the runway, the passengers broke out in applause. Flushed with excitement, my seatmate said, “Life is very, very hard in Cuba, but we miss it terribly all the same. There is no more beautiful place on Earth.”

    At José Martí airport in Havana, I breezed through the H1N1 screening line, customs line and luggage tax line. As I approached the fourth and final line, I eyed the exit. “Wait!” the official I’d handed my declaration card to commanded. “What is this?” A hairy index finger stabbed the line where I’d written “U.S. citizen.”

    “I have my passport right here,” I stammered, confused by his tone. “I can show it to —”

    “No!” he barked. Then he theatrically shredded the declaration card and called over another official to cover his post. When he led me away to a private area of the airport, I panicked. But he simply whipped out a fresh form and helped me fill it out “correctly.”

    “Look, your U.S. citizenship does not mean anything here,” he explained. Eres cubana, entiendes? “You are Cuban, got it? You might have a house and some official papers in America, but you will always be Cuban. That is what you must write here.”

    I expected smooth sailing from then on. I was wrong. As I stepped outside the airport into suffocating heat, I found myself, like Alice in Wonderland, mystified by the strange, new world I’d tumbled into. Only this was no wonderland.

    The experiences of the next seven days were deeply disorienting. When I told the cab driver my destination was the Hotel Habana Libre, he said bitterly, “I am not welcome in your hotel, because I am dark-skinned. The government thinks tourists are more comfortable around light-skinned people. Even when my relatives from America come for a visit and stay here, I am not allowed to go up to their room.”

    I was genuinely surprised. Given that Cuba’s population is over 50 percent black and the government prides itself on equality and the common good, I thought race relations would be better. I asked the driver if this hotel was an exception. He snorted and bounced the cab over a curb and into the hotel’s circular driveway.

    Still, nothing could dampen my spirits. I was here! And I was about to enter the famed “Havana Hilton,” as the hotel was originally christened. My father’s first cousin launched his career as an architect here, designing one of the grand ballrooms. My young parents had strolled through the magnificent lobby, undoubtedly admiring the three-storey atrium. I was born in April 1958, just one month after the grand opening. Perhaps I had walked through these very doors myself as a toddler.

    But as I approached the main entrance, I tensed. Uniformed guards flanked the doorway. Plainclothes police with poorly hidden earpieces moved silently through the lobby. Glancing around as I waited in line to register, I spotted the cold eye of a surveillance camera tucked among plastic foliage.

    Never far from watchful eyes, I followed the pre-approved itinerary exactly. I attended canned lectures, toured designated schools and interviewed teachers and university professors for my “research project.” I learned little of any consequence in these government-sponsored venues. A few hours online would have been more fruitful.

    It was not easy to access the Internet, though, even in the hotel. Guests had to turn over their passports to the computer-room clerk before using the shared computers, and the Internet connection was extremely slow. Phone calls were monitored, too, in the glass-enclosed booths of the hotel telephone centre, where a helpful operator dialed all calls and, I’m told, listened in.

    Some days, though, the itinerary allowed for a few unscheduled and unsupervised hours to rest or shop. On these days, I quickly changed into a simple housedress and sandals and struck out alone. It was these solitary excursions — and the spontaneous encounters they occasioned — that made my visit worthwhile. I walked slowly, taking in the rich colours and scents of royal purple bougainvillea, blood-red hibiscus and the fiery blossoms of framboyan trees, and greeting the Cubans squatting in doorways and loitering in storefronts, striking up random conversations. A surprising number were friendly and willing to talk, to tell their stories.

    It’s true, these Cubans told me, that the government provides free health care and education. Every Cuban has a roof over his head and food on her table. But since the 1990s and the fall of the Soviet Union, the shortages in medicine, housing and food have eroded confidence in the regime. “It got so bad,” one woman told me in a hushed voice, “little children got horrible diseases. Some people became blind, and some people” — she formed a noose with a hand cupped around her neck — “you know. They just gave up.”

