Cuba and Vietnam: Economies in transition

As of late-1994, both Havana and Hanoi actively courted foreign investment in their respective countries. Yet, while Vietnam began to pursue foreign investment in 1988, Cuba did not actively seek foreign investors until 1992. The global and domestic political economic environments facing policy markers in Havana and Hanoi help to understand the factors behind and the reasons for Cuba's four-year lag vis-a-vis Vietnam in actively pursuing investment. In the final analysis, Cuba's relatively positive economic situation during most of the 1980s and Fidel Castro's personal opposition to foreign investment in Cuba likely contributed to Cuba's four-year lag vis-a-vis Vietnam in actively pursuing investment.