Private Businesses in Cienfuegos May Be Pressured to Support Social Services

According to a leaked document shared by Cuban activist Magdiel Jorge Castro, the authorities in Cienfuegos are reportedly drafting a policy that could compel private businesses and entrepreneurs in the province to contribute to the maintenance of social assistance services, traditionally funded by the state.

Under the guise of "community social responsibility," the document mandates that each private business must commit to at least three obligations from a predetermined list, incorporate them into their operational plans, and provide documentary evidence of compliance every three months.

The obligations range from supporting Family Care System food services, elderly homes, maternal homes, and centers for children without parental care, to donating products to social institutions.

Additionally, the policy requires small and medium-sized enterprises (SMEs) to offer discounted prices to vulnerable individuals, contribute to health, education, culture, and sports services, engage in community sanitation efforts, support public and medical transportation, provide funeral assistance to impoverished families, and establish banking agreements to facilitate payments to retirees and pensioners.

This measure, framed as a "contract" between the municipal government and economic actors, would be in effect from the signing of the document until December 31, 2026, with the possibility of annual renewal.

Despite being portrayed as voluntary collaboration, the leak suggests that some self-employed workers have already been summoned to sign the "contract" associated with these obligations.

The notion of "voluntariness" is further undermined by the sanctions outlined for non-compliance. Those failing to meet obligations without justification could face reprimands, negative evaluations in municipal records, loss of incentives, and notifications to non-state sector control agencies.

The document does not specify public criteria for allocating responsibilities based on business type, income, or municipal needs, allowing local authorities considerable discretion.

In June 2026, Prime Minister Manuel Marrero Cruz presented a package of 176 economic measures to the National Assembly. Among these measures is the so-called "measure 70," which mandates all economic actors to directly fund the social assistance system, covering everything from pension payments to funeral services.

In July, the Central Bank extended the scheme across the country, requiring local businesses to use cash from their sales to pay pensions to nearby retirees.

That same month, Granma Governor Yanetsy Terry Gutiérrez called upon SMEs and entrepreneurs in Manzanillo to take on, among other burdens, pension payments in a municipality where the provincial government admitted lacking the over 400 million pesos needed for its 111,000 retirees.

In August, the regime privatized the management of SAF food services through Agreement 10418 of the Council of Ministers.

Cuban entrepreneurs are also facing external pressures. On September 30, the United States Office of Foreign Assets Control (OFAC) revoked the authorization allowing U.S.-jurisdiction banks to maintain accounts for Cuban private entrepreneurs, ordering the freezing of these funds, further straining a sector already besieged by blackouts, taxes, shortages, and inspections.

As of the publication date, Cienfuegos authorities had not officially announced the initiative nor specified how many businesses would be affected by the alleged official contract.