AGP Executive Report

Cuba Economic Overhaul: President Miguel Díaz-Canel announced sweeping 2026 reforms to “liberalise” Cuba’s economy amid US pressure, including cutting ministries, giving state firms more autonomy, loosening fiscal support for inefficient enterprises, expanding private-sector activity, and allowing Cubans abroad to invest on equal terms—plus a major push to reopen tourism to “new players” and new deal formats. US Sanctions Hit Energy: The US imposed fresh sanctions on state oil and gas firm Unión Cuba-Petróleo (CUPET), and Havana’s leaders and CUPET itself denounced it as another tightening of the energy blockade, warning it will disrupt fuel operations and worsen shortages. Fuel Crisis Reality Check: Díaz-Canel acknowledged the scale of the energy problem, saying that in the last five months only one oil tanker reached the island, as blackouts and diesel shortages continue. Tourism Pressure Point: With foreign hotel operators pulling back under sanctions, Cuba’s reforms explicitly target tourism’s collapse by expanding who can run and invest in the sector. Currency Watch: In the informal market, the dollar and euro kept climbing—USD at 650 CUP and EUR at 740 CUP—while MLC slipped to 425 CUP as the energy crisis deepened. Diaspora Solidarity: In Chile, Cubans raised funds in hours to repatriate the ashes of Yusleidys Rodríguez to Cuba after a medical emergency and urgent paperwork deadlines.

Cuba’s Economic Shake-Up for Tourism: President Díaz-Canel announced a broad 2026 reform package to expand private activity and bring in new players for tourism, alongside steps to loosen foreign-trade rules and reduce state import bottlenecks. Energy Crisis Meets New Sanctions: The U.S. escalated pressure by sanctioning state oil firm CUPET, with Cuba’s leaders calling it another tightening of the energy blockade; CUPET also rejected the move, warning it targets Cuba’s ability to function amid the fuel and blackout emergency. Currency Pressure on the Ground: In Cuba’s informal market, the dollar and euro kept climbing (USD to 650 CUP; EUR to 740 CUP), while MLC fell to 425 CUP—signaling worsening conditions that hit everyday travel and spending. Tourism Reality Check: Reuters reports foreign visitors are thinning out at iconic sites in Havana and Varadero, with only a handful of tourists spotted during a morning walk—another sign of how the crisis is reshaping Cuba travel. Power-Driven Hardship: A new report describes how blackouts and heat are crushing low-income households, with leisure and even basic comfort becoming out of reach. Cruise-View Nostalgia: A viral TikTok trend shows Cubans in the diaspora breaking down after seeing Havana from cruise ships—close enough to spot, far enough to ache.

US Sanctions Fuel Crisis: Secretary of State Marco Rubio announced new sanctions on Cuba’s state energy company CUPET/Unión Cuba-Petróleo, accusing Havana of “weaponizing energy” while ordinary Cubans face weeks to refuel and blackouts. Tourism Fallout: The latest pressure is hitting travel too, with reports that airlines are suspending or cutting Cuba routes—Transat says fuel costs and Cuba flight suspensions drove a $79M loss. Currency Shock: The informal market dollar surged to 650 CUP, with the euro also climbing, adding fresh strain for travelers and locals paying in hard currency. Human Cost at Home: A Holguín-based father of an autistic child pleaded for help after 45 hours of blackout, highlighting how power cuts affect even basic needs. Energy-Solidarity Projects: Europe-backed solar upgrades are expanding at ELAM to protect parts of the campus from outages. Health Alert for Visitors: Florida’s dengue risk is spiking, with Miami-Dade under mosquito alert as CDC reports a 359% national surge—relevant for Cuba-bound travelers transiting the US. Local Business/Charging: Holguín’s first photovoltaic charging station is nearing operation, offering 24/7 charging plus community services.

Cuba–US tensions and travel ripple effects: U.S. Defense Secretary Pete Hegseth visited Guantánamo Bay and warned Cuba to avoid “wrong” decisions, as the Trump administration keeps pressure on Havana amid talk of possible “contingency.” Currency squeeze: Cuba’s informal market logged fresh highs for the dollar (640 CUP), euro (730 CUP) and MLC (450 CUP), deepening the cost-of-living hit for residents. Tourism fallout on the ground: Reports say Varadero is becoming a “ghost town,” with thousands left unemployed as the tourism collapse continues. Air travel disruption: Transat/airline partners blamed fuel costs and Cuba flight suspensions for major losses, while multiple Canadian carriers suspended Cuba service indefinitely. GAESA image push: Cuba’s state media ran a new campaign to improve GAESA’s image, promising more CUP availability tied to dollar sales. World Cup travel snag for Cuba-linked visitors: UK fans learned that having been in Cuba can trigger ESTA denial for U.S. entry, complicating World Cup travel plans. Geopolitical pushback: Russia’s Duma urged the UN to condemn U.S. policy toward Cuba and call for an end to sanctions.

