The cochairs of the Cuba-Russia Intergovernmental Commission discussed the important issues of the trade and economic ties, including a loan agreement, cooperation in the energy sector projects, and upgrade of Cuba’s railway network. The meeting was attended by Russia’s Deputy Prime Minister Yuri Borisov and Cuban Vice President Ricardo Cabrisas.
“We have advanced in implementing the project to upgrade Cuba’s railway network”, said Yuri Borisov after the meeting, “The price of this 7-year project is nearly 2 billion euro. It will play a key role in the economy of Cuba”. Russia will also repair the aircraft park and establish a new aircraft repair center in Cuba.Cubana had to cancel most domestic flights last year due to a lack of flightworthy planes and lease aircraft from other companies. The carrier uses mainly Russian and Ukrainian-made Ilyushins, Tupolevs and Antonovs partly because U.S. sanctions prevent it from buying planes with a certain share of U.S. components. Cuba’s cash crunch restricts it from paying for expensive repairs and spare parts.
deal would be worth nearly 2 billion euros and signed by the end of the year. Since then, however, the deal’s completion has not been announced. “We agreed to divide it into stages and optimise the necessary credits in order to carry out this project,” Borisov was cited as saying. “I expect it to be put into practise in a near future.”
After a high-level Russian-Cuban intergovernmental commission meeting in Moscow, Borisov said both sides had checked the repairs needed and had written contracts, without giving details on costs.
“Everything has passed to the practical stage and I consider that the Cuban fleet will be re-established in 2019,” he said after meeting with Cuban Vice President Ricardo Cabrisas.
“We agreed in the future to work on creating a services centre in Cuba dedicated to the aviation fleet in order to avoid a repetition of a negative situation.”
Why does Russia help the Cuban economy?
The total cost of the project is to be implemented on the Russian money, will amount to 2 billion euros.
The project is designed for seven years.
All this is done to increase the efficiency of the Cuban infrastructure that Cuba was not repeated in the Venezuelan scenario.
“The purpose of this program is a departure from the supply of oil. This is including the hedging what is happening in Venezuela,” – said Borisov.
Cuba was the largest debtor of the former Soviet Union until 2014, when Russian President Vladimir Putin wrote off 90% of the debt is 31.7 billion from $ 35.2 bn
Cuba we give a lot of money. And I find it very strange,- said Ekaterina Shulman in an interview.
I’m not building any conspiracy assumptions about what actually constitutes the transfer of money.
But knowing the standard of living in Cuba, you know what happens. Even if you think that only the Soviet Union Cuba contained, then think again. We spend on it more than on Syria. And it was so good more.Now fears Shulman can be considered dispelled. In Cuba Russia is building a railway.