Showing posts with label remittances. Show all posts
Showing posts with label remittances. Show all posts

Monday, February 11, 2013

Don't tell Sen. Rubio...


Radio/TV Marti reporter Ricardo Quintana reports on a store in Hialeah that stocks parts for East German motorcycles, which customers buy and send to Cuba where the motorcycles are still in use.  The report focuses on aid that Cuban Americans provide to relatives in Cuba who are running their own businesses.


An earlier report looks at the growing links fostered by visits and remittances, and a forthcoming piece will look at real estate transactions.

Wednesday, December 21, 2011

Unhinged

Rep. David Rivera claims that President Obama holds “allegiance to Fidel and Raul Castro” and acts as their “lobbyist.” His vile comments were prompted by Obama’s defense of his own policy in face of efforts to tighten restrictions on travel and remittances by Cuban Americans.

Friday, December 16, 2011

It's over

In the final negotiations on the year-end catch-all spending bill for the U.S. government, Rep. Diaz-Balart’s amendment was dropped, ending the most substantial effort to strengthen Cuba sanctions since President Obama took office (Herald, AP).

The amendment would have reinstated President Bush’s limits on Cuban American family visits and remittances, and it would have removed the authority of President Obama or any future president to modify those rules in any way. Absent a change in law, the Bush rules would have been frozen forever: one visit every three years, $1,200 limit on remittances, and both for immediate family only.

Credit President Obama for standing up for his policy and for defending his foreign policy prerogatives. He made his intentions clear without having formally to threaten a veto. With Christmas on the horizon, a final set of compromises took place. In this case, the House Republican leadership decided that this strange amendment was not worth the fight.

Wednesday, December 14, 2011

President Obama on Laura Pollan and Cuban American visits

From the President's statement: "I remain committed to supporting civil society in Cuba, including by protecting the ability of Cuban Americans to support their families in Cuba through unrestricted family visits and remittances."

Monday, December 12, 2011

Odds and ends

  • Odd convergence: Cuba joins Israel in endorsing the results of Russia’s elections, and Granma takes an acerbic shot at Secretary Clinton’s priorities in calling for scrutiny of last week’s ballot.

  • Chicago-Havana flights are $995 round trip (!), a fact buried in this story about Cuban Americans in the Chicago area deciding whether they want to go.

  • Western Union comes up with an electronic affidavit so that “most” of its locations will be able to handle remittances to Cuba, where the company has 220 locations for disbursement of remittances.

Tuesday, November 22, 2011

Odds and ends

  • The New York Times: U.S.-Cuban relations – relations between the nations, as opposed to the governments – are being reshaped by family ties and support. The dynamic described in the article puts President Obama’s travel and remittances policies in an interesting light: As options increase in Cuba, those policies are having greater impact, depending on the use Cuban Americans decide to make of their freedom to visit and to send material and money support. Also, I didn’t know that you could go to Ño Que Barato and have your purchase shipped to Cuba. A generation ago, that service would have earned the store a boycott. The slow-motion normalization continues.

  • Café Fuerte looks at initial prices advertised in Cuba’s housing market.

  • Granma highlights comments President Kennedy made a month before his death, saying that in no country in the world had “economic colonization, humiliation, and exploitation” been worse than in Cuba, “in part due to the policy of my country during the Batista regime.”

Friday, August 5, 2011

Mario's Maginot Line

I don’t agree with him, but I can’t blame him either.

Rep. Mario Diaz-Balart wants to legislate a return to the Bush restrictions on Cuban American travel to avoid what he calls the “abuses” of people who travel too much or carry too much money and goods to loved ones in Cuba.

Senator Marco Rubio goes further. “How do you argue that you’re an exile,” he asks, “when exile is supposed to be people that can’t return for political purposes?” All the back-and-forth to Cuba “threatens the exile status of the Cuban community,” he says.

