Over at Bahama Pundit Larry Smith recently turned his attention to Bahamian economic and political issues and his conclusion is that The “The Bahamas Needs a Great Moderniser as Britain had with Margaret Thatcher.

He is spot on of course, but he raises the issue of Cuba’s reported economic growth rate of 10 per cent.

He points out:

“Just to reach the per capita income enjoyed by the Cayman Islands right now ($40,000), we need to grow our economy by 10 per cent annually for the next eight years – as Cuba is doing. But this is surely an impossible task unless we modernise the way the country operates and invest heavily in strategic imperatives.”

The following graphic is how UNData records Cuba’s economic growth over the past five years:

Click on image to enlarge or click this link…

I stand to be corrected, but I believe these numbers are not audited but simply reported to the UN by Cuba’s authoritarian rulers.

According to a couple recent articles at Caribbean Net News it appears that even Cuba’s Vice President , Carlos Lage is confused about Cuba’s economic growth:

In an article published March 3, 2008 titled Cuba to revitalise road infrastructure, Lage is quoted as saying that the country would initiate “a stimulus plan in strategic sectors”.

Now if the country’s economy is growing at 10 per cent per annum what kind of stimulus could possibly be required? That’s even assuming the government is what stimulates growth.

Then in a piece titled Cuba to revitalise road infrastructure published March 14, 2008, the government is reportedly implementing an ambitious road infrastructure programme (and here’s the kicker), “now that the country is experiencing rigorous growth”.

So which is Mr. Lage? Do you need a stimulus plan or is the economy experiencing rigorous growth?

I’m beginning to think that Cuba’s growth rate is a myth. How about you?