Thursday, December 18, 2014

Here's What Happened in Cuba Today, and Why You Should Care

Here's What Happened in Cuba Today, and Why You Should Care
By Natalie Kitroeff December 17, 2014

In simultaneous speeches from Washington and Havana, the United States
and Cuba announced plans on Wednesday to restore their diplomatic
relationship, an historic shift marked by setting up a U.S. embassy in
Havana and loosening trade and travel restrictions between the two
countries.

"In the most significant changes in our policy in more than 50 years, we
will end an outdated approach that for decades failed to advance our
interests," President Obama said in a speech. "Neither the American nor
Cuban people are well served by a rigid policy that's rooted in events
that took place before most of us were born."

The announcement will bring a slew of changes for Americans who want to
visit Cuba or do business there and an even greater transformation for
Cubans living on the island. Here's what you need to know:

Why is this happening today?

Before coming to office in 2008, Obama said he wanted to revisit the icy
cold relationship with Cuba, but a couple of critical issues stood in
the way of a diplomatic breakthrough—most significantly: an American
citizen and a U.S. agent imprisoned on Cuban soil. Those obstacles
disappeared today. Alan Gross, an American contractor who spent five
years in a Cuban prison after being convicted for importing Internet
equipment that a Cuban court said was designed to "destroy the
revolution," was released on Wednesday on humanitarian grounds. An
unnamed U.S. intelligence agent, who helped identify a network of Cubans
who were ultimately convicted of spying, was also released after
spending two decades in prison. In return, U.S. officials released three
of the five members of the network who were still confined.

What does the Pope have to do with it?

Pope Francis wrote letters to Obama and Raul Castro, pleading with the
leaders to release both Alan Gross and the Cubans imprisoned for
espionage. He also reportedly offered up the Vatican as the site for the
final meeting between representatives of Obama and Castro, who were in
talks for over a year. The blessing from on high seems to have been
crucial, partly because some four in 10 Cubans identify as Roman
Catholic. Both leaders gave the Pope shout-outs in the "acknowledgements
section" of their speeches. Obama thanked the Pope, "whose moral example
shows us importance of pursuing the world as it should be," and Castro
acknowledged the "support of the Vatican" for the "betterment of the
relations between Cuba and the U.S."

Who's happy about this? And who's not?

Judging by recent surveys, most Americans agree with the president. In a
2009 survey, two-thirds of Americans said they wanted to have a normal
diplomatic relationship with Cuba, up from just 38 percent 10 years
earlier. Some in Congress are less thrilled. Said House Speaker John
Boehner (R-Ohio): "Relations with the Castro regime should not be
revisited, let alone normalized, until the Cuban people enjoy freedom."
Senator Robert Menendez, a New Jersey Democrat, said in a statement
issued on Wednesday that "President Obama's actions have vindicated the
brutal behavior of the Cuban government." Senator Marco Rubio (R-Fla.)
called the move a "dangerous and desperate attempt by the president to
burnish his legacy at the Cuban people's expense."

Great. So how soon can I book a flight directly to Cuba?

Hold your horses. The new rules don't allow Americans to travel to Cuba
as tourists. They make it easier for people who can already travel to
Cuba to do so, including Cubans visiting family members, people going on
educational trips, humanitarian ones, or even for athletic events.
Anyone who can prove that their visit falls under one of 12 categories,
listed here, will be eligible for a general license allowing them to
bypass the bureaucratic headache entailed in obtaining a so-called
"specific license," for which some travelers in these categories had to
apply before the new rules were instated.

How will this affect my Cuban cigar collection?

Even though the new rules don't let American tourists travel freely to
Cuba, they do let Americans who travel to Cuba for other reasons act
more like tourists. You can bring home $400 worth of Cuban goods now,
and yes, you can bring back cigars—$100 worth. If you find yourself in
Cuba legally, you can now use credit cards or debit cards, according to
the new regulations. Previously, you needed to bring a pile of cash,
unless you happened to have an international bank account.

Kitroeff is a reporter for Bloomberg Businessweek in New York, covering
business education.

Source: Here's What Happened in Cuba Today, and Why You Should Care -
Businessweek -
http://www.businessweek.com/articles/2014-12-17/heres-what-happened-in-cuba-today-and-why-you-should-care

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