U.S.-Cuba Pressure at Guantánamo: Defense Secretary Pete Hegseth visited Guantánamo Bay and warned Cuban leaders not to pursue “wrong” weapons or decisions, framing the base as strategically vital and saying “the future of Cuba” is tied to U.S. leadership. Sanctions Backlash: The White House defended expanded Cuba sanctions after UN human-rights chief Volker Türk warned they’re causing “widespread harm,” including impacts on water, food, and healthcare. Human Cost on the Ground: A report highlights Cubans facing mounting economic pressure, including daily blackouts and shortages, with a pregnant woman’s plea for food money underscoring the crisis. Tourism Fallout: Multiple outlets say foreign visitors are thinning out and airlines/hotel operators are pulling back, while Cuba’s iconic sites are increasingly “ghost town” quiet. Travel Safety/Border News: U.S. Border Patrol arrested a Cuban man near Del Rio for illegal reentry; another Cuban deportation case describes a long U.S. life upended by minor-era offenses.

US-Cuba Military Pressure: Defense Secretary Pete Hegseth is set to visit Guantánamo Bay and then Tampa’s CENTCOM HQ, as Washington tightens sanctions and an oil blockade and warns Cuba against acquiring weapons that could reach the base. Tourism Slowdown: Reuters reports foreign tourists are thinning out at Cuba’s once-bustling sites, with major hotel operators cutting back or exiting amid fuel shortages, power blackouts, and US pressure. Sanctions & Payments: Cuba’s central bank decision means Visa and Mastercard will no longer be accepted in Cuba starting Saturday, adding to the squeeze on travel spending and everyday transactions. Land Law Update: A draft Agricultural and Forestry Land Law would keep socialist state ownership, while allowing foreigners to access land only via usufruct, not ownership. Earthquake Felt in Florida: A 6.1 quake off Cuba’s coast was felt across Southwest Florida, with officials reporting no damage and monitoring for aftershocks.

US-Cuba Tensions: The DOJ filed suit to revoke the citizenship of Manuel Rocha, a former U.S. diplomat exposed as a long-running Cuban espionage asset—another reminder of how Washington’s Cuba fight reaches deep into travel, visas, and personal ties. Military Pressure: Defense Secretary Pete Hegseth is set to visit Tampa and Guantanamo Bay as the U.S. keeps up sanctions and an oil blockade, with Cuba warning it will resist any coercion. Humanitarian Aid With Strings: Rubio says the U.S. will provide $100M in humanitarian aid to Cuba, but only faith-based and nonprofit groups can distribute it, not the Cuban government. Tourism Hit: Indonesian operator Archipelago International confirms it’s exiting six Aston-branded Cuba hotels, citing U.S. sanctions compliance—joining other chains pulling back as visitor numbers thin. Geotourism Push: Cuba declared 28 new geosites in Cienfuegos and Sancti Spíritus to promote geotourism, including major cave and park highlights around El Nicho. Earthquake Disruptions: A 6.1 quake off Cuba’s coast rattled parts of Florida and Cuba with no immediate damage reports; residents described shaking and evacuations, while officials said there was no tsunami threat. Migration Watch: Brazilian authorities rescued 108 Cuban migrants from a smuggling network near Guyana’s border and arrested five alleged “coyotes.” Rights Alarm: UN human rights chief Volker Türk warned U.S. restrictions are worsening Cuba’s humanitarian crisis, citing fuel, medical access, and blackouts.

Earthquake Disrupts Travel: A rare 6.1 quake off Cuba’s west-northwest coast (near Mantua) sent tremors across Florida, prompting building evacuations in Miami and Tampa and temporary ride shutdowns at Walt Disney World and other parks; officials quickly said there’s no tsunami threat, but travelers and crews still faced sudden closures and safety checks. Tourism Strain From Fuel Shortages: Havana’s iconic 1940s–50s classic cars are cutting back trips as gasoline remains scarce, hitting a key tourist income stream and limiting visitors’ ability to tour the city. UK Travel Alerts: The UK Foreign Office updated travel advisories for 12 countries, reminding travelers that ignoring guidance can affect insurance coverage—useful for anyone planning Cuba-linked itineraries through the region. Cuba-Iran Ties in the Spotlight: Separate reports say Cuba and Iran both felt earthquakes within hours, underscoring how quickly regional events can ripple into travel planning and public concern.