    A Cuban lawyer complained about the lack of access to world news. “How many channels can you watch in your hotel?” he asked me with boyish curiosity. He peppered me with questions about U.S. President Barack Obama, the American economy and our education system. The popularity of a half-dozen Cuban bloggers and Raúl Castro’s promise to make the Internet and mobile phones more accessible had led me to believe that information from the outside world was seeping into Cuba. But my casual acquaintances howled with laughter when I asked if they had mobile phones. “I can’t afford eggs for my children or a tin can of paint for my house,” one said. “Those things are only for the military and high officials.”

    One rainy day, an elderly woman invited me inside her kitchen for a cup of café cubano. Spotting a crucifix above the table, I asked her about religious practice in the country. “It is easier now,” she told me, “but if you are young it can prevent you from getting a good job.” She hesitated, then blurted: “My pastor was killed two weeks ago.”

    “Oh, no. What happened?” I asked. She shifted uncomfortably in her chair and twisted a corner of the floral tablecloth. “It was an attempted robbery,” she said finally, avoiding eye contact. I stopped asking questions.

    One experience was lighter, if no less sobering. I joined a busload of tourists on a day trip to the countryside. Our destination was a post-revolutionary Cuban community with an impressive array of social services, a well-equipped community centre and sparkling white-washed bungalows dotting the forested hillside. At the model home near the end of our tour, I hung back to thank the family who’d so kindly greeted us. “It must be difficult for you with all us tourists traipsing through your house every day,” I said in Spanish. The grandmother exchanged a furtive glance with her daughter and nodded. “How long have you lived here?” I asked. She answered vaguely, “A while.” When she learned I was born in Cuba, she invited me to join her and her daughter for coffee in a back room. “We don’t really live here,” her daughter offered as I sipped the sweet espresso. “It’s a great job, but our real house is five minutes away. We come here every day for the tourists. Anyway, we’re lucky to be able to live in this community. The government keeps it nice for the tourists. There’s a waiting list to get in.”

    Halfway through my visit, I abandoned the idea of retrieving my grandmother’s possessions. Not only because it would be impossible to gain admittance to her former home, which sat squarely in the capital’s Embassy Row, but also because my romantic daydreams had been impaled by the real and present desperation of the Cuban people. I had not travelled to Cuba expecting to see the paradise of my parents’ memories, of course, but I had hoped that things would be better for the average Cuban. Life still seemed impossibly hard here.

    As I sat at the gate in José Martí airport waiting for the charter plane that would carry me back to the United States, I couldn’t help wondering: How much has really changed in Cuba? The military and high-ranking government officials are Cuba’s new bourgeoisie, indifferent to the suffering of their fellow citizens. We tourists and researchers are kept in the dark, steered toward upscale resorts, hotels, restaurants and shops that few Cubans can enter, much less patronize. We visit Potemkin villages erected for our benefit, and our dollars line the pockets of the privileged.

    On the last day of my visit, an American university professor and socialist sympathizer said, “Every year I visit Cuba hoping that things will be better. This is my sixth visit.” He and I discussed how U.S. policy helped cripple Cuba’s economy and isolate its citizens. In the previous week, I had asked several officials and as many ordinary Cubans some variation of the question, “What should I tell Americans about Cuba and the Cuban people?” Some responded that I should tell Americans about the Cuban people’s ingenuity, resiliency and national pride despite the country’s troubles; others spoke of the Cuban people’s keen sense of humour and achievements in the arts and sciences. But everyone, absolutely everyone, repeated one particular message: Tell the American people to lift the blockade, not just for economic reasons, but for the sake of intercambio — the human exchange that inevitably leads to mutual transformation.

    By Alicia von Stamwitz 

    Alicia von Stamwitz was born Alicia Ramirez de Arellano. She lives in St. Louis.


    Source: UC Observer


    Cuba Before Castro


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  • Sunday, May 29, 2011

    New golf courses in Cuba? Not yet

    The only golf course in Havana.

    Golf in Cuba has been talked about for many years but building golf courses in Cuba requires a delicate mix of Capitalism and Communism.

