May 27 (UPI) — Independent organization Food Monitor Program filed a formal complaint against GAESA, the business conglomerate controlled by Cuba’s Revolutionary Armed Forces, before the United Nations special rapporteur on the right to food, accusing the group of worsening hunger and malnutrition on the island through monopolistic control and financial opacity.
The filing submitted to the United Nations describes GAESA as “a state within a state” that has absorbed the most profitable sectors of the Cuban economy.
Más allá de las recientes sanciones, FoodMonitorProgram mantiene una denuncia sostenida sobre GAESA : concentra divisas, importaciones, logística y distribución alimentaria en Cuba
Este modelo desplaza producción nacional, prioriza rentabilidad sobre productos básicos… pic.twitter.com/amEIEhyYmb— Food Monitor Program (@FoodMonitorP) May 26, 2026
Following a massive leak of internal documents and financial statements tied to GAESA, international analysts and investigative reports by outlets including the Miami Herald estimate the military conglomerate has accumulated nearly $18 billion in highly liquid assets.
The holding company operates as a parallel financial structure whose total revenues reportedly triple the Cuban state budget and control between 40% and 70% of the island’s economy.
According to the report submitted to the United Nations, the military consortium undermines Cuba’s food security through its monopoly over foreign currency, imports and food distribution and retail networks.
The model displaces domestic production, prioritizes profitability over basic goods and deepens dependence on remittances, the report said.
GAESA exclusively controls remittance networks from abroad and the sale of essential goods through stores operating in freely convertible currency, known in Cuba as MLC stores. The system captures dollars sent by the Cuban diaspora while excluding residents without access to hard currency.
“By centralizing foreign currency, essential imports and logistics networks, the military elite imposed a rent-seeking model that prioritizes capital extraction over local production, causing national agricultural production to collapse by 67% over the past five years,” Food Monitor Program Executive Director Sergio Ángel Baquero told Martí Noticias.
Instead of financing domestic agriculture, the military-run model prioritized controlled imports and large-scale hotel construction, according to the report. Independent farmers and new entrepreneurs lack legal avenues to challenge abuses and regulatory barriers imposed by the military monopoly.
The Food Monitor Program report describes a severe humanitarian crisis across Cuba.
Runaway inflation and the loss of purchasing power have left 96% of the population in poverty or economic vulnerability, while the state ration book covers barely one week of monthly food needs, according to the report.
Military-controlled stores remain the only places where essential products can be found, often at prices unaffordable for citizens earning salaries in Cuban pesos.
The direct result has been a sharp increase in households facing severe food insecurity.
The administration of President Donald Trump has imposed financial sanctions against the GAESA structure. Secretary of State Marco Rubio said the measures are intended to restrict the Cuban government’s access to financial assets and revenue.
Among the latest actions was the freezing of assets belonging to GAESA Chief Executive Officer Brig. Gen. Ania Guillermina Lastres Morera. Authorities in Florida also detained her sister, Adys Lastres Morera, on immigration-related charges linked to alleged collaboration with Havana’s economic network.
Additionally, the United States sanctioned Moa Nickel S.A., a joint venture between the Cuban government and Canadian mining company Sherritt International. U.S. authorities said the sanctions stem from the use of facilities originally expropriated from U.S. owners.
Under pressure from Washington, Sherritt announced the immediate suspension of its operations in Cuba and the repatriation of its employees.
While the Cuban government continues to blame widespread shortages and rolling blackouts on the U.S. trade embargo, the civil audit presented to the United Nations argues the food crisis is rooted in internal management failures, alleging shortages stem from hoarding and financial privileges granted to the military consortium.
GAESA was created in the 1980s under the direction of former Cuban leader Raúl Castro as a financial arm of the armed forces intended to provide the military with economic autonomy ahead of the expected collapse of Soviet subsidies.
International analysts say GAESA’s current role is primarily operational, while strategic control of the conglomerate’s multibillion-dollar assets remains concentrated within the inner circle of Cuba’s ruling elite.
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