Earthquake & Travel Disruption: A 6.1-magnitude quake off Cuba’s west-northwest coast (near Mantua) sent tremors across Florida from Miami to Jacksonville, with some building evacuations and brief closures at SeaWorld/other attractions; USGS reported no tsunami threat and no immediate damage. Cuba Tourism Hit by Fuel Crunch: Havana’s iconic vintage car tours are cutting back as gasoline shortages worsen, reducing trips for both locals and foreign visitors. Sanctions Pressure on Daily Life: UN human rights chief Volker Türk warned that expanded US sanctions and fuel restrictions are harming Cubans’ access to medicines and essential services, with blackouts frequently exceeding 20 hours. Air Travel Shake-Up: Canada’s WestJet (and Sunwing) indefinitely suspended flights to Cuba, leaving travelers scrambling for refunds or rebooking options. Safety Advisory (Bahamas): The Bahamas urged citizens to avoid non-essential travel to Cuba due to electricity, fuel, transport, and goods shortages.

Travel Advisory: The Bahamas’ Ministry of Foreign Affairs issued a Cuba travel warning, citing ongoing problems tied to a US oil blockade—power instability, food shortages, transport disruptions, and healthcare strain. Tourism Shock: As US sanctions tighten, Canadian carriers (Air Canada, Air Transat, WestJet) and Sunwing suspend Cuba service indefinitely, leaving travelers scrambling. Payments Freeze: Visa and Mastercard are set to stop in Cuba from June 6 after a foreign bank cut ties with FINCIMEX, dealing another blow to hotels, gas stations, and everyday spending. Fuel Crisis on the Road: Cuba’s “almendrones” are increasingly idle as fuel shortages worsen; drivers wait months via a reservation app, turning even beach trips into a gamble. Local Transport Pressure: Matanzas warns state drivers they’ll lose operating licenses if they refuse passenger pickups—an attempt to ease long waits amid the broader mobility collapse. Tech for Tourism: Cuba’s Camagüey launches a software development group aimed at solutions including “smart tourism,” even as electricity deficits remain severe.

Airline Pullback: Air Canada, Air Transat, and Sunwing/WestJet have suspended all flights and vacation packages to Cuba indefinitely, citing Cuba’s worsening political and economic uncertainty and supply problems—leaving travelers scrambling and Cuban tourism workers exposed. Payments Freeze: Visa and Mastercard use in Cuba is being suspended for foreign visitors after a foreign bank cut ties with FINCIMEX, a GAESA-linked processor—another major hit to hotels, restaurants, and retail. Hotel Exodus: Spanish chains Melia and Iberostar are abandoning management of dozens of hotels, while other foreign firms are exiting or suspending operations as sanctions pressure mounts. Fuel + Travel Chaos: Campismo Popular sites are sold out for summer, but transportation limits due to fuel shortages threaten access; in Matanzas, state drivers face license revocation if they refuse passenger pickups. Currency Stress: The informal market dollar and euro hit fresh records, underscoring the peso’s slide and rising costs for everyday Cubans. Diaspora Investment Push: Cuba is inviting emigrants to invest and even manage hotels via embassies, offering incentives as foreign partners retreat.

Airline Shock for Cuba Travel: WestJet and Sunwing Vacations have suspended all flights and vacation operations to Cuba indefinitely, with Air Canada and Air Transat also halting service “indefinitely,” leaving Canadian travelers scrambling as the island’s fuel and power crisis worsens. Tourism Jobs Hit Hard: Varadero and Cárdenas are being described as a “ghost town,” with hotels running low occupancy and workers reportedly unpaid as visitor numbers collapse. Hotel Chains Keep Exiting: Indonesia’s Archipelago International (Aston brand) confirms it’s ending its Cuba management deal for six hotels, joining a wider pullback that includes major European groups. Money Pressure on the Ground: Cuba’s informal market logged fresh records for the dollar, euro, and MLC, underscoring how quickly purchasing power is eroding. On-the-Street Reality: In Havana, residents warn of a new door-breaching technique used by thieves, while another report shows some stores refusing bank transfers—forcing cash-only shopping.

