US officials unveiled a significant update to the country's Cuba policy on Tuesday, announcing that private sector entrepreneurs in Cuba will now have the opportunity to establish US bank accounts which they can access remotely. These amendments to the longstanding embargo on Cuba aim to support the private sector and facilitate greater access to internet-based services for the Cuban people.

The new rules represent a shift in US policy towards Cuba, allowing conditional access to the US banking system and international transactions for the independent Cuban private sector. A senior US official, speaking on condition of anonymity, emphasized that these changes will enable Cuban entrepreneurs to establish remotely accessed US bank accounts for authorized transactions, providing them with greater access to US banking services, including online payment platforms.

While these measures have been hailed as a step towards supporting Cuba's private sector, Cuban Foreign Minister Bruno Rodriguez criticized them as "limited" and argued that they do not address the broader economic challenges posed by the decades-old embargo imposed by Washington. However, US officials maintain that these amendments will help facilitate the import of essential goods such as food and equipment that support the Cuban people.

The announcement follows previous commitments by the Biden administration to encourage the growth of Cuba's private sector and expand access to US internet services and e-commerce platforms. Since 2021, Cuban entrepreneurs have been permitted to establish private small- and medium-sized enterprises, leading to the registration of approximately 11,000 private companies.

In addition to facilitating economic transactions, the US hopes that greater internet access will empower Cuban citizens to communicate their grievances and foster business opportunities. However, the latest announcement excludes prohibited Cuban government officials, such as military officers, from accessing these benefits.

Furthermore, the update to Cuba policy coincides with the Biden administration's decision to remove Cuba from a list of countries deemed not to cooperate fully on counterterrorism, signaling a potential shift towards improved diplomatic relations between the two countries.