    The Capitalists aren’t going to invest hundreds of millions of dollars in development and the Communists don’t want to give up government owned land and allow for “inequalities” in the Communist system. Currently there is a government owned golf course in Havana for foreigners and the Varadero Golf Club.

    Until recently, foreign owned golf course development in Cuba was all talk and no action but that could be changing. Maybe…

    The Cuban government has recently announced the easing real estate ownership laws for foreign investors by allowing 99 year leases of land, villas and other property. This allows buyers to get bank financing so now developers have the incentive to build the golf courses so they can sell the villas, condos, timeshares etc that will compliment them. However, the Cuban property laws have not yet been published so developers are preparing for golf course development but until the laws are published, no one knows the details of ownership. Also, no development group has received final approval from the Cuban government. ALL are in some phase of “negotiation”. So, is this time any different? Here is the summary golf course development projects currently “in development” in Cuba, from oldest to newest.

    Leisure Canada

    From Business Week company description: “Leisure Canada Inc. engages in the development of hotel and resort properties in Cuba. It also develops golf courses. The company was founded in 1986 and is based in Vancouver, Canada”.

    From this 1999 Leisure Canada press release: “The Le Meridien Village Jibacoa will form the cornerstone of Leisure’s 5.5 sq. km property in Jibacoa, Cuba, with an anticipated start of construction in September 1999. To add to this, the Company plans additional 1600 vacation ownership golf villas and condominiums, strategically located around two golf courses and marinas.”

    In the 25 year history of Leisure Canada, the company has NEVER broke ground on ANY project in Cuba and its entire business model is real estate and golf course development in Cuba. Now the company is trying to raise “working capital”. Note that their stock has been flat or down since the Cuban government started announcing favorable news to golf course developers. One would think that this publicly traded, Cuba focused development company’s stock would jump on such news but savvy investors with an eye towards Cuba know that what is said and what is done in Cuba are two VERY different things. However, one would expect this stock to pop when the Cuban government actually announces that a golf course development project has actually broken ground in Cuba.

    Carbonera Club

    From a June 2008 article: “A British company in which Sir Terence Conran is involved has set up a strategic partnership with the ministry to develop the first of several golf resorts on the Caribbean island. The Carbonera Country Club Resort, which is due to open in 2011, will be developed by Esencia Hotels & Resorts. Carbonera is one of five golf projects in Cuba given the go-ahead by the authorities, three of them by Spanish developers and one by a Canadian company.

    The Carbonera Club press release from the same time “Construction of the Carbonera Golf & Country Club will commence in 2009.”

    Nope. Never happened. So, are things different now with Standing Feather’s Loma Linda Golf Estates (see below) announcement? The Cuban government has made positive statements about golf course development and real estate for sale in Cuba but until the Cuban government itself makes an announcement that ANY golf course project has begun, don’t believe the hype.

    La Altura

    A British-Spanish group hired Foster + Partners to design a gigantic golf course community near Bahia Honda west of Havana featuring three golf courses and a 200-slip marina. Estimated cost to be $1 billion with plans to spread out over more than 1000 hectares featuring more than 2000 apartments and timeshare units.

    According to CubaNews.com, the units will be in clusters of 964 units near the golf courses, 450 near the marina, another 308 adjacent to a lake and another 300 next to a planned golf academy. In addition, 293 single-family homes are planned on parcels of 1,500 to 2,000 square meters each.

    Also planned are two five-star hotels—a 300-room oceanfront tower and a 120-room property near the golf courses. In addition, the resort will have its own airstrip, which currently measures 800 meters. That runway will be extended to between 1,800 and 2,000 meters, large enough to accommodate Boeing 737 or Airbus 320 jets capable of carrying 150-200 passengers each.

    Bello Monte

    The Bellomonte project on Guanabo beach, just east of Havana, calls for about 800 units ringing one golf course, plus a small marina.

    Guanahacabibes

    According to CubaStandard.com, La Playa Golf & Resorts S.L. is planning to build a resort centered around seven golf courses. This is proposed to be a giant 4,000-hectare project including apartments, villas, townhouses, three boutique hotels, a golf academy, marina, sport fishing club, and a horseback riding center.

