Feel the Bern: Cuba out of cash again

March 9, 2018 By Silvio Canto, Jr.

It's same old song, as the Four Tops used to sing. We can say two things about Cuba: no cash and can't pay debts! This is the latest from the socialist paradise where crickets went wild on U.S. diplomats:

Cuba has imposed new restrictions on imports by state-run companies, ordering them to obtain a letter of credit from the central bank for purchases above the equivalent of $100,000, as the Communist-run island struggles with a shortage of cash and mounting commercial debt. Central bank resolution 19/2018, which took effect this month, states that the measure is aimed at ensuring companies have the resources to meet their foreign obligations and to prevent that "the foreign debt continues growing."Cuba's government frequently regulates demand for imports using access to credit and foreign currency, and other mechanisms. A western banker with extensive experience of working with Cuba said the measure would lead to a short-term plunge in imports and to slower contracting of supplies.

 The main problem, as we said when President Obama opened the U.S. embassy in Havana, is that Cuba does not have a real economy................Read more