Potential Implementation Of Helms-Burton Act In US Poses A Risk To Cuba's Economic Outlook

 

• The US government is reportedly considering implementing the Helms-Burton Act, which allows US citizens to sue the Cuban government over past nationalizations of assets.

 

• This would mark a significant escalation of tensions between the countries. While there is uncertainty over how the law would work in practice, Fitch expects it would be broadly negative for investor sentiment towards Cuba.

 

• By allowing lawsuits against Cuba to proceed, this policy would fall in line with President Donald Trump‘s more aggressive stance towards leftist regimes in Latin America.

(Source: Fitch)