The executive president of the Telecommunications Company of Cuba (ETECSA), Tania Velázquez Rodríguez, acknowledged this Saturday on national television that the company has lost more than 60% of its revenue from abroad due to fraud related to international top-ups. This statement came amid the controversy surrounding the new "tariff hike" that restricts the use of the Cuban peso to purchase mobile data packages.
The official appeared "urgently" on Cuban television and simultaneously with Radio Rebelde after the Evening News, following a wave of criticism on social media and negative "opinion states" provoked by the recent commercial measures by ETECSA, which restrict national top-ups to only 360 Cuban pesos per month, forcing users to opt for packages in U.S. dollars (USD).
Velázquez explained that, for the past three to four years, the company has experienced a "very drastic erosion" of its income due to a fraudulent scheme operating from abroad that evades official distribution channels. “We have lost more than 60% of the income that came from outside,” he stated.
According to the president of ETECSA, many users purchase top-ups through unauthorized platforms, whose payments are held outside the country, while the balances are credited in Cuban pesos within the national territory.
This phenomenon, he warned, has radically altered the behavior of revenue flow and has contributed to the financial crisis that the state-owned company is currently facing.
“This has directly impacted the critically operational situation we are currently facing”, stated Velázquez, who detailed that ETECSA not only has difficulties importing technology, but also faces unpayable debts and a deterioration in services due to a lack of supplies and infrastructure maintenance.
At the center of the controversy is the new pricing model that separates the national balance from that which comes from abroad and prioritizes the use of foreign currency. From Transfermóvil, it will only be possible to deposit 360 CUP monthly, which excludes Cubans without access to dollars or remittances from basic connectivity services.
For example, the new dollar plans include 4 GB for 10 USD, 8 GB plus 75 minutes and 80 SMS for 20 USD, and 16 GB for 35 USD. Meanwhile, the packages in CUP have high prices, such as 3 GB for 3,360 CUP, exceeding the minimum wage in the country.
Although Velázquez denied that this is a "dollarization", he acknowledged that international remittances are vital for attracting foreign currency and that the market of Cuban emigrants is a priority source for sustaining the telecommunications business in Cuba.
However, amid a widespread economic crisis, with frequent blackouts and deteriorating infrastructure, ETECSA's decision to restrict access to essential communication services has generated significant backlash. Many believe that the company, rather than seeking inclusive and transparent solutions, is prioritizing the acquisition of foreign currency at the expense of the Cuban population.
Frequently asked questions about ETECSA's measures and their impact on connectivity in Cuba
Why has ETECSA lost 60% of its income from international top-ups?
ETECSA has lost more than 60% of its revenue due to fraud in international top-ups that operate from abroad and bypass official distribution channels. This has drastically eroded the company's income, impacting its operations and ability to import technology, in addition to increasing its debts.
What changes has ETECSA made to its pricing model?
ETECSA has limited top-ups in Cuban pesos to a maximum of 360 CUP per month, forcing users to purchase larger data packages in U.S. dollars. This measure benefits those who can receive remittances or top-ups from abroad, while the prices of packages in CUP have become unaffordable for the average Cuban.
How does the economic and energy crisis affect the quality of ETECSA's service?
The economic and energy crisis in Cuba has significantly impacted the quality of service provided by ETECSA. Financial limitations hinder the import of technology and proper maintenance of the infrastructure, resulting in a decline in service quality and connectivity issues, especially during the frequent blackouts that affect the island.
What is ETECSA's justification for implementing tariffs in dollars?
ETECSA justifies the implementation of dollar tariffs as a necessity to attract foreign currency to maintain and develop the telecommunications network in Cuba. Despite denying a total dollarization, the company admits that the foreign market is key to generating income that offsets the decline in foreign currency and supports its operations.
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