Castro hints at more belt-tightening for Cuba

He said Cuba needs to press ahead with his program for  getting more land into the hands of private farmers, calling  the lone major reform of his administration a top national  priority.

Castro spoke to thousands of red-clad Cubans in the eastern  city of Holguin to mark the anniversary of the July 26, 1953  rebel attack on the Moncada military barracks in Santiago de  Cuba that is considered the start of the Cuban revolution.

The revolution ended Jan. 1, 1959 when dictator Fulgencio  Batista fled the country and rebel leader Fidel Castro took  power.

Raul Castro said Cuban ministers will meet tomorrow to  consider revising spending plans for the rest of the year  because “of the effects of the world economic crisis on our  economy.”

In particular, he said there has been a “significant  reduction in export income and additional restrictions to  access external financing sources.”

A recent government report said imports are expected to  plummet 22.2 percent, or some $3.4 billion in 2009, while  exports will decline by $500 million.

Three hurricanes that caused $10 billion in damage when  they struck the communist-led island last year have added to  woes caused by the global crisis.

In response, the cash-short government has taken  belt-tightening measures such as scheduled blackouts to save  energy, selected factory shutdowns, public transport  reductions, spending cuts and the freezing of foreign business  bank accounts.

The latter has been partially rescinded after the account  holders threatened to stop trading with Cuba, which depends  heavily on imports of food and many other items.

The worsening situation has frustrated many Cubans who  hoped Castro would reform Cuba’s economy after taking over from  Fidel Castro last year and quickly decreeing that Cubans could  buy cell phones and computers and use previously off-limit  tourist hotels.