Obama restores US ties with Cuba after decades-long freeze

US president uses executive power to resume diplomatic relations and ease restrictions on travel and trade with communist neighbour.

Two men watch Cuban president Raul Castro’s speech to announce an agreement to ‘reestablish diplomatic relations’ with the US in Havana on December 17, 2014. Ernesto Mastrascusa / EPA

WASHINGTON // President Barack Obama announced the re-establishment of diplomatic relations as well as an easing in economic and travel restrictions on Cuba on Wednesday, declaring an end to the United States’ “outdated approach” to the communist island in a historic shift that aims to bring an end to a half century of Cold War enmity.

“Isolation has not worked,” Mr Obama said in remarks from the White House. “It’s time for a new approach.”

As Mr Obama spoke, the Cuban president Raul Castro addressed his own nation from Havana. The leaders spoke by phone for more than 45 minutes on Tuesday, the first substantive presidential-level discussion between the United States and Cuba since 1961.

Mr Obama’s announcement marked an abrupt use of executive power. However, he cannot unilaterally end the longstanding US economic embargo on Cuba, which was passed by Congress and would require action from legislators to overturn.

Wednesday’s announcements followed more than a year of secret talks between the U.S. and Cuba, including clandestine meetings in Canada and the Vatican and personal involvement from Pope Francis.

The re-establishment of diplomatic ties was accompanied by Cuba’s release of American Alan Gross and the swap of a US spy held in Cuba for three Cubans jailed in Florida.

Mr Obama said Mr Gross’s five-year imprisonment had been a “major obstacle” in normalising relations.

Mr Gross arrived at an American military base just outside Washington on Wednesday morning, accompanied by his wife and a handful of US legislators. He went immediately into a meeting with the secretary of state, John Kerry.

As part of resuming diplomatic relations with Cuba, the US will soon reopen an embassy in Havana and carry out high-level exchanges and visits between the governments.

The US is also easing travel bans to Cuba, including for family visits, official US government business and educational activities. Tourist travel remains banned.

Licensed American travelers to Cuba will now be able to return to the US with $400 (Dh1,470) in Cuban goods, including tobacco and alcohol products worth less than $100 combined. This means the long-standing ban on importing Cuban cigars is over, although there are still limits.

The US is also increasing the amount of money Americans can send to Cubans from $500 to $2,000 every three months. Early in his presidency, mr Obama allowed unlimited family visits by Cuban-Americans and removed a $1,200 annual cap on remittances. Mr Kerry is also launching a review of Cuba’s designation as a state sponsor of terror.

Mr Obama said he continued to have serious concerns about Cuba’s human rights record but did not believe the current American policy toward the island was advancing efforts to change the government’s behavior.

“I do not believe we can keep doing the same thing for over five decades and expect a different result,” he said.

There remains a divide on Capitol Hill over US policy toward Cuba. While some legislators say the embargo is outdated, others say it is necessary as long as Cuba refuses to reform its political system and improve its human rights record.

* Associated Press