Well, it certainly demonstrates that el exilio is only part of the Cuban American community. Those who are filling about 50 flights per week to Havana do not consider themselves “exiled” and don’t consider it a political act to get on the plane.

“If he had family like me,” a Miami woman told Channel 51 in reaction to Rep. Diaz-Balart’s initiative, “we were twelve and now two of us are left, and all of them died on me while I was here – then he would not do that, he would not restrict trips to Cuba.”

So why restrict the trips?

Why not say it’s a free country, some will travel and others will not, and that’s ok?

My guess is that it’s not just the contacts and the dollars, and it’s not just about defending the idea and the identity of el exilio.

I think there’s more. What is in danger of unraveling is the whole strategy that el exilio has built so painstakingly over the years to press and contain the Havana government that it abhors.

The core of that strategy is to guarantee that normalization – with the United States, the Cuban American community, and their collective capital – occurs only under certain conditions. The long list of conditions written into U.S. law in 1996 is el exilio’s signal political achievement.

Ignoring all that, many Cuban Americans are undertaking an unconditional normalization of their own as they rebuild connections with their island.

Family visits and remittances are now virtually unrestricted. With Cuba’s opening to small enterprise, many new businesses are starting with seed capital from family abroad. Remittances used to just pay for tía’s cooking oil; now they are family-level investments.

With new rules allowing entrepreneurs to hire employees, this is no longer strictly a micro-enterprise sector. The businesses may get bigger still as Cuba works to add 1.8 million workers to its private sector by 2015. New rules will allow formation of private cooperatives, which will amount to medium-sized service, repair, and light manufacturing businesses.

Remittances are one way to support these new businesses. The Cuban government might come up with more formal ways to accept foreign capital in this growing sector, depending on how serious it is about its desire to expand foreign investment.

Then there’s housing. The government has promised new policies by the end of the year to allow simple sales of homes through streamlined processes. Cuban Americans will participate in this market by financing purchases of homes by their relatives on the island – perhaps with room enough for those from Miami to visit, or to retire.

New policies to expand Cuba’s housing stock have been promised but not yet defined. Ideas include facilitating construction by private entities, and increasing supplies of construction materials to the public. Cuba could even enlist foreign investors in new residential construction. Depending on price, potential buyers would include Cuban nationals, foreign businesses or residents, or Cuban Americans seeking a place for themselves, or for family in Cuba.

That last idea sounds far-fetched, I’ll admit.

But one has to wonder what Raul Castro had in mind when he spent part of Monday’s speech explaining why Cuba should revise anachronistic consular and immigration norms that affect Cuban émigrés. If rumors are true that foreign nationals who buy resort real estate will be offered something akin to resident status, then a similar arrangement could easily be made for returning Cubans too.

Barriers are breaking down. Concertgoers in Miami are hearing the sounds of their youth performed by bands from Cuba. Cuban hotels and resorts, off limits to Cuban nationals until 2008, now ring with the sounds of Cuban guests. Merchandise bought in Miami is stocking new private retail businesses across Cuba. Visits across the straits are easier, in both directions.

One can imagine a sector developing in Miami that supports businesses in Cuba, owns property indirectly, travels back and forth, and has roots in both places. These Cuban Americans will acquire a material stake in the success of reforms and the health of Cuba’s economy. They won’t want sanctions against their own country because they are bad for their people and bad for property values.

All of this is veering so far off the old script that it’s not even funny.

This new Cuban dynamic is not the “transition” envisioned in the Bush Administration, and it has nothing to do with the conditions and ultimatums imagined by designers of U.S. sanctions. It won’t repeal the embargo, but over time it will make some bargaining chips crumble. And it won’t come from organized political effort, but rather through individuals’ free decisions to relate to their patria and family as they wish, at a time when some new options exist in Cuba.

Cuban American legislators respond by reaching for more sanctions, this time to curtail the freedom of fellow Cuban Americans. Talk about a modelo agotado!

But I can’t blame them. There’s a lot at stake, and it’s all they’ve got.