A major blow for Cuba: Visa and Mastercard payments suspended due to US sanctions

Cuba has announced the suspension of all Visa and Mastercard transactions starting June 6, a decision that authorities attribute directly to the tightening of US sanctions. This measure risks further complicating the island's economic situation, already facing a severe financial crisis and a marked decline in its tourism industry.

In a statement released Wednesday, the Cuban Central Bank explained that a foreign partner responsible for processing international payments had decided to limit its operations with Cuba following an executive order signed by the administration of the US president. Donald Trump last May 1st.

According to Cuban authorities, this decision now prevents the country from collecting revenue from the sale of goods and services paid for using Visa and Mastercard. International credit card transactions were essential for many tourists and for certain economic activities involving foreign currency.

This suspension comes as Washington intensifies its pressure on the Cuban communist government. The Trump administration has stepped up measures to restrict economic exchanges with the island as part of its policy of strengthened sanctions.

Payment operations were historically handled by a foreign bank in partnership with Fincimex, a financial company linked to the Cuban military group GAESA. The United States accuses this conglomerate of controlling a large part of the strategic sectors of the Cuban economy, including tourism, financial services, money transfers, and logistics.

For Cuba, this new restriction represents an additional challenge at a time already marked by shortages, supply difficulties, and declining tourism revenue. Authorities fear that the suspension of Visa and Mastercard payments will further impact foreign visitors and the foreign currency inflows that the country's economy desperately needs.