Cuba Journal
Business

Cuba Has Authorized Store Chains Without Creating a Market

Cuba has authorized nationwide chains of shops and restaurants under Decree 167. But a chain is not a market, and the links that make commerce reliable—inventory, power, currency, and trust—remain dangerously weak.

Natalia Suyos ·

5 min read

People stand outside a neighborhood market storefront in Havana.

A chain is only as strong as the thing that joins it.

That was once a proverb about iron. In Cuba, it is becoming a question about rice, cooking oil, refrigeration, fuel, spare parts, credit, foreign currency, and the humble certainty that a shipment ordered this month will arrive before the business that ordered it has gone dark.

On August 28, the Cuban government published Decree 167, a new framework for domestic commerce. Its headline provision is almost surreal in the present landscape: authorized commercial operators may now create chains of shops, restaurants, and light-food outlets extending across the country. The language is not metaphorical. The decree gives merchants the right to “crear cadenas de tiendas, restaurantes” and other branded networks nationwide. (Gaceta Oficial de la República de Cuba, https://www.gacetaoficial.gob.cu/sites/default/files/goc-2026-o69_0.pdf)

Cuba has legalized the chain.

It has not created the links.

The new decree, which takes effect seven days after its publication, applies to Cuban and foreign natural and legal persons authorized to conduct wholesale and retail trade. It recognizes commerce in both Cuban pesos and foreign currencies. It permits multiple kinds of commercial activity, including online sales and branded networks. It speaks the modern vocabulary of consumer protection, fair competition, supply chains, electronic payments, traceability, local development, and the final-mile logistics that move a product from warehouse to shelf. (Gaceta Oficial de la República de Cuba, https://www.gacetaoficial.gob.cu/sites/default/files/goc-2026-o69_0.pdf)

This is the vocabulary of an ordinary country.

That is precisely what makes it so revealing.

A chain store is not a sign above a door. It is repetition made reliable. The same shelf. The same stock. The same price logic. The same ability to promise a customer in Camagüey what a customer in Havana can expect. Its achievement is boringness. It reduces surprise. It turns the daily acquisition of soap, flour, batteries, medicine, or a meal into a transaction rather than an expedition.

Cuba’s economy has been moving in the opposite direction for years. Ordinary life has become a scavenger hunt conducted through family abroad, informal traders, private couriers, WhatsApp groups, dollar shops, vacant shelves, and the small intelligence networks that form whenever official distribution ceases to distribute. A country can have a new commercial code. It cannot legislate inventory into existence.

Decree 167 understands this without admitting it. It devotes its own language to the architecture of supply: efficient and timely provision, a “chain of value,” monitoring the flow of goods, appropriate quantities in appropriate places. The state knows what commerce is supposed to do. It has described the missing machine with bureaucratic precision. (Gaceta Oficial de la República de Cuba, https://www.gacetaoficial.gob.cu/sites/default/files/goc-2026-o69_0.pdf)

But the document also reveals what Havana cannot give up. Every trader must be previously authorized. Licenses remain central. The Ministry of Domestic Trade retains the power to classify establishments, dictate technical requirements, introduce restrictions or prohibitions in the name of social interest, and regulate price formation. The same decree that invites chains reserves the scissors.

This is not a market being allowed to discover itself. It is a market being issued a floor plan.

There is a serious case for the government’s approach, and it should be heard plainly. Cuba is a poor, import-dependent island under intensified U.S. economic pressure. A government facing scarcity has legitimate reasons to fear hoarding, predatory pricing, fraud, and the conversion of every necessity into a luxury good. Licensing, consumer rules, transparent prices, electronic payments, sanitary standards, and basic oversight are not themselves evidence of tyranny. Most functioning countries regulate commerce. Small businesses also need rules that protect customers from the strong and the unscrupulous.

The problem is not that Cuba regulates. The problem is that the Cuban state has made regulation into a substitute for capacity.

It wants the benefits of decentralization without accepting its consequences. It wants entrepreneurs to import, stock, hire, improvise, and serve the public, but it also wants their success to remain contingent, licensed, classifiable, inspectable, price-manageable, and politically legible. The business may grow, but only inside a fence whose dimensions can change when the state is frightened by the growth.

That is why this decree is more than another entry in the long ledger of the 176 official economic reforms. It is an admission disguised as a reform. The state is conceding that one shop at a time is no longer enough. It needs networks. It needs distribution beyond the old state retail apparatus. It needs private initiative capable of operating at scale. EFE reported that the new rules aim to consolidate state, non-state, and foreign-investment forms of commerce while improving supply chains; the official text itself places non-state actors inside the national commercial strategy. (EFE, https://efe.com/economia/2026-08-29/cuba-reorganiza-comercio-cadena-tiendas-restaurantes/)

That concession is real. It matters.

But a right on paper is not capital. It is not a wholesale market. It is not an exchange-rate regime that permits planning. It is not insurance against arbitrary reversal. It is not dependable electricity for refrigeration, fuel for deliveries, or a banking system that can move payments without becoming another choke point. Diario de Cuba noted that the decree explicitly retains state mechanisms over licensing, restrictions, and prices even as it permits chains and transactions in pesos and foreign currencies. (Diario de Cuba, https://diariodecuba.com/economia/1788004822_68682.html)

The regime has discovered the retail franchise at the moment when it cannot reliably supply the first outlet.

There is an old Cuban habit of mistaking nomenclature for arrival. Rename the institution, publish the resolution, announce the plan, classify the establishment, designate the responsible body, and then wait for reality to obey the file. The Revolution has always possessed an uncommon faith in the power of the label. It renamed ownership. It renamed crisis. It renamed austerity. Now it is naming chains.

Yet a chain is not made by naming its links.

The opening of 2015 through 2017 offered a different, incomplete possibility. It did not solve Cuba’s political prison of control, nor did it abolish the island’s economic distortions. But it brought travel, remittances, exchange, visitors, private ambition, and commercial expectation into closer contact. It suggested that a Cuban business might not have to live permanently between ideological permission and geopolitical punishment. That historical window has closed. Neither Havana’s legal paperwork nor Washington’s ritualized constriction can reopen it by force of nostalgia.

The country is left with a harder task: building ordinary economic trust in extraordinary conditions.

A shop chain could, in theory, help do that. A restaurant group could create jobs, standards, and a reason for a supplier to produce more than one delivery’s worth. A recognizable storefront in several provinces could become a small vote against the randomness that has consumed daily life. The entrepreneurs who attempt it will deserve respect. They are not the authors of the scarcity in which they operate.

But they will be trying to assemble a chain inside a system that still mistakes control for connection.

A chain holds because each link trusts the next one to bear weight. Cuba has authorized the storefronts. It has printed the rules. It has approved the signs.

The links are still missing.

Natalia Suyos writes for Cuba Journal on Business.