An official journalist lamented that the price of a bottle of oil is almost equivalent to the minimum pension in Cuba.
“1,400 pesos for a bottle of oil! A hundred pesos more and it matches my grandmother's pension. Suddenly, I had that recurring mental calculation since inflation started to rise,” said in an opinion piece published in Girón, the local state-run newspaper in Matanzas, Boris Luis Alonso Pérez.
The journalist's epiphany continued: “What I earn from the gig is enough for three containers of sunflower oil!”
"What is the limit? When do we hit the brakes and prices start to drop? Where have the price caps for essential household goods gone?" the journalist asked.
Alonso Pérez complained about the prices in the private sector and called for government intervention, without mentioning the impact of the disastrous economic management of the regime.
"The issue of pricing cannot be ignored any longer, and regardless of how much it bothers some, it requires state intervention, perhaps through incentives. Let us be clear that arbitrarily setting limits has not been and will not be the solution, given the experience," he suggested.
The out-of-control inflation that the population is suffering raises the prices of essential goods while wages remain stagnant, deteriorating the purchasing power of Cubans, who are exhausted from long lines, blackouts, hunger, and despair.
According to official data published in October 2024, the 39% of retirees in Cuba receive the minimum pension of 1,528 CUP per month. A figure that, in the context of rampant inflation, shortages, and rising prices of basic goods, does not even cover a minimum diet. In fact, a kilogram of powdered milk can cost up to 1,800 CUP.
Frequently Asked Questions about the Economic Crisis and Pensions in Cuba
Why is the price of oil in Cuba so high?
The price of oil in Cuba has reached exorbitant levels due to uncontrolled inflation and the scarcity of basic products. This situation has brought the cost of a bottle of oil close to the minimum monthly pension, reflecting an economic crisis that affects the purchasing power of citizens. The inefficiency of the regime in managing the economy has significantly contributed to this problem.
How does inflation affect Cuban retirees?
Inflation severely impacts Cuban retirees, as their minimum pensions are insufficient to cover basic needs. Around 39% of retirees in Cuba receive a minimum pension that does not extend to a basic diet, given the skyrocketing prices of essential products like powdered milk and oil. This situation forces many elderly individuals to seek alternative means of subsistence, such as selling goods on the streets.
What measures has the Cuban government taken to address the economic crisis?
The Cuban government has implemented measures such as the removal of subsidies for basic goods and has attempted to replace essential products with questionable alternatives, such as cola syrup instead of milk for children. However, these actions have not resolved the underlying crisis and have been criticized for failing to address the structural causes of inflation and scarcity. The lack of effective solutions has heightened discontent among the population.
Is it possible to live on the minimum wage in Cuba?
Living on the minimum wage in Cuba is extremely difficult, as it does not cover the cost of basic products necessary for survival. Salaries and pensions are out of sync with the high cost of living, forcing many Cubans to turn to the informal market or rely on remittances from abroad to supplement their income. This situation has been acknowledged even by government officials, who have not provided concrete solutions.
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