Tourists, private enterprise give Cuba much needed boost
Posted: Monday, March 20, 2017 11:30 am
By David Bordewyk
Running an Italian restaurant plus a small bed and breakfast keeps owner
Yucimy on her feet from sunrise to well past sunset. It’s 7 a.m., and
she is already preparing omelets for her five B&B guests. Her cheerful
greeting helps everyone shake off a night’s sleep.
Meanwhile, Yucimy’s employees are busy moving tables and chairs to the
sidewalk outside the restaurant, which fronts the town’s main avenue,
and are inviting passerbys to stop in for breakfast.
Late afternoon will have Yucimy and staff, some of whom are family, busy
pouring drinks and planning dinner menus for the B&B guests. At night’s
end, Yucimy can be found with her feet up in the small living room just
off the restaurant’s kitchen, catching a few minutes of TV.
All in a day’s work for this privately owned business. Welcome to
In Havana, Rosana Vargas welcomes visitors to her jewelry store, where
she shares her small business story. She started making fine silver
jewelry five years ago in her small apartment. Today she has more than
40 people employed in her stylish, privately owned shop along a busy
capital city street.
How much does she pay in taxes to the government for her small business
success, she is asked.
Too much,” Rosana says, sounding ever like a well-seasoned capitalist.
Except this isn’t Wall Street or Main Street. This is Cuba.
Along with 28 other Americans from the Midwest, I traveled to Cuba for
seven days last week on a people to people tour, a kind of
educational/tourism tour of the island nation that has the approval of
both countries. An employee of a tourism company run by the Cuban
government was our guide.
The trip gave a view of a country with compelling contrasts and
day-to-day economic struggles for many Cubans that dropped our jaws. It
also introduced us to some wonderful, inspiring Cuban people.
To be sure, Cuba remains very much a country ruled by leaders who belong
to the Communist Party. Repression of speech, assembly, and the press
remain very much in play in Cuba today. The government pulls and pushes
the levers that control much of Cuba’s way of life. It’s been that way
since soon after Fidel Castro overthrew the Batista regime in 1959.
Yet, doors are opening. Capitalism, entrepreneurship, and self-reliance
are no longer negatives in Cuba. They are happening today in Havana and
other parts of the country.
It will be difficult for the government to put the brakes on this
growing capitalistic wave. President Raul Castro or the next leader may
decide to encourage even more of this kind of growth. Who knows?
This is a country where the average official salary of a state
government worker is the equivalent of about $25 per month. By the way,
most Cubans work for the government or government-owned enterprises.
Teachers, lawyers, and other professionals can make more money tending
bar or waiting tables in a restaurant than they can in the jobs they
were trained and educated to do.
There is a saying in Cuba that “if you pretend to pay me, I will pretend
Pretending to work for pretend pay is nothing new in Cuba. That’s been
going on for many years.
What’s new is the rapidly burgeoning capitalism.
When the Soviet Union collapsed in 1991, the Cuban economy went into a
free fall. Within a few years, the Cubans realized that growing tourism
was necessary to help stave off collapse.
Tourism in Cuba has indeed accelerated the past 20 years. Canadians,
Germans, British, Chinese, among others, travel to Cuba. They come for
the rum, cigars, salsa music, and the sun. The number of foreign
tourists coming to Cuba has risen from about 750,000 in 1995 to 3.5
million two years ago.
And now the Americans are coming. The warming of relations between the
two countries put in motion by the Obama administration means more and
more American tourists are wanting to go to Cuba. We bumped into fellow
Americans most everywhere we went during our week-long trip.
Cubans on the street we met cheer what Obama did. They express anxiety
about President Trump.
Which takes us back to the small town of Vinales, in the heart of Cuba’s
tobacco-growing region. The town has been a tourist destination for many
years with bed-and-breakfasts throughout. Today, you see construction in
much of the town. Residents are adding a room or two where they can to
their small homes to accommodate the growing tourist tide.
Will growth in tourism pull Cuba out of its many economic problems?
Probably not. Economic stability likely will take much more, given the
scope of challenges.
A personal observation that overrides the nuts and bolts of Cuba’s
wobbly GDP is this: My travel experience was that Cubans are genuine,
friendly, and welcoming. They smile wide and extend a hand when you tell
them where you are from. They are willing to chat, even if language is a
barrier. (Although almost no one seemed to know where South Dakota was
located in America. The closest point of reference that rang a bell with
Cubans was the Minnesota Twins. Cubans love baseball.)
More than once I heard Cubans on the street tell me they are eager for
the day when the embargo imposed on their country by the United States
will end. They believe such a move would make lives better for average
In the meantime, they keep building B&Bs (casa particulares), opening
privately-owned restaurants (paladares), and welcoming more American
David Bordewyk is executive director of the South Dakota Newspaper
Association, Brookings. He participated in a people to people tour of
Cuba along with journalists and others from the Midwest March 5-12.
Source: Tourists, private enterprise give Cuba much needed boost – Black
Hills Pioneer: Opinion –