    Loma Linda Golf Estates

    The most recent announcement by Standing Feather from Ontario Canada states that this company is ready to break ground after almost a decade of negotiations. The 99 year lease plan was important to Standing Feather since the company not only wants to build a golf course but wants to sell villas and and condos. All golf course developers will want to sell villas and condos, that’s where the money is… not from fees for rounds of golf.

    While the New York Times reported that Standing Feather had received “preliminary approval” with the Cuban government, the Globe and Mail reports that the company is “hoping to finalize a deal this August to create a joint venture”.

    The Times article goes on to say that the company “signed a memorandum of agreement with the Cuban government in late April and will be the first to break ground, in September”.

    From the Standing Feather website, the company is in the “final stage of negotiation with our Cuban partners, and the imminent formation of the Cuba-Kanata Golf SA joint venture”.

    Summary

    Until the Cuban government itself makes an announcement that construction of ANY golf course has begun, we’ll all have to be patient because everything else is either posturing or simply hype. Why? Because first, this is Cuba we are talking about so nothing can be independently verified because there is no free press in Cuba and second, we have seen this type of announcement before… many times.

    Rob Sequin 

    Havana Journal


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  • Saturday, May 21, 2011

    Has Cuba Lost its Last Chance?



    Raúl Castro’s consolidation of his position as successor to his brother Fidel confirms that his Cuba will give the military domestic hegemony, which makes any serious political or economic opening in the near future seemingly impossible. The Cuban Communist Party’s recent Sixth Congress reflected this, offering little new and rehashing a lot of the old.

    Since ill health forced Fidel Castro to retire from Cuba’s leadership, Raúl has opened the doors to the military and pushed out even those civilians who had been his brother’s trusted associates. While Fidel wrote doctrinaire articles in the official press, the armed forces took over politics and production. Fidel’s appearance at the Party’s congress – an event full of political significance, because he has only rarely participated in public events since becoming sick in 2006 – seemed to confirm his support for this outcome.

    We now know that the congress had been put off for 14 years, owing to deep divisions among Cuban leaders. The civilian group that was ousted wanted to adapt the “Chinese model” of gradual economic reforms initiated by the Party. Raúl and his military cronies, however, cornered Fidel and imposed their group’s criteria.

    In Asian communism – as practiced in China and Vietnam, in particular – the Party leadership rotates periodically, and a civilian leadership controls the military. Systemic nepotism in the top political and military leadership exists only in North Korea.

    By contrast, Cuba’s new Raúlist political structure takes its inspiration from the purest tradition of Latin American military caudillismo, using communist ideology pragmatically. The model is clearly revealed in the nature of Raúl’s proposed reforms. The economy’s most dynamic industries – namely, mining and tourism – are reserved for the military, which manages them in a business-like, profit-seeking way.

    Only in these privileged sectors can some reforms be seen. The “new class” that populates them does not demonize foreign capital. Indeed, there are talks centered on debt, with some creditors interested in the mechanics of capitalization.

    For the rest of the economy, the Party’s position recalls the famous line from Lampedusa’s Il Gattopardo (The Leopard): something must change so that everything else can remain the same. The sale of buildings and vehicles will be legalized and self-employment authorized, mainly in the service sector. But, lacking capital and forced to pay taxes, what fate awaits industries driven by the state into the market?

    Nearly 1.5 million Cubans will never have a stake in the industries controlled by the military bourgeoisie. Nor was the issue of land ownership resolved: only a few plots will be leased in some form.

    As a result, Cuba will continue to import a lot of food, most of it at a price that the population cannot afford. Moreover, ordinary Cubans fear that their ration cards – their only means of getting food – will be canceled. Indeed, according to Raúl, the state-controlled food-rationing system is a “factor of immobility,” but no one knows what might replace it.

    The Sixth Congress ignored questions of human rights. Neither freedom of the press nor access to information was on the agenda, and the opposition will continue to be ignored, its only options being conditional freedom or exile. Migration, an option financed by remittances from relatives in the United States, was not made any more flexible, either.

