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U.S. eases trade restrictions on Cuba ahead of Obama’s visit

Updated - September 06, 2016 02:03 pm IST

Published - March 16, 2016 02:22 am IST - WASHINGTON:

Refrigerator magnets showing images of U.S. President Barack Obama and First lady Michelle Obama, for sale in a tourist shop in Havana, Cuba.

The United States on Tuesday announced it would further loosen travel restrictions on Cuba and ease limits on the use of U.S. dollars in trade transactions there just days ahead of President Barack Obama’s historic visit.

The new rules reinforce Mr. Obama’s move away from the long-standing U.S. economic embargo against Cuba by using his executive powers to sidestep U.S. lawmakers who so far have refused to lift sanctions. The changes allow Cubans to open U.S. bank accounts and authorise those living in the U.S. to earn a salary or compensation, the U.S. government said. They also allow individuals to visit the island for “people-to-people educational travel”, instead of requiring them to go in group tours. The easing comes as Mr. Obama prepares to travel on March 20-22 to Cuba. No sitting U.S. President has visited Cuba in the last 88 years.

The latest package marks one of the most significant changes since Mr. Obama announced this historic opening to Cuba in December 2014.

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The changes also allow humanitarian and other entities supporting the Cuban people to establish a presence there, they said. The administration earlier eased rules to allow scheduled air service between the two countries.

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