US authorises Venezuelan oil sales to Cuba’s private sector

The US Treasury Department has announced that it will grant licences permitting the further sale of Venezuelan oil to the Cuban private sector.

The move follows Washington’s decision in January to take control of Venezuelan oil exports, after which supplies to Cuba virtually ceased. The island is now facing a deepening energy crisis affecting both electricity generation and transport.

According to the guidelines, new transactions must not involve the Cuban military or state institutions and are required to ‘support the Cuban people’.

The Trump administration has also insisted that Venezuela’s allies, including Cuba and China, must pay market prices.

Secretary of State Marco Rubio stressed that the government in Havana is responsible for the humanitarian situation in Cuba. However, it remains unclear whether Cuban companies will be able to afford oil, as the country has long-standing difficulties financing fuel imports.

(reuters, pir)