The Cuban regime announced on Friday that local economic actors will assume the payment of pensions to thousands of retirees across the country, in a measure that implicitly acknowledges the state's inability to sustain its own social security system.
The president minister of the Central Bank of Cuba, Juana Lilia Delgado Portal, explained the scheme at a press conference reported by the state media Canal Caribe.
The official reported that the businesses, which are required to deposit their daily sales revenue in banks, will use that cash to pay directly to retirees living near their establishments.
"Seeking alternatives, we have discussed with local governments the possibility of economic actors taking on the payment of retirees in their jurisdiction. What we have talked about is creating a partnership between these economic actors and banks so that they can assume part of the payments for retirees who live near them," stated Delgado Portal.
He presented the measure as a "mutual benefit" for businesses and elderly Cubans.
"On one hand, we are bringing retirees closer to receiving their pensions near their homes, avoiding the need to wait in lines at the banks. On the other hand, we are also providing convenience to businesses that no longer have to go to the bank to deposit those cash amounts."
The Central Bank acknowledged that the demand for cash has created unsustainable pressure on the banking system, particularly impacting retirees.
More than 50% of the country's ATMs are either out of service or empty, and retirees are waiting between four and six hours in lines to withdraw cash. In June, the Granma government admitted that the shortage of cash jeopardizes the payment of salaries and pensions, with over 400 million pesos needed to cover its 111,000 retirees.
Since April 2026, a pilot plan was in operation in four municipalities of Havana — La Lisa, Playa, Plaza de la Revolución, and Old Havana — under the "Caja Extra" scheme. In May, private mipymes started to pay pensions in Holguín, benefiting around 5,000 pensioners, which is 9.6% of the total municipal. What is now being announced is the national extension of the scheme.
In parallel, the Official Gazette published Resolution 74/2026, effective from July 20, which indefinitely removes the limit of 5,000 pesos for cash payments between economic actors and raises the monthly transfer threshold to 2.5 million pesos. The Central Bank also announced the issuance of higher denomination banknotes.
Cuba has more than 1.7 million retirees whose minimum pension is 4,000 pesos per month —less than seven dollars at the informal exchange rate— while the basic food basket exceeds 30,000 pesos per person.
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