Receiving Money from Miami: How Cuba's Regime Profits from Dollar Transactions

This Tuesday, Fincimex disclosed that remittances sent from abroad can now be collected in cash in U.S. dollars right at Cadeca offices in Cuba. While the regime portrays this as a convenience for Cuban families, it effectively strengthens the grip of the military conglomerate GAESA over every dollar the diaspora sacrifices to support their loved ones.

This announcement follows a period of over a year during which formal remittance channels crumbled. Western Union indefinitely halted its operations from the United States to Cuba on February 8, 2025, and Cubamax followed suit in April that year. Both actions were linked to Orbit S.A., a company established by the regime as a front to manage remittances after Fincimex faced sanctions in 2020.

In March 2025, Orbit S.A. was added to the U.S. Department of State's Cuba Restricted List after investigations uncovered its shared servers, offices, and oversight with CIMEX, the very military structure it was supposed to replace. Cubamax admitted in its suspension that operational adjustments were tied to Orbit S.A., which is controlled by GAESA.

The Impact on Cuban Families

This cycle of deception has been disastrous for Cuban families. Formal remittances plunged by 70% from 2019, dropping from $3.716 billion to just $1.113 billion in 2024. Meanwhile, 93% of the money now flows through informal channels, carrying all the associated risks and costs.

Ironically, the same regime that indirectly blocked these private channels is now positioning itself as the solution. Fincimex claims that "the measure is part of a strategy to expand remittance management options to facilitate access to foreign currency and promote savings through the Clásica card." What remains unsaid is that both Cadeca and the Clásica card fall under its direct control, essentially meaning GAESA's control.

GAESA's Overarching Influence

This military conglomerate exerts control over 40% to 70% of the Cuban economy, processes 95% of the country's foreign currency transactions, and reportedly has over $18 billion in liquid assets, according to leaked documents from 2024. It even operates its own tax office, the OATFAR, which exempts it from the national tax system. Every dollar passing through Cadeca or deposited on the Clásica card directly feeds these military coffers.

The Clásica card, marketed as a benefit, has limitations that the diaspora should be aware of: it does not allow online purchases, it is non-refundable if you leave the country, and only allows cash withdrawals in Cuban pesos. The discounts offered —10% at Gaviota facilities and between 5% and 6% in CIMEX stores— only apply in state-run establishments where prices can be up to four times higher than in a U.S. supermarket.

The Burden on the Cuban Diaspora

Adding to this trap is an extra burden for those sending money from Miami. As of January 1, 2026, the Trump administration's "One Big Beautiful Bill" imposes a 1% federal tax on remittances sent abroad in cash or other tangible instruments. Those who already give up part of their salary to support their families in Cuba now also pay this levy before the money ends up in the regime's hands.

Meanwhile, 89% of Cuban families live in extreme poverty, and 70% miss at least one meal a day. For them, there is no real alternative: they must either go through state offices or rely on increasingly costly and risky informal networks. The regime that dismantled private channels now collects a toll for being the only path left.