Cuban State Enterprises Urged by Díaz-Canel to Source Foreign Currency for Fuel

Cuban leader Miguel Díaz-Canel has issued a stark warning to state-owned enterprises, indicating they must secure foreign currency to purchase fuel, raw materials, and supplies. This announcement underscores a shift away from traditional supply mechanisms that no longer meet the demands of the business system.

In a meeting with state officials, Díaz-Canel emphasized the necessity for these companies to boost their exports and earn foreign currency to sustain their operations, as reported by the official Presidency of Cuba website on Monday.

Highlighting the need for a departure from conventional interactions between ministries and businesses, Díaz-Canel argued that companies should strive for greater autonomy and resource acquisition through their own channels.

In this context, the leader noted that fuel will no longer be provided through customary channels, a statement attributed to journalist René Tamayo León. This reflects the state's challenges in maintaining usual supply methods, though Díaz-Canel did not clarify which mechanisms would be discontinued, which companies would still receive allocations, or how resources would be ensured for entities lacking foreign income.

The requirement does not introduce a new authorization for fuel management, a capability that had been previously announced in July as part of Cuba's economic reforms.

State Enterprises Must Seek Currency for Fuel Acquisition

In September, authorities in Guantánamo acknowledged days without state diesel and gasoline supplies, threatening essential services. In response, the Communist Party's first secretary in the province, Yoel Pérez García, urged local companies, organizations, and institutions to seek fuel from small and medium-sized enterprises (SMEs) and other private importers.

This shortage impacted even the transportation of food products, with over 140 tons of rice and 51 tons of beans stranded due to fuel scarcity, as previously reported.

Government Promises Greater Business Autonomy

Back in July, Díaz-Canel advocated for increased autonomy for state enterprises, which would allow them to manage fuel and supplies, import and export goods, handle foreign currency accounts, and allocate profits. Additionally, they were granted more freedom to choose suppliers and clients, and retain part of their export revenues.

Nevertheless, these administrative freedoms do not automatically address the fuel shortages or ensure all companies can access foreign currency. In September, new regulations were introduced to determine the percentage of foreign currency revenues that economic actors could retain versus what must be sold to the state.

The Resolution 103/2026, published in the Official Gazette, keeps foreign currency management under a state-regulated and controlled system. Consequently, the announced autonomy coexists with administrative mechanisms that still influence the access and use of foreign currency.

Over 360 State Enterprises Report Losses

Díaz-Canel's demands come amid worsening economic conditions within the state enterprise system itself. According to data from the National Office of Statistics and Information (ONEI), 363 state enterprises recorded losses by the end of May 2026.

This decline is accompanied by productivity issues, falling sales and profits, difficulties in importing raw materials, and increasing decapitalization of production facilities. These challenges pose significant hurdles for companies now expected to rely more heavily on their ability to generate income independently.