US sanctions Cuban bank over alleged ties to Iranian bank

The United States imposed sanctions on Thursday against Cuba's Banco Internacional de Comercio S.A. (BICSA) due to its ties with Iran's Karafarin Bank, which has been under sanctions since 2020.

The measures were part of US efforts to ramp up economic pressure on Iran. Washington accuses BICSA of maintaining ties with Karafarin Bank since at least 2022.

"For too long, Communist Cuba has been allowed to operate as an outpost for malign actors and terror groups –- including the Islamic Republic of Iran, the world's number one state sponsor of terrorism –- to target the United States," Secretary of State Marco Rubio said in a statement.

Reacting on X, Cuban Foreign Minister Bruno Rodriguez described the action as "aggressive." He called BICSA "an absolutely legitimate bank whose transactions in Cuba and around the world are also absolutely legitimate."

"It demonstrates a criminal determination to impose maximum collective punishment on the Cuban people and 'shut off every valve' for the Cuban economy," Rodriguez added.

The Trump administration declared Cuba a "threat" to US national security on January 29. Since then, Washington has steadily increased diplomatic and economic pressure through sanctions and an oil embargo.

Also Thursday, the US imposed sanctions on the Iraq-based International Development Bank for Investment and Finance, which the Treasury said provides financial services and US dollar access for Iran, and several Iranian banks, companies and individuals.