Cuba has announced plans to reform its economy along the lines of the socialist market economies of China and Vietnam, with President Miguel Díaz-Canel saying the planned opening would allow greater private sector participation in place of the heavily state-controlled planned economy.
The reform still requires approval from the Communist Party's Politburo and Cuba's National Assembly.
"The proposed measures will make it possible to resolve the long-standing contradictions between central planning and incentives," Díaz-Canel told journalists on Friday.
Changes in the agricultural sector and a restructuring of the state apparatus were also planned, he said.
In addition, some economic activities previously prohibited for private actors would in future be permitted, though he gave no further details.
The US government has increased economic pressure on Cuba in recent months through a series of sanctions, seeking to force political and economic reforms on the island.
Relations between Washington and Havana have been strained since the revolution of 1959 led by Fidel Castro.
