US sanctions interrupt Visa, Mastercard payments in Cuba

[El Presidente]

US sanctions interrupt Visa, Mastercard payments in Cuba

Havana (AFP) – Visa and Mastercard payments in Cuba will be suspended from Saturday after US sanctions prompted a foreign bank to sever ties with a state-backed financial institution, Cuba's central bank said Wednesday.

Washington-Havana relations have tumbled as the United States has slapped sanctions on Cuba, which has also been under a US-imposed energy blockade since January.

Sanctions have notably targeted Cuba's military conglomerate and major economic player GAESA by freezing its US assets and penalizing companies that work with it.

These companies have until Friday to adjust their activities, according to the US Office of Foreign Assets Control (OFAC).

In a statement released Wednesday, Cuba's central bank said a foreign bank was severing ties with Fincimex S.A., GAESA's financial arm, due to US sanctions.

"On June 2, we received a communication from the foreign bank that processes transactions carried out in Cuba using Visa and Mastercard, informing us of its decision to terminate its relationship with Fincimex S.A.," it said.

"As a result of this decision, Cuba is unable to receive income from the sale of goods and services through internationally established cards such as Visa and Mastercard," the statement added, without naming the foreign bank.

Sanctioned companies could have their assets frozen or encounter difficulties in accessing the international financial system.

[El Presidente]

Iberia suspends Madrid-Havana flights until November as Cuba tourism struggles

Flights to Cuba are becoming an increasingly rare commodity, with the news that yet another airline has announced it is suspending connections to the Caribbean island amid the ongoing jet fuel crisis prompted by Middle East hostilities.

Spanish carrier Iberia is ceasing flights between Madrid and Havana until at least November 2026, following a previous decision made in April to suspend operations between the two capitals between June and October.

Havana’s now extended absence from the airline’s schedules until November reflects jet fuel shortages and operational difficulties since the closure of the Strait of Hormuz at the end of February 2026. The lack of supplies of A1 jet fuel on Cuba, including at Havana’s main hub José Martí, had already led to Iberia progressively reducing timetables and needing to make refuelling stops and technical calls in the neighbouring Dominican Republic.

The decision from Iberia puts them among what seems to be a growing list of international airlines that have now stopped flying to Cuba. Air Canada, Air France, and Turkish Airlines have also temporarily suspended their Cuban operations due to similar logistics and supply issues, with Air Canada laying on special flights to bring around 3,000 otherwise stranded passengers home. 

Though flights may be sought-after by some travellers, in general, demand for the island locals call El Cocodrilo has fallen, as the shortages on Cuba ripple through the travel sector, affecting services at hospitality venues, for tour operators, and even taxi providers. The lack of oil imports on which the nation relies is affecting electricity supplies and has caused hours-long power outages, as well as lengthy fuel queues, reduced bus timetables, and cut opening hours for key businesses such as banks.

Cuba’s once-thriving tourism industry hit a peak around 2017, with hard currency revenues hitting $3.3 billion USD, but has been severely stymied by the COVID-19 pandemic and various international sanction packages. In contrast, between January and April 2026, the island received just 328,608 international tourists, down 55.8% from the same period in 2025, according to figures linked to Cuba’s National Office of Statistics and Information.

So, the sector, formerly a major contributor to the national economy, is now increasingly isolated in terms of air connectivity and suffering the duress of the worldwide fuel crisis on top of its own wider energy and infrastructural issues, with aging and inefficient facilities. Some commentators also point out the problems have been made worse by regional policies pursued by United States President Donald Trump, which have further restricted the island’s fuel access.