Cuban-American business leaders propose fund to help private enterprise in Cuba
Sunday, 5 August 2007
MIAMI, Aug 4 (AFP): Cuban-American business leaders yesterday called for the creation of a 300-million-dollar fund to help build private enterprise in Cuba once the communist-run state adopts what they called "inevitable" reforms.
The proposal, presented at a conference in Miami, is based on the Enterprise Funds that invested US grants in small and medium-sized corporations in eastern European countries when they emerged from communism in the 1990s.
The Cuba Study Group, an organisation made up of Cuban-American business and community leaders, suggested that the US government, the European Union and private companies should each provide 100 million dollars for the "Cuban Enterprise Fund."
The group made it clear the money would only be available once Cuba adopts reforms. US laws currently would not allow for the funds to be sent to the island, and Cuban legislation prohibits such private investments.
But the group said the transfer of power from Fidel Castro to his younger brother Raul "represents a genuine window of opportunity" and called for the fund to be set up "in anticipation of the inevitable change that will occur in Cuba."
It said the proposal will be sent to members of the US Congress.
Cuba currently has a tiny private sector made up of entrepreneurs running small restaurants, stores repair shops or other small businesses.
The businesses were first allowed to operate after Cuba lost billions of dollars in subsidies following the collapse of the Soviet Union in the 1990s.
As Cuba slowly recovered from the post-Soviet crisis that crippled its economy, authorities have cut back on the number of business licences they handed out.
But with ailing president Fidel Castro looking increasingly unlikely to return to power, there are rising expectations of gradual economic reforms.
The proposal, presented at a conference in Miami, is based on the Enterprise Funds that invested US grants in small and medium-sized corporations in eastern European countries when they emerged from communism in the 1990s.
The Cuba Study Group, an organisation made up of Cuban-American business and community leaders, suggested that the US government, the European Union and private companies should each provide 100 million dollars for the "Cuban Enterprise Fund."
The group made it clear the money would only be available once Cuba adopts reforms. US laws currently would not allow for the funds to be sent to the island, and Cuban legislation prohibits such private investments.
But the group said the transfer of power from Fidel Castro to his younger brother Raul "represents a genuine window of opportunity" and called for the fund to be set up "in anticipation of the inevitable change that will occur in Cuba."
It said the proposal will be sent to members of the US Congress.
Cuba currently has a tiny private sector made up of entrepreneurs running small restaurants, stores repair shops or other small businesses.
The businesses were first allowed to operate after Cuba lost billions of dollars in subsidies following the collapse of the Soviet Union in the 1990s.
As Cuba slowly recovered from the post-Soviet crisis that crippled its economy, authorities have cut back on the number of business licences they handed out.
But with ailing president Fidel Castro looking increasingly unlikely to return to power, there are rising expectations of gradual economic reforms.