    When the Soviet Union collapsed, many believed that the Cuban regime would take the road to reform, however grudgingly. But the democratic transitions in Eastern Europe made Fidel Castro wary, so the first opportunity for a similar transition in Cuba was lost. Now an opportunity to introduce young blood and new ideas has similarly been missed: although the Sixth Congress adopted a ten-year limit for holding office, the two people designated to succeed Raúl Castro are both octogenarians.

    In the 1980’s, Deng Xiaoping warned that China would collapse if it didn’t change; Raúl has said the same thing. But Deng chose real reform and real change, appealing to overseas Chinese, whom the Party had demonized for many years, to bet on the country’s future and invest. The diaspora listened – the beginning and the secret of the reforms that put China on the path to its current economic success.

    Cuba cannot remain isolated, dependent on Venezuelan petrodollars and penalized by America’s ill-conceived trade embargo. Any realistic agenda for change in Cuba inexorably requires opening up to the world, along with ensuring full freedom within the country. Unfortunately, the Sixth Congress demonstrated that the Cuban Communist Party remains in denial about the country’s prospects and options.

    Carlos Perez Llana

    Source: The Guatemala Times


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  • Sunday, May 8, 2011

    Corruption in Cuba - Greed or just survival?


    Corruption. Unfortunately it’s a way of life in Cuba due to the failure of Communism and a centrally controlled economy. 

    A visit to the Black Market is an every day event for most Cubans so they can “resolve” the challenges of living in Cuba. When you see the word “resolve” used in this way, it means to borrow (and never return) something, usually from the government.

    Three generations of Cubans have lived this way. Couple this with the “go along to get along” mentality in order to stay out of trouble in Cuba and there is little reason to wonder why there is corruption in Cuba.

    Everyone is careful not to “resolve” too many problems or too be too successful or too openly critical of the government or to be too corrupt but, cross the invisible, moving line and you are arrested. You are removed from your state job and even your family may suffer in one way or another by losing their job, a promotion or some other perk from the cradle-to-grave Cuban social security/free healthcare/free education system.

    I just read Cuba: Catching Kleptocrats by Nick Miroff from Global Post.

    He writes “As part of his economic reform push, Castro wants to give more independence to Cuba’s state companies and local governments, freeing them from the need to obtain Havana’s permission for every little decision and expenditure. But a series of corruption scandals among Cuban executives in recent months has been a reminder as to how the island’s state-run economy got so centralized in the first place. As soon as the government eases up its controls, company managers steeped in graft tend to get even greedier.”

    Manuel Garcia - Habanos

    Manuel García, Habanos’s commercial vice-president has been in jail since August 2010. He and ten of his staff also face corruption trials for allegedly accepting bribes in exchange for selling Cuban cigars at a discount to black market distributors.

    Rogelio Acevedo - Cubana

    Nick goes on to write “Rogelio Acevedo, the country’s former top aviation official, was arrested last year for allegedly running a side business that chartered jets of the national airline, Cubana de Aviacion, for outrageous personal profit. There are also new reports this week that executives in the country’s lucrative nickel-processing industry are in custody and facing corruption charges.”

    Alejandro Roca - Food Ministry

    As reported in Granma (the “you read what we want you to read newspaper), Roca has been sentenced to fifteen years in prison after being found guilty of several crimes “continuously accepting bribes and acts harmful to economic activity”.

    Max Marambio - Chilean businessman

    Friend of Fidel Castro, Chilean businessman Max Marambio was sentenced to twenty years in prison for the crimes of accepting bribes, fraud, and falsification of bank or trade documents with regards to his Rio Zaza company. The crimes committed were particularly grave and required a vigorous legal response, in correspondence with the extensive damage to the national economy. This trial was connected to the Roca trial. Both men were convicted in absentia. There was no mention as to why Roca was not present.

