Western Union Suspends Money Transfers to Cuba
Due to restrictions ordered by Trump
The inclusion of the regime’s financial entity, Orbit, on the US blacklist prevents transactions with the Island.
HAVANA TIMES – The anticipated action by the Trump administration halting Western Union operations in Cuba is now in effect. The US company suspended remittance transfers to the Island as of Wednesday, February 5, citing increasing “restrictions from the government” of the United States, which have made it impossible to maintain the service.
“They haven’t told us if this will be permanent, but for now, we cannot process transactions with Cuba,” a Western Union employee in Miami told 14ymedio. This newspaper contacted three other offices in Florida, all of which confirmed the information. So far, the company has not issued an official statement.
The company’s website, which allowed remittances to be sent to the Island—received in Cuban pesos—displayed “problems” when attempting to complete a transaction, prompting users to “try again later.” Another employee explained to this newspaper that the issue was the recipient country: “They removed it,” she said. “Not even by coming to the office. Transfers have been suspended since February 5.”
A third person provided a supposedly technical explanation, claiming that the issue affected the entire company: the website was “blocked.” “We can’t log in with the password we have,” she said. Lastly, another employee—who assists customers in English and was less informed about the situation in Cuba—said she was unaware of the issue: “There’s nothing wrong with the system.”
The suspension of money transfers via Western Union had been expected since Trump won the elections. The final blow came when Secretary of State Marco Rubio reinstated and expanded the Cuba Restricted List on February 1, prohibiting transactions with companies controlled by the Cuban military or counterintelligence.
In his statement, Rubio said the blacklist was reinstated “to deny resources to the very branches of the Cuban regime that directly oppress and monitor the Cuban people while controlling large sectors of the country’s economy.” The list included Orbit, the remittance processing company whose ties to the Cuban Armed Forces have been documented by the press.
Orbit, which the Central Bank of Cuba authorized in 2022 to manage remittances from various platforms, processes Western Union transfers. The entity, which serves Financiera Cimex—controlled by the military conglomerate Gaesa—also handles money entering the country through platforms like VaCuba and Cubamax.
In May of last year, after resuming remittance transfers—suspended for two years—Western Union partnered with Katapulk, the online shopping platform owned by Cuban-American businessman Hugo Cancio. A proponent of engagement with the regime and one of its financial allies in Florida, Cancio announced “an additional channel for sending money,” “using Western Union’s rails.”
According to Western Union’s president for North America and Latin America, Rodrigo Garcia Estebarena, the company’s service is a “crucial connection between those living in the United States and their family members in Cuba.”
Many voices in the Cuban exile community, including Republican Congresswoman María Elvira Salazar, believe remittances have done nothing but provide the regime with the hard currency it desperately needs to stay afloat amid one of the most severe crises the country has faced.
A report published last December by Cuba Siglo 21 states that Gaesa has lost more than 95% of the US-to-Cuba remittance market. According to the organization’s calculations—based on revenue through May 2024—the military conglomerate will collect $81.6 million in remittances last year, a mere 4.13% of the total revenue generated in 2023, which was $1.972 billion. This decline, the report argues, is due to a “silent financial citizen rebellion against its banking monopoly,” which in practice means that a large portion of the money sent from abroad to the Island is now funneled “through a network of more than 150 informal banks.”
First published in Spanish by 14ymedio and translated and posted in English by Havana Times.
Stephen I agree with you the people in Cuba need help because the gov of Cuba has some best monitoring and controls on the Internet and cell phones of anywhere in the world. It would take over 10 000 well funded operatives with military training . No country is prepared to risk this so the best option is for the best people to leave Cuba in my opinion.The gov of Cuba is a major supply point of certain items that are going into the U S that are very bad
Moses you cannot compare what took place in the United States in the 50s and 60s with what took place on July 11 2021 protests and the present reticence among the Cuban citizens to mirror past African-American struggles in the 50s and 60s. You are mixing apples and oranges.
In the 50s and 60s in the United States there was a democratically elected government in all American States. People were permitted to demonstrate in the streets. In fact, it was and is presently written in the American Constitution. The First Amendment specifically states Americans have the right to peaceful assembly, and the American Constitution in the 50s and 60s protected demonstrators rights to gather together and/or protest on public property. Public demonstrations in the streets – no big deal.
The majority of demonstrators were not arrested. They could plan their next demonstration and know their human rights would be respected. Others who may have been reticent to participate saw the demonstrations’ success and joined. What prevented them from not joining? Absolutely nothing.
In the 50s and 60s in the United States any protesters caught breaking laws while demonstrating were also arrested as in Cuba. However, legal due process in the American legal system took over for those arrested back then. The arrested few were not automatically incarcerated without legal arbitrary representation. They had their day in court with arbitrary lawyers and judges.
