Posted originally on Apr 1, 2025 by Martin Armstrong 

Cuba is a tragic example of what can happen to a society under a Marxist–Leninist socialist republic—equal in poverty. New reports show that nearly a quarter of Cuba’s population has fled the nation in the past four years alone in search of economic opportunities.

Such a mass exodus is usually only seen during times of war. Estimates state that around 545,011 people escaped the island in 2024, with 45.5% fleeing to the United States. Spain, Serbia, Mexico, and Uruguay remain popular for socialist refugees. The study was conducted by Cuban economist Albizu-Campos as the nation has not held a formal census since 2012. The National Office of Statistics has acknowledged that the population has fallen beneath 10 million, with their estimates stating 300,000 fled in 2024.

Cuba has been in a crisis for many years now. The nation faces one of the worst energy crises and it has become commonplace for entire regions to go a day without any power. Trade restrictions have caused widespread shortages of essentials such as food, water, and oil.

Their currency is worthless. Inflation hit 500% in 2021, falling to 200% in 2022, but the nation is unable to keep proper figures. In 2021, authorities attempted to establish the Cuban peso as the main currency and introduced a new currency pegged to the dollar called “moneda libremente convertible” (MLC). Cuba, like Venezuela and other socialist economies, has suffered from economic mismanagement rather than just US sanctions. There is no private property, the dual-currency system has failed, and central planning is non-existent.

President Miguel Díaz-Canel reached out to Russia, Turkey, Algeria, and China for financial assistance but remains blacklisted by most of the West. Canada is actually the top importer of Cuban goods, accounting for $585.61 million of exports in 2023 out of a total of $1.59 billion. Tobacco, nickel, ores, and alcohol remain Cuba’s last standing exports but most nations sanctioned Cuba long ago and they are hard-pressed to find any buyers. Exports declined by $900 million as agriculture and tourism plummeted.

Russia has attempted to help Cuba bypass sanctions by supplying essentials like meat and dairy, and President Diaz-Canel is expected to visit Moscow in the coming months. Russia and China are Cuba’s last hope for a financial lifeline.

The Cuban Human Rights Observatory (OCDH) estimates that at least 89% of Cubans currently live in “extreme poverty.” This is a textbook tragic example of how a nation inevitably falls under Marxist–Leninist socialist policies that dictate everyone must be equal in poverty.