Vladimir Regueiro Ale, Minister of Finance and Prices (MFP), affirmed today that the partial pension increase – still insufficient to cover beneficiaries’ basic needs – became possible through this year’s reduction of the fiscal deficit.

At a press conference regarding the government measure taking effect in September, Regueiro Ale explained that modest recovery in fiscal performance, with revenues exceeding projections, now permits this action, prioritising the most vulnerable.

It was disclosed that approximately 25 billion pesos annually from the State Budget will fund pension increases for over 1,573,300 Cubans – 88% of beneficiaries under the General Social Security System and special schemes.

Improved budgetary results stem from tax adjustments and enhanced fiscal discipline across state and non-state sectors, though acknowledging that better tax collection management remains necessary due to arrears and evasion practices whose correction will undoubtedly yield higher revenues, stated the MFP head.

He emphasised that tax and income policies particularly focus on the most vulnerable; thus, pensions will continue rising in line with Budget recovery.

«This is a first step aligned with current conditions, reflecting recovery dynamics in key macroeconomic performance indicators,» declared the Minister.

Responding to Cuban News Agency, he indicated that local governments must now intensify controls against those attempting to inflate food and essential goods/services prices following this partial pension increase.

He asserted that while boosting supplies and production remains one inflation-reduction pathway, reinforcing price control systems and reviewing municipal government-established mechanisms is urgent to ensure such measures prove effective and gain public acceptance.