Not so in Cuba. The Cuban Constitution, constantly being revised to give the totalitarian State absolute power, control, and authority, specifically disallows any overt demonstrations on streets. As was witnessed on July 11 2021 those brave mostly young protesters demanding freedom and human rights were summarily arrested and jailed – guilty or not. Given that scenario what impetus is there for future Cuban demonstrators to take up the cause? Absolutely zero.
As you probably know, those brave young Cubans were made an example by the totalitarian State. They were summarily arrested, severely punished and jailed. No arbitrary legal representation was allowed. Those who ran away were summarily hunted down and also arrested and jailed. No arbitrary legal representation was provided. Prison sentences ranged into the decades. The majority of Cuban citizens witnessed what the totalitarian State can do to “unlawful” protesters. They may conclude that life is miserable but at least acquiescence to the totalitarian authorities prevents serving decades of horrible jail time.
Moreover, in your comparison why did you not broaden your horizons and mention the street protests that took place in another totalitarian State, that being China in 1989. Yes, The Tiananmen Square protests, known within China as the June Fourth Incident, were student-led demonstrations held in Tiananmen Square in Beijing, China, lasting from 15 April to 4 June 1989.
Did not the Chinese totalitarian government at the time clamp down in draconian display of power and might such that since then the world has not heard or seen anymore public demonstrations from protesters demanding freedoms and human rights in China.
Now we are comparing apples with apples. To continue the comparison all within the totalitarian government sphere Russian protests need mention.
The same can be said for Russian protesters. Do you know of any public protests or demonstrations demanding freedoms and human rights in autocratic, totalitarian States that have succeeded lately in their purpose? Life is also miserable in Russia but at least many Russians reason jail time in a Russian Gulag is a guaranteed death sentence so the status quo remains. Sounds like present day Cuba.
What took place in the 50s and 60s in democratic freedom loving America, though relevant in its own right and place in history, cannot be used as a viable comparison with how Cubans now can ameliorate their present miserable state. Makes no sense. You are comparing apples and oranges.
In response to the comment from Robby: Why can’t Cubans pull themselves up by their own bootstraps? As an African-American, that’s exactly what we did to resist the scourge of racism in America in the 50’s and 60’s. At least at first, black folks had to go it alone, and as our resistance proved successful, albeit marginally, outsiders joined in the effort. But, to be sure, a lot of Black folks’ blood, sweat and tears was shed before the movement became fashionable. If Cubans, in Cuba, were to take to the streets, and stay there, the world would take notice. The 11 July protests are memorable, despite the reality of lasting only a few days. Just imagine if wave after wave of regular Cubans protested against the failed Castro dictatorship? There are not enough PNR or military forces to control a united Cuban people. Here’s the problem: the Cuban people simply have not suffered enough. I will repeat what I have written many times on HT. To quote the words of Fannie Lou Hamer, the Civil Rights Icon, when Cubans reach the point “of being sick and tired of being sick and tired” they will fight for their own freedom. The world will take notice and change in Cuba will take place.
There sure is a lot of opinions between people of other countries so, as a Cuban, let me first say that no I do not like Trump at all, and I did not vote for him. Second and more importantly, because anything is more important than him, while I fully understand the pain and suffering, Cuban people have gone through for the past 50 some odd years, the government stays afloat by raping and taking advantage of its people. Siphoning money from cash remittances is no different and unfortunately, you need to put a stop to their government. Realistically America should’ve done this years ago, but alas, Cuba has no oil. Therefore, the people are on their own and for those that say that they should just pull themselves up and rebel against the government, you should look at history and realize that pulling yourself up by your bootstraps doesn’t always work and is not always the answer. In any case, you cannot continue to allow a communist government to piggyback millions of dollars off of this situation simply because people are suffering. You will perpetuate this for generations to come.
Stephen. 9 years ago I had several meetings with an Cuban ambassador both in my home court and in Havana to lay out a plan for him to end the Embargo. It was at a time when it had a good chance. I told him the possibility of getting all financing to satisfy ALL the compensation including my own as well as the debt to the Paris Club and others so that Cuba could be clear. At the ambassador’s private home I introduced him to my country’s meat producers association chairman to secure the supply of meat to Cuba.
Stephen you missed the whole point there are private systems in place from Canada Mexico and 2 or 3 other countries call me I give the agents some are for profit some use part of the transfer frees to help provide medical supplies for low income Cuban people. Their services are available and should have no limits as they do not help the Cuban gov . You have said before that Canada is a rich country and does not have certain problems. I don’t care what you think about me the country of Cuba needs major changes
Stephen I never said I only earn $500 per month I am disabled and I said spend $500 per month on myself and donate the rest I am a major supporter of homeless and disabled I have donated over $30,000 US away per year don’t spend money on alcohol or smokes or expensive rent look me up on the Internet.
Stephen Webster writes: “So I know about the suffering first hand I work as a truck driver when I can as and often sleep in homeless shelters if not working or in a car if I have access to one I live in Canada on less than $500 CD a month plus medicine not paid by the gov.” Sad.
