U.S. Sanctions Cuban State Bank BICSA Over Dealings With Iran’s Karafarin Bank
The United States has imposed sanctions on Cuba’s state‑owned Banco Internacional de Comercio (BICSA), saying it provided financial services since at least 2022 to Iran’s Karafarin Bank, which has been under U.S. sanctions since 2020. The move extends Washington’s Iran sanctions enforcement into Cuba’s state banking sector.
Washington has widened its enforcement of Iran-related sanctions by targeting a Cuban state bank.
U.S. Secretary of State Marco Rubio announced sanctions on the Banco Internacional de Comercio de Cuba, known as BICSA. According to the U.S. account, BICSA has provided services since at least 2022 to Iran’s Karafarin Bank.
Karafarin Bank was sanctioned by the United States in 2020 over its links to Iran. By designating BICSA, U.S. authorities are aiming at a foreign institution they say helped a sanctioned Iranian bank maintain access to financial services.
The listing restricts BICSA’s access to the U.S. financial system and complicates its dealings with banks abroad that want to avoid exposure to U.S. measures.
For Cuba, which already faces longstanding U.S. restrictions, sanctions on a state bank further limit its formal financial links and may affect some trade and payment channels. For Iran, the step shows U.S. officials are looking beyond domestic institutions to any foreign partners still willing to work with blacklisted banks.
The action also illustrates a sanctions strategy that targets intermediaries as well as direct Iranian entities, increasing the cost of doing business with Iran’s financial sector.
Developments to watch include Havana’s official response, any restructuring of BICSA’s operations, and whether Washington moves against additional foreign banks over ties to sanctioned Iranian institutions.
Sources
- OSINT