Cuba's business laws shake-up

Business laws change in Cuba - 6th September 2021

Things are changing on the island of Cuba. In this small, communist country, companies are owned by the Cuban state. But now, the government has taken a big step. It says small and medium size private businesses can be started.

At the moment, it's hard for people in Cuba to live comfortably because the economic situation is poor. Covid-19 means there has been no tourism. And the country usually produces sugar for export. But this year, the amount of sugar was very low. Many people have died of Covid-19 and prices for food and medicine have increased. So people cannot afford them.

Last month, thousands of people walked through towns all over Cuba to complain. They wanted to show the government how angry they were. One person was killed and some others were removed by police.

Cubans are tired of the government and they want change. The president, Miguel Díaz-Canel, realised people were unhappy. He has introduced political changes which allow private businesses to grow. These new companies can employ up to 100 workers.

The Cuban government isn't happy either. It says its economic situation was caused by the US and it wants its people to stop complaining. It's possible these new business laws will help to calm people.