    Pedro Alvarez - Alimport and Cuba Chamber of Commerce

    Pedro Alvarez, former President of the purchasing agency Alimport who then moved (or was moved) to the Cuban Chamber of Commerce is under investigation for alleged corruption. It has been reported that he was detained several times by the Technical Investigations Department in Havana.

    Summary

    In April 2010, Esteban Morales, said some top Cuban officials are preparing to divide the spoils if Cuba’s political system disintegrates. He continued “In reality, corruption is much more dangerous than so-called internal dissent,” Morales wrote in the piece, which appeared on the Web site of the state National Artists and Writers Union of Cuba. “The latter is isolated ... but corruption is truly counterrevolutionary because it comes from within the government and the state apparatus, which are the ones that really control the country’s resources.”

    In November 2010 we heard from a source who believes that many of these charges may be “inflated” and targeted against people loyal to Fidel Castro. In other words, there is speculation that Raul Castro is removing anyone loyal to Fidel. As many know, Carlos Lage and Felipe Perez Roque were removed from office for being seduced by the “honey of power”.

    So, today, maybe Raul is done cleaning house or maybe the new economic opening is seducing more government officials to be corrupt or maybe the Cuban government is looking harder for corrupt officials. The Global Post article is wrapped up this way “Cuba’s Comptroller General Office’s is currently engaged in an audit of 750 state companies, sending 3,000 investigators to look into “all sectors, all organizations and territories” and evaluate “discipline, legality and economic control,” Comptroller General Gladys Bejerano announced on state television last month. So more managers may fall in the coming weeks.”

    Life in Cuba is the definition for “Damned if you do and damned if you don’t”.

    Rob Sequin 

    Source: Havana Journal


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  • Friday, March 18, 2011

    Castro vs Batista

    Castro to Batista: "Are we there yet?"

    Fifty-two years into the Revolution, Fidel Castro will have achieved all the failings, real and perceived, that Cuba had under Batista, and it will have retained few of the virtues.

    Over at the Museo de la Revolucion, Fidel Castro's case against the dictator he overthrew 52 years ago is vividly on display.

    Fulgencio Batista was evil incarnate, the museum earnestly instructs visitors in room after room of the once-magnificent building, formerly a presidential palace built in 1920 and decorated by Tiffany's of New York. Under Batista and his predecessors, we learn through photos and text, Cuba became a playground for crass tourists who came for sex, drink and gambling, and who crowded the country's pristine beaches to the detriment of ordinary folk. To drive home the immorality of pre-socialist times, the museum displays an original National Lottery of Cuba ticket from early in the century, a symbol of the country's fall from grace.

    We learn that Batista was an illegitimate leader, the election he won stolen by manipulating the press. Worse, Batista intimidated, even jailed or killed, political opponents.

    But Batista also failed Cuba by failing to invest government funds wisely. One damning display berates Batista's priorities with a list of budget line items that show government expenditures on frills such as roads, promenades and buildings. Batista's sky-high spending on telecommunications - which the display dubs as military - comes in for criticism. Another display lambastes Batista for failing to diversify the economy. Another still, which provides a year-by-year report of sugar output, accuses Batista of neglecting this all-important industry. The numbers show a downward trend, interrupted with some up-ticks, in the 1950s, and then a giant leap forward, as Castro mobilized the country to produce more sugar in one of his regime's grand economic plans.

    The moral and economic rot under Batista led to humiliation and human tragedy, the museum tells us. "Many women who were denied jobs saw themselves forced to become prostitutes in order to survive," said one display. Said another: "According to a census in 1953, there were 200,000 shacks and misery huts." Said a third, also referring to the 1953 census: "40,939 people died due to lack of medical attendance and unsanitary living conditions."

    The history the museum imparts is part truth, part fiction and all hypocrisy. Batista was indeed an unsavory character. He did oversee a corrupt administration in Cuba. He did undermine the halting democracy that the United States helped create after liberating Cuba from oppressive Spanish occupation at the turn of the century.

