WT/L/937  
6 November 2014  
(14-6490)  Page: 1/3  
General Council 
10-11 December 2014  Original: Spanish  
 
  CUBA - ARTICLE XV:6 OF THE GENERAL AGREEMENT 
ON TARIFFS AND TRADE 1994 
REPORT BY THE GOVERNMENT OF CUBA UNDER 
THE DECISION OF 14 FEBRUARY 20121 
The following communication, dated 5 November 2014, is being circulated at the request of the 
delegation of Cuba.  
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 1.1.  Pursuant to the provisions of Arti cle IX.4 of the Agreement Establishing the 
World Trade Organization (WTO), the Republic of Cu ba submits the third annual report relating to 
the request for renewal of the extension granted on 14 February 2012
2 of the waiver extension 
approved on 15 December 20063 and prior to that on 20 December 2001.4 This waiver was 
granted to Cuba under the Decision of 14 October 19965 in relation to Article XV:6 of the 
General Agreement on Tariffs and Trade 1994 (GATT 1994). 
1.2.  The conditions that justified the request for the waiver in 2012 continued in 2013, 
albeit worsened by a strengthening of the measures  constituting the blockade imposed on Cuba by 
the Government of the United States, especially in the financial sector, with the ever-increasing 
targeting of Cuban business activities and financial assets abroad. 
1.3.  A distinctive feature of the blockade policy in recent years has been the renewed crusade 
against Cuban financial transactions abroad, including those conducted between Cuba and 
multilateral cooperation agencies. For example, the Office of Foreign Assets Control (OFAC) of the US Department of the Treasury has penalized an d imposed millions of dollars' worth of fines on 
foreign banking institutions for dealing with Cuba, with the result that ties have been broken 
and/or Cuban transactions have had to be cond ucted in more difficult and onerous conditions. 
1.4.  Similar sanctions have been imposed on companies involved in commercial transactions with 
Cuba, which confirms that the extraterritorial nature of the blockade has reached alarming 
proportions. 
1.5.  In recent years, the blockade has also been  stepped up in the political and ideological sphere, 
with the initiation of a non-conventional war in which subversive plans are promoted and funded 
by the United States Agency for Internatio nal Development (USAID). Examples include the 
so-called "ZunZuneo" programme, primarily aimed at young Cubans to incite them to rebel, and the recruitment (since 2009) of young Latin American s under the pretence of civic activity, for the 
purpose of manipulating Cuban youth and encouraging them to take action against the 
constitutional order of the nation. 
                                               
1 WT/L/850. 
2 WT/L/850. 
3 WT/L/678 
4 WT/L/440. 
5 WT/L/182. WT/L/937 
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  1.6.  For 23 years in a row, the international community has condemned this hostile policy of 
the United States towards Cuba. On 28 Octobe r 2014, the United Nations General Assembly 
adopted a new resolution condemning the embargo, which, as in previous years, had the support 
of the overwhelming majority of members of that Organization, with 188 votes in favour to two 
against and three abstentions. 
1.7.  All of this prevents Cuba from ente ring into a special exchange agreement with 
WTO Members. 
1.8.  In spite of the blockade, the damage of which amounts to more than US$116,000 million at 
current prices, the Cuban economy nonetheless continued to expand in 2013, recording a 2.7% annual rate of growth of its gross domestic product (GDP). 
1.9.  During the year, the services sector re mained the driving force of the Cuban economy, 
basically underpinned by the growth of tourism, telecommunications, and high value-added 
services, of which the most noteworthy in terms of performance were health and education. This reflects the country's cumulative level of investment in the development of its human capital. 
Moreover, Cuba has implemented numerous progra mmes to improve its social services and raise 
the quality of life of its population. 
1.10.  Tourism continued to grow, with a total of 2.8 million visitors, i.e. 0.5% more than in the 
previous year. 
1.11.  Progress was made in implementing the telecommunications modernization programme, 
particularly in the domestic telephony area, where development has been unprecedented in recent years. By the end of 2013, the number of fixe d lines installed in the country exceeded 
the 2012 figure by 2.2%, and the rate of digitization rose to 99.3%. 
1.12.  As regards health, the infant mortality rate was 4.2 per thousand live births in 2013, 
the lowest in the history of the country, which, taken together with a life expectancy of 78 years, 
is an indication of the quality of life of the Cuban population. 
1.13.  As regards education, the 2013/2014 school/academic year saw the enrolment 
of 1,708,637 students in primary and middle-secondary education (basic secondary, 
pre-university, technical and vocational education, and training of staff teaching at that level) and 
207,237 students in higher education. 
1.14.  In 2013, higher education produced 70,341 graduates (35.4% in medical sciences, 
17.9% in education, 14.4% in social sciences, 7.6% in technical fields, 6.8% in economics, 
3.0% in physical sciences, 2.7% in agricultural sciences, 0.9% in natura l sciences, and 0.5% in 
the arts). 
1.15.  Unemployment fell to 3.3% during the review period, down from 3.5% the previous year. 
At the end of 2010, the country had begun a pr ocess of restructuring employment to ensure 
rational use of the workforce and strengthen the role of wages and their relationship to 
performance. Self-employment and collective work (cooperatives) in the non-state services sector 
have expanded, ensuring the creation of new jobs. 
1.16.  The State budget addressed the country's most  urgent needs within the limits of the income 
generated by the economy. The year 2013 ended with  a deficit of 1.2% of GDP, much lower than 
the 3.6% recorded the previous year. Changes we re also made to the tax law with a view to 
improving the system, focusing in particular on redefining tax policy in response to the increase in 
self-employment and services cooperatives in the non-state sector. 
1.17.  The monetary policy pursued by the Central Bank of Cuba has been directed towards the 
use of financial instruments to regulate the money supply and thus contribute to exchange 
stability, preservation of the purchasing power of money, and orderly development of the economy. Likewise, further efforts are being made to consolidate credit policy that provides access 
to financing for both natural persons and the various forms of management. WT/L/937 
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  1.18.  It should be emphasized that the Cuban economy is in a phase of transition towards an 
updated economic model, which requires far more comprehensive structural changes than those undertaken in previous stages, and sweeping change s are therefore being made in all sectors and 
branches of the economy. 
1.19.  In this connection, it has become a priority to structure the monetary and financial 
environment in such a way that the requisite steps can be taken to eliminate Cuba's currency and exchange duality and thus create the conditions needed to gradually restore the functions of the 
Cuban peso as the country's currency. 
1.20.  It should be noted that the changes introduc ed to date have not affected relations with the 
other WTO Members, since they are consistent wi th the principles of free trade between nations 
and do not prejudice the interests of foreign investors in Cuba, which shows that the country's 
planned macroeconomic policies do not run counter to the principles and objectives of the 
GATT 1994. 
1.21.  Owing to the above factors, the particular circumstances that gave rise to the extension of 
the waiver granted to Cuba in February 2012 still exist. Cuba reiterates that use of the waiver has 
not had any adverse effects on other WTO Members, which have not had any need to hold consultations in that connection. Lastly, Cuba has shown that it has complied with its commitment 
to make use of the waiver without affecting the ob jectives of the General Agreement or harming or 
impairing the rights of other Members. 
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