Washington DC - The US on Tuesday announced a tightening of sanctions against Cuba, clamping down on financial transactions as well as travel by US citizens to the island.

The sanctions, announced by the Treasury Department's Office of Foreign Assets Control (OFAC), prohibit indirect financial transactions with sanctioned Cuban entities, particularly those linked to the nation's security apparatus.

OFAC has banned so-called U-Turn transactions, which allowed US banks to process dollar payments related to Cuba provided the origin and destination were outside the US and did not involve American citizens.

The new regulations remove authorization for US banks "to open and maintain accounts solely in the name of a Cuban national who is an independent private sector entrepreneur."

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Access to the US banking system for private entrepreneurs had been authorized during Joe Biden's 2021–2025 presidency as part of measures aimed at supporting Cuba's private sector.

The new regulations also limit categories of travel that were permitted for US citizens under President Barack Obama.

Cultural exchange or "people-to-people" trips as well as business conferences and meetings will now require authorization.

Relations between Washington and Havana have worsened since President Donald Trump returned to power in January 2025.

The Republican leader says Cuba, located just 93 miles from Florida, represents an extraordinary threat to the US.

Since January, Washington has imposed a brutal oil embargo on the island of 9.4 million people, plunging the country into a deep humanitarian crisis.