New Regulations Improve Cuban Business System

With the publication today in the Official Gazette of Cuba of new regulations on Non-Agricultural Cooperatives (CNA), the island authorities improve the business system and the island economic mechanism.

Decree Law 366 and 356 appear on Friday in this official publication, in addition to two regulations with the numbers 361 and 362 on the CNAs that are in experimental process.

The second head of the Area of ??Improvement of Entities part of the Permanent Commission for the Implementation and Development of the CNA, Yovana Vega, argued it is not about curbing the development of this mechanism, but on the contrary, develop and perfect it.

She said they seek to ratify the validity of the experimental process of creating cooperatives in non-agricultural sectors, in correspondence with what is expressed in the conceptualization of the Cuban Economic and Social Model of Socialist Development.

These new legal and business applications, aim to regulate the errors appreciated in this process and regulate some essential elements to promote such a productive way.

The experimental process began in 2013 with the creation of the first 126 cooperatives of this type, with an increasing development, said the expert.

At the end of May 2019, 398 non-agricultural cooperatives operated, with 18,000 members, in 10 different sectors, as gastronomy (151), commerce (81), construction (59), industry (34) and personal and technical services (29).

Other areas are ornithology (17), transport (12), food (3), energy (7) and accounting services (5).

After evaluating the first years of operation, positive aspects of its management were identified, as well as those that limit its development, the basis for the new standards.

Vega argued that during the first part of the experiment, deviations in the management of some cooperatives were identified, mainly associated with indisciplines and violations of legality, which were later amended.

Therefore, it was determined that at this experimental stage no new cooperatives will be created. The priority will be focused on efforts to consolidate the operation for those already established.

In this regard, measures will be applied to improve them as economic actors that must operate on equal terms as the rest of the figures in the business sector.

They should also have a greater impact on activities carried out at territorial level.

In addition, the required mechanisms for control and proper functioning will be strengthened.



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