Cuba will suspend transactions using Visa and Mastercard starting June 6, according to an announcement from the country’s central bank, which cited the impact of recently expanded U.S. sanctions as a key factor affecting international payment processing.
The central bank said the decision follows operational changes by a foreign partner that had been responsible for processing credit card payments in Cuba. That partner, the bank noted, has restricted its services after a U.S. executive order issued on May 1 broadened sanctions related to commercial activity involving Cuba. The change has disrupted the country’s ability to process payments through globally recognized card networks.
As a result, Cuba stated it will no longer be able to receive income from transactions made using international cards such as Visa and Mastercard. The suspension is expected to affect payments for goods and services across sectors that rely on foreign card usage, particularly tourism, retail, hospitality, and transportation services that serve international visitors.
The central bank did not announce an immediate replacement system for the affected card networks, raising uncertainty over how international consumers will be able to conduct cashless transactions while in the country. Businesses that depend on electronic payments from foreign travelers may be forced to adjust their payment options in the short term.
International card processing for Cuba has historically been handled through a combination of foreign banking intermediaries and domestic financial entities, including Fincimex S.A., a financial arm associated with GAESA, a state-linked conglomerate with interests in sectors such as tourism, logistics, financial services, and remittances.
U.S. authorities have previously imposed sanctions targeting entities linked to GAESA, arguing that revenue generated through key sectors of the Cuban economy benefits military-associated structures. Cuban officials have rejected these claims, stating that GAESA contributes to national economic management and supports broader social and development programs.
The expansion of sanctions under the recent U.S. executive order has coincided with increased caution among international companies operating in Cuba. Several foreign firms, including those in hospitality, aviation, and shipping, have reportedly adjusted or reduced operations in recent weeks as they reassess compliance obligations and exposure to secondary restrictions.
Industry analysts note that restrictions affecting payment systems can have broader implications beyond financial transactions, potentially influencing tourism flows, supply chain stability, and cross-border commercial activity. In particular, sectors dependent on international travel spending may face additional operational challenges if alternative payment solutions are not established.
The suspension of Visa and Mastercard services adds another layer of complexity to Cuba’s external trade and services sector, which has already been navigating a constrained international financial environment. Businesses, payment processors, and travel-related operators are expected to monitor further regulatory developments as they evaluate contingency measures and long-term adjustments to payment infrastructure.
Further updates are expected as authorities and financial institutions assess possible alternative arrangements for processing international transactions under the evolving sanctions framework.
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