--- description: Cuba is set to legalize "private businesses of medium, small and micro size" in a bid to stimulate growth. title: Cubans Will Be Allowed to Set Up Private Businesses image: https://static.time.com/v3/assets/bltea6093859af6183b/blt5df31edd4bcf8342/698894bdbc6cfc5e893dd1fc/rtsazfb.jpg?branch=production&width=3840&quality=75&auto=webp&crop=16:9 ---  * [World](/section/world/) ## World Update your preferences in [Account Settings](/account/preferences/) Close * [Cuba](/tag/cuba/) ## Cuba Update your preferences in [Account Settings](/account/preferences/) Close # Cubans Will Be Allowed to Set Up Businesses Under New Economic Plans by [Simon Lewis](/author/simon-lewis/) ## Simon Lewis Update your preferences in [Account Settings](/account/preferences/) Close May 25, 2016 3:37 AM CUT  People stand outside a currency exchange shop to change money in Havana, March 17, 2016 People stand outside a currency exchange shop to change money in Havana, March 17, 2016Enrique de la Osa—Reuters by [Simon Lewis](/author/simon-lewis/) ## Simon Lewis Update your preferences in [Account Settings](/account/preferences/) Close May 25, 2016 3:37 AM CUT Cuba is set to [legalize](http://www.bbc.com/news/world-latin-america-36375807 "undefined") “private businesses of medium, small and micro size” in a bid to stimulate growth in an economy that’s been largely under strict state control since the 1950s Communist revolution. The BBC reports that the reform was included in a 32-page plan for economic development, which has been approved by Congress. Since taking over from his ailing brother in 2008, President Raul Castro has been attempting to kick start the island nation’s economy, and has allowed people doing certain jobs, such as hairdressing and restaurateurs, to be self employed. He has also [restored](http://time.com/4266394/obama-cuba-castro-meeting/ "undefined") diplomatic relations with the U.S. — welcoming President [Obama](http://time.com/4267933/barack-obama-cuba-speech-transcript-full-text/ "undefined") on a [landmark](http://time.com/4245768/cuba-vacation-advice/ "undefined") [visit](http://time.com/4266036/president-barack-obama-cuba-raul-castro/ "undefined") in March — and begun a process of opening the country up to foreign investment. However, it is not clear whether the newly-authorized private enterprises will be allowed to import and export products, the BBC says, pointing out that, for now at least, the bulk of the economy remains in the hands of the state. \[[_BBC_](http://www.bbc.com/news/world-latin-america-36375807 "undefined")\] ```json [{"@context":"https://schema.org","@type":"NewsArticle","@id":"https://time.com/4347237/cuba-small-medium-business-economy/","mainEntityOfPage":{"@type":"WebPage","@id":"https://time.com/4347237/cuba-small-medium-business-economy/"},"headline":"Cubans Will Be Allowed to Set Up Businesses Under New Economic Plans","datePublished":"2016-05-25T03:37:57.000Z","dateModified":"2026-02-22T17:49:04.270Z","description":"President Raul Castro has engaged with the U.S. and has begun opening up the economy","url":"https://time.com/4347237/cuba-small-medium-business-economy/","keywords":["Cuba","Barack Obama","Cuba topic","Fidel Castro","Raul Castro"],"thumbnailUrl":"https://static.time.com/v3/assets/bltea6093859af6183b/blt5df31edd4bcf8342/698894bdbc6cfc5e893dd1fc/rtsazfb.jpg?branch=production&width=1200&quality=75&auto=webp&crop=1200:675&height=675","author":[{"@type":"Person","name":"Simon Lewis","jobTitle":null,"url":"https://time.com/author/simon-lewis/"}],"articleSection":"World","image":[{"@type":"ImageObject","url":"https://static.time.com/v3/assets/bltea6093859af6183b/blt5df31edd4bcf8342/698894bdbc6cfc5e893dd1fc/rtsazfb.jpg?branch=production&width=1200&quality=75&auto=webp&crop=1200:675&height=675","width":1200,"height":675,"headline":"People stand outside a currency exchange shop to change money in Havana","caption":"People stand outside a currency exchange shop to change money in Havana","creditText":"Enrique de la Osa—Reuters","representativeOfPage":true}],"publisher":{"@type":"Organization","name":"Time","url":"https://time.com/","logo":{"@type":"ImageObject","url":"https://time.com/images/logo.png","width":528,"height":156},"foundingDate":"March 3, 1923","sameAs":["https://www.facebook.com/time","https://www.instagram.com/time/?hl=en","https://twitter.com/time","https://www.pinterest.com/timemagazine"]}},{"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"item":{"@id":"/section/world/","name":"World"}},{"@type":"ListItem","position":2,"item":{"@id":"/tag/cuba/","name":"Cuba"}},{"@type":"ListItem","position":3,"item":{"@id":"https://time.com/4347237/cuba-small-medium-business-economy/","name":"Cubans Will Be Allowed to Set Up Businesses Under New Economic Plans"}}]}] ```