Cuba’s Economic Makeover: Less Cigars, More Capitalism

Turning Old Habanos into New Cash Flows, One Puff at a Time!

In recent years, Cuba has embarked on a journey of economic transformation, moving away from decades of centralized planning towards a more diversified and open economy; open, considering the restrictive “real socialist policies” of the last decades. This shift, driven by internal reforms and changing global dynamics, marks a pivotal moment in Cuba’s history, offering new opportunities for growth and development.

Gone are the days when Cuba alone provided two main industries for its national budget, namely tourism, in conjunction with its world-famous cigar industry. The other source of income was, on the one hand, intelligence services for allied nations, logistical help (Cuba is geographically perfectly located for this) as well as surgical cosmetic services for refugee ex-dictators and petty kings (preferably from Central and West Africa) who, after losing conflicts, suddenly found themselves without the support of the West needed a new identity. This second industry is more economically profitable than some people think, as it also puts Cuba in a stronger foreign policy position in the medium term. In this respect, Cuba also owes its growing political influence in Central and South America to the arrogance and stupidity of the Western community of states. It doesn’t surprise me that for decades (with a few exceptions) every world chess champion came from an eastern country. Sometimes it…