HAVANA, Cuba, Apr 28 (ACN) Alejandro Gil Fernandez, Cuban minister of economy and planning, stressed on Monday that the increase in poverty in Latin America due to the COVID-19, has as its main cause the unequal distribution of resources, typical of the capitalist system.
On Twitter, The Cuban minister, who is also deputy prime minister, reiterated the importance of economic growth, but above all, of how the resources obtained are used and distributed.
Gil Fernandez also referred to recent statements by Alicia Barcena, Executive Secretary of the Economic Commission for Latin America and the Caribbean (ECLAC), who said that "inequality continues to be one of the Achilles' heels of our region.
Referring to the increase in poverty in the Americas, the Cuban official wrote that "it is the result of the economic model marked by a very unequal distribution of wealth, typical of capitalism. That is why we always say that if growth is important, it is very important how resources are used and redistributed.
On April 22, ECLAC published that COVID-19 is affecting Latin American and Caribbean economies through external and internal factors whose joint effect will lead to the worst contraction of economic activity that the region has suffered since records began in 1900.
According to the latest estimates, an average regional contraction of -5.3 percent is expected by 2020, Alicia Barcena reported, presenting a special report on the monitoring of the economic and social effects of the current crisis resulting from the impact of the SARS-CoV-2 coronavirus in the region, ECLAC's official website published.
In the case of Cuba, GDP growth is projected at -3.7 percent.