Archive · 8 Jan 2026
Cuba Faces Economic Collapse After Maduro's Ouster
Cuba is going through a very tough time right now.
The country's economy is in a bad state, which means people are having a hard time getting food, medicine, and electricity.
The government says the problems are partly because of the long-standing trade restrictions from the United States.
But experts also say that the government's own planning and management issues are making things worse.
People are struggling to buy basic things like eggs, and many are leaving the country to find better opportunities.
The situation is so bad that some people are even cooking with firewood because there isn't enough electricity.
The government is trying to fix things, but it's a big challenge.
After the US capture of Venezuelan President Nicolás Maduro, familiar signs of repression have gripped Caracas.
Soldiers and pro-government motorcycle gangs known as colectivos roamed the streets, and journalists were detained.
The scenes suggest that little has changed in how power is enforced in Venezuela, even with the Trump administration asserting control.
Residents lined up outside grocery stores and gas stations amid worries about the nation’s future.
Millions of Venezuelans fled economic hardship under Maduro’s reign, hundreds of thousands of whom sought asylum in the US.
Cuba is experiencing its worst economic crisis in 67 years, with severe shortages of food, medicine, and electricity.
The government blames the U.S. trade embargo, while experts also point to poor planning and mismanagement.
Oil imports from Venezuela have drastically decreased, leading to widespread power outages and industrial disruptions.
Tourism, a crucial industry, has not recovered to pre-pandemic levels, with visitor numbers struggling to reach 2 million annually.
Private enterprises, though expensive, have become a lifeline for many Cubans, but onerous regulations hinder their growth.
- Who
- Cubans, President Miguel Diaz-Canel, President Donald Trump, Economists Omar Everleny Pérez and Ricardo Torres, Acting President Delcy Rodríguez, Colectivos
- What
- Cuba's economy is experiencing a severe decline with widespread shortages and blackouts, and increased repression following Maduro's ouster
- When
- The situation has worsened significantly in recent years, with the current state being the worst in 67 years, and Maduro's ouster occurred on Jan 3, 2025
- Where
- Cuba, particularly Havana and other provinces, and Venezuela, particularly Caracas
- Why
- A combination of U.S. trade embargo, poor government planning, mismanagement, reduced oil from Venezuela, the impact of COVID-19 on tourism, and increased repression following Maduro's ouster
- Current GDP Decline
- 4%
- Oil Received from Venezuela (2025 Q4)
- 35,000 barrels daily
- Tourism Visitors (Pre-Pandemic)
- 4 million annually
- Tourism Visitors (Post-Pandemic)
- 2 million annually
- Cubans Receiving Overseas Help
- About a third
- Cubans Living in Poverty
- About a third (particularly pensioners)
- Cubans Who Left Since 2020
- 2.75 million
- Current Estimated Population
- 8.25 million (down from 9.7 million)
Sources
Cuba’s long-suffering economy is now in ‘free fall’
Fear grips Cubans after US unseats Maduro in Venezuela, amid Trump threats
Cuba is already on the brink. Maduro’s ouster brings it closer to collapse.
In photos: Venezuela’s rule by fear endures after Maduro’s capture by US