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The socialist state enterprise is the key link in Cuba’s economic model

Cuba economiaDeficiencies persist in central enterprise management, noted Marino Murillo Jorge, head of the Policy Implementation and Development Commission, during a recent meeting with Cuban President Miguel Diaz-Canel Bermúdez and government leaders

The existence of overstaffed bodies, increased expenses, too many meetings and procedures, and excessively centralized operations and approval processes are among the deficiencies that persist in the Enterprise Management Central Organizations (OSDE), explained Murillo, head of the Policy Implementation and Development Commission, during a recent meeting with Cuban President Miguel Diaz-Canel Bermúdez and government leaders.

In this regard, considering that the role of local government boards with less positive results is limited to approving OSDE strategic development plans, the President insisted on the importance of dedicating time to this work, “Otherwise we are stuck in time,” calling for longer-term analysis, to plan investments, new products, and services.

Díaz-Canel reaffirmed that the socialist state enterprise is the key link in Cuba’s economic model, and must be turned around and strengthened.

Government boards were created to supervise the state enterprise system in their locality, and play a decisive role in representing the country’s interests. Murillo reviewed their performance in fulfilling this function, focused on analysis and approval of distribution plans for earnings, as well as compliance with directives and the results of management activity.

In terms of improvement efforts, which began in 2011 and continue, it was reported that several policies are being studied or approved providing for the extension of enterprise authority; the creation of high-tech companies, science-technology parks, and links with universities; as well as the development of companies to produce applications and provide computer services.

IN THE NEW CONSTITUTION

ARTICLE 27. The socialist state enterprise is the main actor within the national economy. It has autonomy in its administration and management; plays a leading role in the production of goods and services, and fulfills its social responsibilities. The principles of organization and operation of the socialist state enterprise are regulated by law.

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