The suspension does not apply to transactions that use banks in third countries or “other payment systems.”
14ymedio, Havana, March 5, 2026 – The United States Department of Commerce, through its Bureau of Industry and Security (BIS), determined that the possibility of using the Support for the Cuban People (SCP) license exception is suspended for operations linked to exports or reexports to Cuba when they involve depositing foreign funds in a state-owned bank.
The measure affects how payments are collected and processed in sales of gas and petroleum products intended for the private sector on the Island and came into force yesterday, Wednesday, March 4.
In its official publication, BIS argues that there are “prolonged and documented problems” of diversion and commission charges associated with Cuban banking, and it emphasizes that several of these banks are on the Cuba Restricted List due to their links with military, intelligence, or security institutions.
The document specifies that the suspension does not apply to exports, reexports, or transfers that do not involve Cuban banks, for example transactions that use banks in third countries or “other payment systems” that do not involve depositing foreign funds in Cuban banks.
The document also includes a transitional clause: the suspension does not apply to exports or reexports that were already en route before March 4, 2026, to a port of export or reexport, provided that the operation was based on real orders and is completed no later than April 3, 2026.
Allowing deposits of funds in Cuban state banks can generate revenue or contribute to the functioning of the state apparatus, something that, according to BIS, is contrary to the objective of the SCP, designed to support “independent” economic activity in Cuba.
The BIS message sets clear limits on the financial mechanism so that payments are made through channels that do not pass through Cuban state banking.
U.S. regulations contemplate two possible avenues within the SCP license to authorize the export of gas and petroleum products to Cuba.
The first allows exports intended for the Cuban private sector for economic activities of the private sector itself, including those that respond to humanitarian needs. To apply this exception, the products must be directed to the private sector and used in independent economic activities. However, the license is not valid if the operation mainly generates revenue for the State or contributes to the functioning of the state apparatus, for example through projects related to public infrastructure.
The second avenue contemplates exports of these products sold directly to Cuban citizens for their personal use or that of their immediate family. Although the shipments do not have to be made directly to individuals, the final destination must be their personal consumption. This authorization is excluded if the products end up in the hands of officials of the Cuban Government, employees of the Ministries of Defense or Interior, or other entities linked to the State, including those listed on the Cuba Restricted List.
The document also reminds exporters that they are responsible for verifying that the operation complies with all the conditions of the SCP license; otherwise, they must request a specific individual license from U.S. authorities.
The BIS message sets clear limits on the financial mechanism so that payments are made through channels that do not pass through Cuban state banking. Eric Martin, spokesperson for the U.S. Department of State, emphasized that banking institutions in third countries (for example, Spain and Panama) remain authorized for these purposes.
Translated by Regina Anavy
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