Cuba unveils economic reforms as energy crisis deepens under US sanctions

Cuba is introducing major economic reforms as the country struggles with severe fuel and electricity shortages and a deepening economic crisis.

The government is opening parts of the tourism sector to private foreign capital and allowing Cubans living abroad to own businesses, in an effort to attract investment and generate much-needed revenue.

But the reforms come as Cuba faces persistent power outages, fuel shortages and scarcity of basic goods. Residents across the island continue to deal with daily blackouts and worsening economic hardship.

Cuban officials acknowledge the difficult environment for foreign investment, particularly in the energy sector. Economists say the reforms are overdue but question whether they will be enough to reverse the country's economic decline without broader political changes.

At the same time, the United States has announced new sanctions against Cuba, adding further pressure to an economy already struggling to recover.

Al Jazeera’s Julia Galiano reports.

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