{"id":242850,"date":"2021-08-24T13:13:21","date_gmt":"2021-08-24T17:13:21","guid":{"rendered":"https:\/\/oncubanews.com\/en\/?p=242850"},"modified":"2021-08-24T13:13:21","modified_gmt":"2021-08-24T17:13:21","slug":"cuba-the-embargo-and-private-enterprises-legalized-in-august","status":"publish","type":"post","link":"https:\/\/oncubanews.com\/en\/cuba-usa\/cuba-the-embargo-and-private-enterprises-legalized-in-august\/","title":{"rendered":"Cuba, the embargo and private enterprises legalized in August"},"content":{"rendered":"

Pedro Freyre is a recognized specialist in the United States on the laws of the embargo against Cuba. He is a member of the Akerman Law Firm where he chairs the Akerman\u2019s International Practice. He is an assistant professor at the School of Law at the University of Miami and a Lecturer at the School of Law at Columbia University where he also teaches a seminar on Cuba. Freyre advises U.S. companies on the types of businesses that are legal in Cuba under the trade embargo\/blockade. Since 2003, he regularly travels to the island with senior executives of U.S. companies interested in the Cuban market. He was born in Cuba, resides in Miami. Given his recognized experience in Cuba-United States relations, <\/span>OnCuba<\/b> interviews him about these topics.<\/span><\/p>\n

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Pedro Freyre in an interview for CNN in Spanish.<\/figcaption><\/figure>\n

The Cuban government has invited Cuban \u00e9migr\u00e9s and exiles to invest in the island. It recently approved eight decrees that regulate the operation of the so-called micro, small and medium-sized enterprises…. The <\/i><\/b>Helms-Burton Act<\/i><\/b><\/a> and the Torricelli Act, which make up the embargo, allow Cuban Americans or their corporations to invest in Cuba without breaking the law?<\/i><\/b><\/p>\n

Here there are two factors to check out. The <\/span>approval of the Decrees<\/span><\/a> could open the way to formalize and give legal substance to investments in this type of enterprise. The detail of the regulation and its practical implications remains to be seen. That is, if the regulations provide the necessary mechanisms and guarantees to give investors security. But the most important question is whether Cuba is an attractive place for investment. The answer to that question depends not only on a Decree but on an entire economic, political and regulatory ecosystem that makes investment and capitalization easy.<\/span><\/p>\n

In the current version, the <\/span>OFAC<\/span><\/a> Regulations only give a very narrow space to make investments in companies that would give loans to certain types of private enterprises in Cuba.<\/span><\/p>\n

So, could Biden establish through OFAC a special license for Cuban Americans for this purpose?<\/i><\/b><\/p>\n

The president has the authority to amend the <\/span>embargo<\/span><\/a> regulations and grant a General License expanding the right of persons subject to U.S. jurisdiction to invest in businesses in Cuba. The drafting and application of this license is very technical.<\/span><\/p>\n

Juan Gonz\u00e1lez, U.S. National Security Council senior director for the Western Hemisphere, recently clarified that Biden is not Obama in his policy towards Cuba. <\/i><\/b>The New York Times<\/b> went further and said that Biden even surpasses Trump in his policy of confrontation towards the island.<\/i><\/b><\/p>\n

President Biden, unlike his immediate predecessor, is a thoroughly and fundamentally decent person with a very high level of experience in governing one of the most complex societies on the planet.<\/span><\/p>\n

I know for a fact that he has great empathy with Cubans and is studying how to implement a rational policy.<\/span><\/p>\n

What does Biden hope to achieve from his politics?<\/i><\/b><\/p>\n

Sometimes we Cubans, on both shores, forget a fundamental fact; Cuba\u2019s interests are not and never will be the interests of the United States of America. Above all, the president of the United States has to ensure national security. Having a powerful military base of a foreign power 90 miles away already almost resulted in nuclear war once. That has not been lost sight of. Beyond that concern, it is in the interest of the United States that Cuba be a prosperous and peaceful country whose population does not need to risk their lives in the Straits of Florida to migrate illegally to the United States.<\/span><\/p>\n

The Biden administration and Cuba<\/a><\/p><\/blockquote>\n