The big boom of Cuban MSMEs
Every day the press reports on a new private enterprise that emerged or was approved as a result of the government’s decision in June to give the green light to micro, small and medium-sized enterprises (MSMEs) in Cuba, whose number today amounts to 102 entities.
Another impressive figure was that of 555 applications received for the creation of MSMEs and Non-Agricultural Cooperatives, published by the Ministry of Economy and Planning (MEP) on October 8, which also reported that no application has been rejected.
The figures show that the scenario is favorable and that we are on the right track. However, to know the true impact of this measure on the economy, we must look at the activities carried out by these new economic actors. Among those in the first group were food production operations, manufacturing, recycling, technology, and local development and export projects.
Among the 67 in the second package, manufacturing and food production stand out, but we cannot overlook the repair and maintenance of motor vehicles and industrial machinery; the manufacture of machines, equipment and technological systems; activities related to information technology and the development of plastic products; all of which are important for the take-off of many sectors of the national economy.
One of these MSMEs in the process of incorporation is Mandao, known to Negolution readers, and which, after two years of joint efforts, constant growth and expansion and development of new lines of business, is now entering a stage that will provide it with more flexibility in its actions and better possibilities of insertion in new scenarios.
Under the label of Logistics Operator, which will allow it to provide greater coverage to several services under development, and with a defined technological profile, this future small private Cuban company provides delivery services in five provinces. As will occur with most of these new companies, Mandao will now see its relations with its peers strengthened, since as a company and with legal capacity it will be easier to close contracts, obtain financing, establish inter-company relations and become part of the national economic network as a fully-fledged figure.
According to the latest press release from the Ministry of Economy and Planning, “job creation, one of the objectives sought by the promotion of these new forms of management, has yielded some 616 people employed in this sector of the economy,” which determines another of the strengths of guaranteeing the full operation of these entities. Although the numbers seem attractive to us, and undoubtedly important for any analysis, the most vital impact to consider will always fall on the most basic layers of society and their welfare, although exports and tourist attractiveness are our priorities.