Cuba to Halt Visa and Mastercard Transactions Amid U.S. Sanctions
Cuba plans to suspend Visa and Mastercard transactions starting June 6, due to expanded U.S. sanctions. The order affects Cuba's economy and tourism as foreign businesses cut ties. The U.S. targets GAESA, a Cuban military-run conglomerate, while Cuba denies profit hoarding allegations.
The government of Cuba announced it will cease Visa and Mastercard transactions from June 6 forward, highlighting the impact of recent U.S. sanctions. Sanctions have already caused several foreign companies to withdraw from Cuban markets.
The Cuban central bank confirmed a foreign partner's decision to limit operations led to this suspension. The order, part of broadened U.S. sanctions, has become another economic challenge for the island's struggling tourism sector.
The U.S. has accused GAESA, a Cuban military-operated conglomerate, of misappropriating funds. In contrast, Cuba counters that GAESA contributes to economic development. As the U.S. pressures businesses to leave, Cuba faces heightened economic isolation.
(With inputs from agencies.)
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