    But Cuba and its U.S.-style constitution was also an economic powerhouse with potent social institutions and impressive accomplishments. A 1958 United Nations report ranked Cuba's vibrant free press eighth in the world, and first in Latin America. Despite its much smaller population, Cuba had 160 radio stations compared to the U. K.'s 62 and France's 50. It had 23 television stations compared to Mexico's 12 and Venezuela's 10. The tiny country supported 58 newspapers, fourth in Latin America behind populous Mexico, Brazil and Argentina.

    Raul Castro (r), now the President of Cuba, in the hands of Fulgencio Batista (around 1938).
    Cuba once installed telephones at a rapid rate. No more. It once ranked first in Latin America, fifth in the world, in television sets per capita, and also ranked high in radios, automobiles, and many other consumer goods. No more. With the population increased and the housing stock degraded, more people suffer inadequate housing today than ever before, and sanitary conditions have become a scandal through much of the country.
     
    The information-hungry populace in the Batista era was well-educated, as it remains. Student registration at primary schools in 1955 was 1,032 students per 10,000 inhabitants, higher than the figures for 1990 of 842. The registration rate for higher education was an impressive 38 per 10,000, about the same as it was 10 years later (34 per 10,000) and 15 years later (41 per 10,000). The country, in fact, had a long history of high literacy levels: At the turn of the 20th century, only 28% of those 10 and over couldn't read or write, not that different from the current figure, 100 years later, of 16%.

    But unlike today, Cuba's economy under Batista was powerful, both domestically and in exports, and it was becoming increasingly diversified. Under Castro, its economy is in tatters, nowhere more so than in the sugar industry that Castro once promoted so heavily. A few years ago, Castro announced a shut down of half of the country's sugar mills. "We had to act or face ruin," he explained. As he told NBC News at the time. "It cost us more to produce sugar than what we could sell it for."

    But if Batista bested Castro in virtually every broad socio-economic indicator, he paled in comparison when it came to controlling either the electoral process or the populace. Castro executed thousands of political opponents after he came to power, imprisoned tens of thousands and caused hundreds of thousands to flee to exile. Where Batista won a disputed election, a Castro election leaves no room for dispute: Castro allows no opponents, no opposing viewpoints to appear in the press, and, because that might not be enough, his political machine ensures a good turnout by keeping tabs on who votes and who doesn't: In the 2003 national election, Castro managed a 90%-plus "yes" vote, not quite as impressive as Saddam Hussein's 100% but, among dictators, respectable enough.

    Those who revile Batista often point to a decadent economy that relied on mafia-run casinos, prostitution and other demeaning jobs servicing tourists. Tourism was important under Batista - Havana was an east-coast alternative to Las Vegas, complete with the sex and gaming, and the same mafia owners - but never as important as tourism has become today. Cuba's once diversified economy is gone and Castro is now putting all of his hopes in attracting tourists.

    To do this, Castro's Cuba now permits prostitution, it winks at sex tourism - tourist guide books even include sections on the country's once-taboo gay and bisexual scenes - and, as under Batista, the country unabashedly invests heavily in tourism. In 2003, Castro inaugurated a US$100-million resort on the island's northeastern coast, broadcast nationwide, to underscore the importance the government places on the new five-hotel complex of 944 rooms able to house 1,500 tourists.

    Tourism is now Cuba's No. 1 source of foreign income, with 1.6 million visitors generating about US$2-billion in 2002. More tourists come from Canada than from other important sources of foreign exchange, chiefly Germany, Britain, Italy, France, and Switzerland. Castro, like Batista, is eyeing one other important tourist market.

    "Our friends from the north are not in this list," Castro said once with a grin, referring to Americans that can't travel to Cuba due to U.S. government regulations.

    Some day soon, perhaps, Castro's dream may be realized, and Cuba's economy may once again benefit from U.S. tourism. If it does, Cuba under Castro will have recovered one of the benefits that the country once enjoyed. Fifty-two years into the Revolution, Castro will have achieved all the failings, real and perceived, that Cuba had under Batista, and it will have retained few of the virtues.

    Updated from an article by Larry Solomon in the Capitalism Magazine

    Some images from Cuba before 1959  


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