Canadian Airlines Pause Cuba Travel: Air Canada says it’s suspending flights to Cuba indefinitely, joining Air Transat and Sunwing/WestJet in halting service as “political and economic uncertainty” worsens for travelers and families. Tourism Shock in Varadero: Varadero and Cárdenas are being described as a “ghost town” as hotel-linked jobs dry up and occupancy falls. Hotel Chains Exit Under US Pressure: Archipelago International confirms it’s ending management of six Aston hotels in Cuba; more exits follow Blue Diamond, Meliá, Iberostar, and ATG/Selectum—another blow to an already battered tourism sector. Payments and Prices Bite: Cuba’s informal currency market hits fresh highs for the dollar, euro, and MLC, while a Havana-area shopper reports private stores won’t accept transfers—leaving people with cashless “empty bags.” Security Warnings: Havana residents share a new door-breaking technique involving drilling and latch manipulation. Humanitarian Spotlight: Archbishop Dionisio Garcia of Santiago de Cuba visits West Palm Beach to collect aid for families facing severe shortages. Travel Advisory: Germany issues a strongly discouraging travel advisory for Cuba, citing energy, healthcare, infrastructure, finance access, and crime concerns.

Hotel exodus hits Cuba again: ATG says it’s ending management and marketing for its Selectum Family Resort Varadero deal, effective June 4, adding to the wave of withdrawals after U.S. pressure. Air travel disruption: Air Canada suspends Cuba service indefinitely, and Sunwing/WestJet also halt Cuba trips indefinitely, leaving Canadians scrambling. Payment rails cut: Cuba’s central bank says Visa and Mastercard will no longer be accepted, while the informal currency market posts fresh highs for the dollar, euro, and MLC. Sanctions tighten on leadership: The U.S. sanctions Díaz-Canel, his wife, and other relatives, with Havana condemning the move as part of a broader coercion campaign. Tourism policy shift: Cuba says it’s open to Cuban investors managing hotels as foreign chains scale back. Humanitarian angle: Archbishop Dionisio García visits West Palm Beach to collect aid for families amid shortages. Travel warning: Germany strongly discourages travel to Cuba, citing the energy and healthcare collapse.

Hotel & tourism shake-up: Cuba says it will let Cubans at home and abroad manage hotels after foreign chains pull back, following Meliá’s exit from 15 of 34 properties and wider operator retrenchment tied to U.S. pressure and Cuba’s worsening energy crisis. Air travel disruption: Sunwing Vacations and WestJet Vacations (plus WestJet Vacations Québec) have indefinitely suspended all Cuba trips, with travelers facing refunds or rebooking as fuel and operating conditions deteriorate; other airlines have also paused Cuba service. Payments hit: Cuba’s central bank says Visa and Mastercard use will stop, underscoring how sanctions are squeezing day-to-day commerce and tourism spending. U.S. sanctions expand: The U.S. added Cuba-linked entities including ICAP and others to the OFAC SDN list, raising risks for foreign firms dealing with state-linked groups. Local electricity flashpoint: Manicaragua residents mocked an official after claiming promised “two established hours” of power didn’t hold, reflecting mounting frustration during outages. Migration paperwork update: A U.S. judge struck down Trump-era USCIS pauses affecting applicants from 39 countries, including Cubans, reopening paths for asylum and residency filings.

US Sanctions Escalation: The Trump administration imposed new sanctions on Cuban President Miguel Díaz-Canel, his wife, and key regime figures, including Alejandro Castro Espín and relatives of Raúl Castro, freezing U.S. assets and tightening pressure as Havana warns of “dangerous escalation.” Tourism Hit: The squeeze is rippling through travel: Spanish hotel group Meliá says it will stop managing 15 of its 34 Cuba hotels, and Sunwing Vacations Group indefinitely suspends its Cuba program. Payments Cut Off: Cuba’s central bank says Visa and Mastercard transactions will stop from June 6 after a foreign bank ended its link to GAESA’s Fincimex, leaving stores unable to process card payments. Havana Under Strain: A new wave of criticism highlights collapsing buildings in Havana while luxury hotel construction continues, underscoring the gap between tourism spending and everyday infrastructure. Space & Symbolism: Cuba’s military posted a video of Arnaldo Tamayo Méndez planting a cedar tree, using the moment to reinforce national hero imagery amid the sanctions.