Cuba Seeks Foreign Investment Amid Energy Crisis

Cuban government to allow Cubans abroad to own businesses and invest in infrastructure on the island.

Mar. 16, 2026 at 7:49pm

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Cuba's deputy prime minister announced that the country's Communist government will open the door to foreign investment, including from the United States, as the island nation faces a severe energy crisis with frequent blackouts and a humanitarian crisis involving food shortages. The government will allow Cubans abroad to own businesses on the island and invest in infrastructure projects.

Why it matters

This policy shift represents a major change for Cuba, which has long restricted foreign investment and private enterprise. The move comes as Cuba's economy is battered by the impact of the U.S. embargo and the loss of oil shipments from Venezuela. Allowing Cubans abroad to invest could provide a much-needed economic lifeline, but also raises questions about the pace and extent of political reforms on the island.

The details

According to Cuba's deputy prime minister, the government will announce on Monday that Cubans living abroad will be allowed to own businesses on the island and invest in infrastructure projects. This includes allowing Cuban Americans and their descendants to participate in Cuba's 'economic and social development program.' The government also signaled it is open to a 'fluid commercial relationship with U.S. companies.' However, the U.S. embargo still poses a major obstacle to American investment in Cuba.

  • On Monday, the Cuban government will announce the new investment policies.
  • For the past three months, the U.S. has blocked Cuba's access to foreign oil, leading to widespread blackouts.

The players

Oscar Pérez-Oliva Fraga

Cuba's deputy prime minister and a key figure in the country's economic policy.

Miguel Díaz-Canel

President of Cuba, who acknowledged in a televised address that the government is engaged in talks with the Trump administration to resolve the standoff.

Carlos Gimenez

Republican congressman from Florida who is Cuban American.

Hugo Cancio

A Cuban American in Miami who has been running perhaps the most visible foreign-owned business in Cuba for years through his e-commerce platform Katapulk.

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What they’re saying

“Cuba is open to having a fluid commercial relationship with U.S. companies, also with Cubans residing in the United States and their descendants.”

— Oscar Pérez-Oliva Fraga, Cuba's deputy prime minister (NBC News)

“There will be ZERO investment from the US unless there is MAJOR political change on the island.”

— Carlos Gimenez, Republican congressman from Florida (X)

“It is our responsibility as the government to embrace them, listen to them, tend to them and offer them a space to participate in the economic and social development.”

— Miguel Díaz-Canel, President of Cuba (NBC News)

What’s next

The Trump administration is waiting to see whether the changes announced on Monday will be truly structural and meaningful before deciding whether to issue licenses that would allow such investments.

The takeaway

This policy shift represents a significant opening of the Cuban economy to foreign investment and private enterprise, which could provide a much-needed economic lifeline for the island nation. However, the U.S. embargo remains a major obstacle, and the extent of political reforms accompanying this economic liberalization will be closely watched.