So, Stephen, what you are implying to the readers is because you only have a part time job, you sleep in homeless shelters or you sleep in a car, and you earn a pittance per month, then, hey, everyone reading this, shouldn’t all Cubans living in Cuba be economically uncomfortable like me. Shouldn’t all Cubans be limited to the amount of money foreigners choose to send?
Again, you limit all Cubans to as you stated: “I do not like trump but agree 100% with ending all official ways to send money to Cuba except a amount of $200 U S or less to either a tourist or a Cuban person to a Max of 2 times in 12 months.” No. No. No.
No, Stephen, what you are suggesting is totally unacceptable. Your personal home life predicament must not set the monetary bar, or standard, for struggling economically depressed Cubans. You are conflating two entirely different worlds. Don’t you see that?
Again, I stand by my conclusion to you: “There should be no monetary limit to what foreigners would like to give to ordinary Cubans. Foreigners can give as much or as little as their economic purse permits. Period.
We know that the totalitarian government takes a cut; nevertheless, one does not cut the nose off to spite the face.” End of story.
Reply to Stephen I just came back from spending 31 days in Cuba volunteer in remote area took down 100 kgs of medicine mosquito repellent power banks one for 3000 watt and a donated 4000 watt generator inverter that came from Costco I seen many things in Cuba are 2 times the price of in Canada the duty and shipping by air with me coming with was as much as the generator would cost in Canada. I had 2 cell phones stolen by force stabbed with a screwdriver when they got was $100 U S and $12 rechargeable flashlight from Costco I again by 3 people had my money pouch stolen with maybe $2 U S in one dollar bills and between 3000 and 4000 pesos while when attacked by 3 men while myself and a doctor was seeing a sick person the last night I was Cuba. So I know about the suffering first hand I work as a truck driver when I can as and often sleep in homeless shelters if not working or in a car if I have access to one I live in Canada on less than $500 CD a month plus medicine not paid by the gov I could not see how it is possible to live in Cuba and support a family on less than $100 U S or 33 000 pesos a month I have many people now trying to fleace or trick people in Cuba. But it can happen in Canada I am not afraid to sleep on the street all night but in Cuba after midnight I am afraid to walk 3 blocks after the power is off
I am not a fan of the current Cuban gov and when I push for a investigation into the attacks on the Cuban people offered deport me . But really believe a better system of money transfer can be done with use of a PayPal or bank account in Mexico and or Canada or two other countries I will not mention because they are being used now
Stephen Webster writes: “I do not like trump but agree 100% with ending all official ways to send money to Cuba except a amount of $200 U S or less to either a tourist or a Cuban person to a Max of 2 times in 12 months”.
Listen to this! Stephen, your suggestion sounds like it comes directly from a Cuban Revolutionary totalitarian government handbook. Two hundred U S dollars ($200 U S) or even less to a poor, struggling, economically deprived Cuban citizen. Really?
How about if the Canadian government limited to you, Stephen, a pittance, a paltry, a poverty restricted dollar amount . . . and ohhh in your words: “. . . to a Max of 2 times in 12 months”? Your suggestion sounds utterly cruel. But then since you agree with Donald Trump’s economic policies regarding Cuba, your submission is understandable.
Do you really understand the hardships the majority of ordinary Cubans are undergoing? Have you ever walked down a Cuban street and priced the cost of a pair of sneakers, a bicycle, a watch, medicines? Those mentioned items cost more in Cuba than they do in the U S or Canada. How about all those young Cubans seeking to exit the island in search for a better life who need money to pay transportation ? Are you not limiting their potential freedom?
You see, Stephen, in the Canadian city or town you live in there is market competition so that retailers compete with one another to discount prices. Not so in Cuba. Cubans if they want to live like everyone else, and why shouldn’t they, must pay very steep prices for goods and services we here in the West take for granted.
So, in your limiting Cuban citizens to a minimal monetary amount, arrived at from who knows where, is rather insulting and unjust to all ordinary Cuban citizens struggling to earn a living, feeding and clothing their families, and literally trying to stay alive.
There should be no monetary limit to what foreigners would like to give to ordinary Cubans. We know that the totalitarian government takes a cut; nevertheless, one does not cut the nose off to spite the face.
Peter Cuba is bankrupt and can not buy fuel or medicine so they have no way to write $40 billion in compensation or more
I do not like trump but agree 100% with ending all official ways to send money to Cuba except a amount of $200 U S or less to either a tourist or a Cuban person to a Max of 2 times in 12 months. The Cuban gov will feel the effects and maybe will allow people to transfer money by card from other parts of the world and use a different currency like Mex pesos or Canada $ with a special agreement with those gov agree to put the equivalent of $3 billion U S in paper currency to allow people to use in Cuba and electronic payment for goods with Cuba gov putting up huge amounts of underused farm on a20 year lease and sugar mills as security
I told you So. And this is only the beginning. Until Cuba compensates the foreign Investors for their stolen properties this will be Cubas future.