The Cuban regime invests 14 times more in tourism than in Health and Social Assistance during 2024.

The recent publication of official data on investment in Cuba during the first semester of 2024 has revived the debate on the distribution of resources on the island, particularly the Cuban regime's insistence on investing in the tourism sector to the detriment of fundamental sectors such as health and social assistance.

According to the report from the National Office of Statistics and Information (ONEI), from January to June 2024, the regime allocated almost 40% of its investments to tourism-related activities, while investment in Health and Social Assistance is 14 times lower, a fact that has been severely criticized by economic experts, such as Cuban economist Pedro Monreal.

In a series of tweets, Monreal highlighted the "very distorted structure" of investment in Cuba, emphasizing that, despite the low hotel occupancy rate of 28.4%, the government has significantly increased investments in the "hotels and restaurants" sector.

This decision contrasts with the precarious situation of other critical sectors such as agriculture, which only received 2.5% of the total investment. Monreal questioned the coherence of the Cuban government's investment policy, pointing out that the declared priority on food security is not reflected in the budget allocated to agriculture, which was 15 times lower than that allocated to tourism.

The report reveals that, in general terms, total investment in the country only grew by 3.6% in current prices compared to the same period of the previous year. However, in a high inflation context, it is likely that in real terms this figure represents a decrease in investment.

Monreal warned that the low investment rate, measured as a percentage of gross capital formation in GDP, combined with an investment pattern that disproportionately favors tourism, makes official statements about "revitalizing" the economy illusory.

The imbalance in the distribution of investments is also evident when comparing the manufacturing and agricultural sectors to tourism. The economist emphasized that while strategic sectors for productivity and productive linkages are undercapitalized, tourism remains the government’s priority.

This situation worsens considering that investment in health and social assistance, crucial areas for the well-being of the Cuban population, receives a minimal fraction of the budget, exposing the contradictions in the regime's economic policies.

A supporter of Monreal on X questioned the economist about why he considers the investment structure to be "very distorted," to which Monreal responded that, with an undercapitalized industry and agriculture, the percentage of investment in those sectors should be higher, especially in a context where tourism occupancy is low, suggesting that the Cuban government should reevaluate its priorities.

The regime's insistence on continuing to invest massively in tourism, despite low occupancy rates and the evident need to strengthen other essential sectors, raises serious questions about the sustainability and fairness of its economic policy.

Meanwhile, the population continues to face shortages in basic services, reflecting a strategy that prioritizes the economic interests of the elite that control tourism and the dollarized economy of the country through the military corporate conglomerate Grupo de Administración Empresarial S.A. (GAESA), which puts its personal enrichment above the general well-being of the nation.