For a Diverse and Advanced Economy

For a Diverse and Advanced Economy / Cuban Law Association, Yanelis
Ramirez Cruz
Posted on July 15, 2013
Yanelis Ramírez Cruz, Esq.

The economic crisis and the new conditions in which the world finds
itself have made the need for a serious and profound modification of the
overall state of production and economic exchange in our system of
commerce unavoidable.

The foundation for the global process of adjustment and economic reform,
which remains ongoing even today, arises out of the critical lessons
learned from the experiences of other countries, most notably China,
Vietnam and the former Soviet Union. But fundamentally it is based on
the critical awareness of the distinctive features and specific national
characteristics of the regional and global geopolitical environment in
which a country finds itself.

We have seen numerous transformations of our economic reformation, among
them the dollarization of the economy, the opening to investment of
foreign capital, the reform of landholding and cultivation, the increase
in self-employment, and the application of so-called Business Improvement.

All these changes are supported by law; the legal basis of the economic
reform had its antecedents in Decree 50 of February 1982, and in the
Constitutional Reform of 1992. Later, more specific rules were
conceived: Decree Law 141 on the exercise of self-employment; Decree Law
174 of 1997 on this same subject; Law 77 of 1995 on foreign investment;
Decrees 281 and 252 relating to Business Improvement, among others.
Though it is true that the laws legitimated all these changes, many of
them do not meet the demands that the new economic model calls for.

Add to this the fact that the experience of the old system of economic
management and planning through material balances does not have much to
contribute. It also lacks sufficient experience in the management and
techniques of the market, among other things, because there was
virtually no precedent in national practice. Most of the companies
operating both in the internal and external markets are not profitable,
are not able to finance themselves and settle their trade debts, which
causes great uncertainty in legal transactions.

Our system of economic law faces an uphill task, as it must establish
the legal foundations to better structure the base of the economy and
the trade relations that will emerge from ongoing global economic
development, which we must not remain outside of.

17 June 2013

Source: "For a Diverse and Advanced Economy / Cuban Law Association,
Yanelis Ramirez Cruz | Translating Cuba" -
http://translatingcuba.com/for-a-diverse-and-advanced-economy-cuban-law-association-yanelis-ramirez-cruz/