TerrorismU.S. removes Cuba from list of terrorism-supporting states

Published 1 June 2015

The United States on Friday officially removed Cuba from the list of terrorism-supporting states. The move is the latest step toward the normalization of relations between the United States and Cuba. Removing Cuba from the list – which now has only three countries left on it: Iran, Syria, and Sudan – removes a major legal obstacles, because U.S. law imposes serious restrictions on political and economic relations with countries on the list. Still, the removal of Cuba from the terrorism-supporting countries list would have a limited impact, because many of the limitations on normal economic relations with Cuba are the result of Cuba-specific embargo legislation by Congress outside the scope of the terrorism-related measures. These pieces of legislation will have to be removed by Congressional action. The administration’s decision to remove Cuba from the list comes while the negotiations between the two countries are encountering difficulties. Officials have so far failed to reach an agreement on re-establishing diplomatic relations and opening embassies.

The United States on Friday officially removed Cuba from the list of terrorism-supporting states. The move is the latest step toward the normalization of relations between the United States and Cuba.

Removing Cuba from the list – which now has only three countries left on it: Iran, Syria, and Sudan – removes a major legal obstacles, because U.S. law imposes serious restrictions on political and economic relations with countries on the list.

Still, the removal of Cuba from the terrorism-supporting countries list would have a limited impact, because many of the limitations on normal economic relations with Cuba are the result of Cuba-specific embargo legislation by Congress outside the scope of the terrorism-related measures. These pieces of legislation will have to be removed by Congressional action.

A U.S, official told Reuters that removing Cuba from the terrorism list is “an important step,” but that “as a practical matter, most restrictions related to exports and foreign aid will remain due to the comprehensive trade and arms embargo.”

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See also:

U.S. expects improving relations with Cuba to facilitate return of fugitives, 17 April 2015

BNP Paribas to pay $9 billion in fines for violating sanctions on Sudan, Iran, and Cuba, 23 June 2014

Value of list of state sponsors of terrorism questioned, 28 January 2014

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The Guardian reports that while businesses and travelers have already taken advantage of the relaxed rules surrounding Cuba, but major banks and financial institutions remain cautious as a result of the legal ramifications which might ensue for violating the Congress-imposed embargo.

“The embargo is still the big 800lb gorilla in the room,” David Schwartz, chief executive of the Florida International Bankers Association, told the newspaper. “Lifting the terror designation is a help to foreign banks that are dealing with Cuba and have had that concern, and this may in their mind ease that burden.

“But although the administration is pushing to the limit of what they can do, to go any further would require lifting the embargo,” he said.

President Barack Obama in December instructed the State Department in December to review whether or not Cuba’s presence on the terrorism list was warranted, telling the department to submit its review within six months.