Concerned about the new measures by President Joe Biden's administration in favor of the Cuban private sector, U.S. Senator Marco Rubio warned about the impact of these concessions and the benefits they provide to the island's regime to increase its wealth.
From the social media platform X, Rubio described the series of amendments to the Cuban Assets Control Regulations issued by the U.S. Department of the Treasury as a facade, noting that these actions only favor a government "famous for its oppression."
According to the senator, the so-called “private sector” in Cuba only benefits the ruling elite, reminding that similar measures applied in the past also failed to achieve the desired change.
“The Cuban regime manipulates the Biden administration’s desperation for a foreign policy victory, reflecting the tactics of Iran,” Rubio remarked about the regulations announced on May 28. He emphasized the impact of “any financial aid to this vile regime,” as it “only fosters greater repression and anti-U.S. attacks.”
Although the provisions aim to promote economic independence and improve connectivity in Cuba, Rubio warns they could have the opposite effect and, instead of promoting democratic change, might strengthen the oppressors and increase repression against the Caribbean people.
This decision seeks to expand the Biden administration’s policy in support of the Cuban people and Micro, Small, and Medium Enterprises (MSMEs), according to a document published in the Federal Register. It also revokes a regulation from the Donald Trump administration that prohibited U.S. banks from processing transactions related to Cuba through third countries.
Implications of New U.S. Regulations on Cuba
The new rules also aim to promote internet freedom in the island nation by authorizing and expanding cloud-based services, installation, and repair of telecommunications equipment, and the export of Cuban-origin software and mobile applications.
According to the regulatory package, “independent private sector entrepreneurs” (self-employed workers, cooperatives, and private companies with up to 100 employees) will be able to open and use bank accounts in the United States.
Additionally, beneficiaries are authorized to conduct “U-turn” transactions, which allow banking institutions to process fund transfers involving Cuba, provided they originate and end outside the United States and are not conducted by persons subject to U.S. jurisdiction.
The process for reporting transactions related to telecommunications has also been updated, eliminating the need to send faxes and allowing the submission of reports via email.
The Cuban government deems the regulations "limited," and according to Foreign Minister Bruno Rodríguez Parrilla, they do not reverse the "cruel impact" of the embargo on Cuban families or the inclusion of Cuba on the list of State Sponsors of Terrorism.
Cuban-American lawmakers rejected the changes. On his X account, Republican Congressman Carlos Giménez accused the Biden administration of perpetuating "the Castro dictatorship in power and abandoning Cubans fighting for freedom," while also calling it "complicit" with the communist regime.
"President Biden has just granted more concessions to Cuba's murderous regime," he expressed.
Rep. Carlos A. Gimenez (@RepCarlos) May 28, 2024
Meanwhile, legislator María Elvira Salazar argued that opening the U.S. banking system to the "private sector," which she considers "a cover for the regime to obtain foreign currency," will give "more oxygen to the dictatorship."
The Cuban government has continuously called for the easing of the U.S. embargo. Now that these concessions have materialized, the question arises: When will the regime take steps to fully liberalize the domestic market and ensure freedom of expression and politics within the island?
FAQs on U.S. Concessions to Cuba
Below are some frequently asked questions and answers regarding the new U.S. concessions to Cuba and their potential impact.
What are the new U.S. regulations regarding Cuba?
The new regulations include amendments to the Cuban Assets Control Regulations, promoting economic independence and internet freedom in Cuba, and allowing independent private sector entrepreneurs to open bank accounts in the U.S.
Who benefits from these new regulations?
The regulations are intended to benefit independent private sector entrepreneurs in Cuba, such as self-employed workers, cooperatives, and private companies with up to 100 employees.
What is Marco Rubio's stance on these changes?
Marco Rubio is critical of the changes, arguing that they benefit the Cuban regime rather than promoting democratic change. He believes that any financial aid to the regime fosters greater repression and anti-U.S. sentiment.