Faced with a cooling economy, Cuba aims to boost its economy with its annual trade fair in Havana.
Cuba’s Trade Minister Rodrigo Malmierca told a news conference at Cuba’s annual trade fair in Havana that Cuba has attracted foreign investments worth $1.7 billion despite tighter U.S. trade embargo.
Since October 2018, 25 investment projects had been agreed compared to 40 in the same period in the previous year, worth $1.5 billion.
Five years ago, Cuba passed a new foreign investment law and created a special economic zone west of Havana which provides tax and customs breaks with the hope of attracting more foreign investments to boost its ailing economy.
In recent years, Cuba has improved its relations with the West, and foreign companies as a result of which their market footprint in the country has increased significantly.
According to Ana Teresa Igarza, director general of the special economic zone, 50 projects had been agreed so far there, with 26 already in operation. However, with U.S. President Donald Trump rolling back the détente of his Democratic predecessor Barack Obama and instead imposing new sanctions on Cuba, investing in its economy has lost some appeal following the implosion of the economy of key ally Venezuela resulting in a decline in subsidies.