USA/Cuba Politics: Time to Adjust Policy?

Economist Intelligence Unit
July 16, 2010

Cuba’s release of 52 political prisoners, announced on July 7th, has improved the chances for better relations with the EU. It has also re-ignited discussion about whether the US should adjust its strict economic sanctions against the communist regime. A wholesale revamp of Cuba policy is not in prospect in the short term, but there is growing pressure in the US to make important changes, such as lifting the travel ban on US citizens, and ending restrictions on farm and telecommunications exports.

Some members of the EU have been seeking closer relations with Cuba for some time. These efforts soured in 2003 following the Castro government’s arrest of 75 dissidents—most of whom are now slated to be freed. Spain, which helped to broker the agreement for the prisoner release, has been working to get the EU to alter its “common position” on Cuba. That position requires that the EU conduct an annual assessment of the human-rights situation in Cuba. Spain has lobbied for that requirement to be dropped. EU foreign ministers will discuss whether to uphold their common position on Cuba at their next summit in September....

...Arguing that there is a correlation between access to ICT and greater freedom in a closed society, the report suggests that there needs to be even more liberalisation of regulations related to export of ICT equipment and provision of services, and even of restrictions on investment in Cuba’s domestic telecommunications network.

“Changes in this area would be easy to make, and would give the US the chance to respond to what’s happened in Cuba with the release of the dissidents,” says Chris Sabatini, policy director for the Council of the Americas. It would not involve the politically difficult task of lifting the embargo. It would “improve the ability of the private sector to invest in Cuba to expand access and provide the basic foundation for long-term, sustainable economic growth when Cuba does experience a political change,” says Mr Sabatini.

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