Cuba tourism challenges.
The US State Department in March reduced tourist visas for Cuban nationals, in a further sign of cooling bilateral relations. Under US President Donald Trump, several confidence-building bilateral measures introduced under former President Barack Obama have been rolled back, with limits on tourist visits and investment in Cuba by US firms reinstated. This is set to have a major impact on the tourism industry, one of the main drivers of Cuba’s economic growth and a key sector for investment by US companies.
The Venezuela crisis will exacerbate Cuba-US tensions, with Washington blaming Havana for supporting Caracas.
The government will prioritise tourism investment over social spending, potentially reducing incomes for Cubans.
Conversely, tighter US rules may trigger a brief surge in US tourism to Cuba, for fear that the window of opportunity to visit is closing.
