GENERAL BUSINESS CONDITIONS/MONEY AND BANKING/FOREIGN EXCHANGE/SUGAR/POLITICAL/MONEY SUPPLY/GOVERNMENT REVENUE

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP83-00423R000401050001-0
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 2
• Document Creation Date: November 9, 2016
• Document Release Date: January 13, 1999
• Sequence Number: 1
• Publication Date: April 1, 1953
• Content Type: REPORT

25X1A2g
1LLApp foved For Release 591D~A1 to DP83-004238000
Country: Cuba
General Business Conditions/oney and Banking/Foreign Exchange/
Subject:
Sugar/Political/Money Supply Government Revenue
Place Acquired by Source:
--------
Date Acquired by Source :
Date of Information
Feb 52 - Max 53
Source Description:
25X1X6
1. "General Business Conditions: There has been some further deterioration
in the business situation during March Li957. The expected improvement
that usually occurs during this season from the activity of the sugar
crop has not yet developed and collections from the interior have shown
no improvement. Department store sales have been lower than a year ago
and sales of automobiles and trucks, gasoline and oil, as well as textiles,
have declined. In hardware and agricultural machinery lines sales have
been especially weak. The provisions trade reports satisfactory business
with inventories on the short side. Most merchants are watching their
credits carefully. Foreign bills are being paid fairly promptly, although
requests for extensions have been more numerous.
2. "Mone and Bankin : Bank deposits increased about P.8,000,000 during the
mon' 4ftA957 and totalled P.719,500,000 as of 9 March. Loans increased
about P.7,000,000 to a total of P.1+35,300,000, reflecting the financing of
the sugar crop. Bond portfolios increased P.4,700,000 to P.69,700,000.
Advances and rediscounts at the Banco National de Cuba as of 5 March were
P.39,192,783, a decrease of about P.3,700,000 since 12 February. The
demand for loans has been active and money rates continue firm. Bank
clearing for the month ended 13 March were P.353,529,322 compared to
P.3l7,908,881E for the month ended 13 February.
3. "Foreign Exchange: Dollars are still readily available for all requirements
at the usual rate. The monetary reserves of the Banco Nacional de Cuba are
reported as of 10 March at Eo$486, 516,120 compared with j?7$14.67, 508,101+
on 10 February, the improvement being due to larger offerings of sugar export
bills.
4. "Sugar: The harvesting of the sugar crop is proceeding normally and production
to 14 March is reported at 1,850,000 long tons compared with 2,290,000 long
tons on the same date last year. Weather conditions have been favorable and
yields are generally satisfactory. At the present rate of production, most
mills will have finished their grinding quotas by the middle of next month.
Inasmuch as 30% or more of the cane crop will be left standing in the fields,
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 Approved For Release -l%%%M ,1Orf1V 83-00423R000401050001-0
expenditures for cultivation and replanting will no doubt be held to a mini-
mum and unemployment during the dead season will be higher than usual. Al-
though the outlook for the sugar industry is not promising at the moment,
Cuba is observing strictly the program for crop restriction and for the
orderly marketing of last year's carry-over, now reduced to 1,400,000 tons.
The success of these plans for bringing the industry into balance will de-
pend in large measures upon the results of the International Sugar Conference
which will probably be held in London next August.
5. "Political: The Cabinet has postponed indefinitely the presidential elections
that had been scheduled for November of this year. Elections for senators,
representatives, governors, etc., have been postponed until 1 June 1954. The
congress elected at that time will determine the length of the president's term
of office and set the date for the next presidential election.
6. "Money Supply (Mil. Pesos):
Deposits at Banco National
Peso Dep. Dollar Dep . Total
Feb 1952 179 25 204
Feb 1953 163 15 178
t?Government Revenue (Mil. Pesos):
1 July to 31 January
Fiscal Year 1951-1952 193
Fiscal Year 1952-1953 189
Treasury Notes and Grand
Notes of Banco National Total
419 597
February 1 July to 28 February
25 218
21 210,1
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Approved For Release 19-99/0911 Q rClA- 83-004 01050001-0
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