The Spanish hotel chain Melia is terminating its partnership with 15 hotels in Cuba: what is the reason?
3 June 17:42
The Spanish hotel group Melia has announced the immediate suspension of management, marketing, and brand services for 15 hotels in Cuba. This decision is due to the deteriorating geopolitical, legal, and economic situation on the island.
This was reported by Reuters , as cited by "Komersant Ukrainian".
According to the publication, Melia’s move comes amid increasing pressure on Cuba from the administration of U.S. President Donald Trump. The U.S. is using an oil embargo and tougher sanctions in an attempt to cut off resources and force the country’s government to step down.
“Melia, one of the largest foreign hotel operators in Cuba, has been present on the island since 1990. The company informed hotel owners of its decision on May 26, and the confirmation was published on Wednesday. The hotels were managed through the Portuguese subsidiary Ilha Bela Gestao E Turismo,” Reuters reports.
Read us on Telegram: important topics – without censorship
Impact on business
In regulatory filings, the company noted that the withdrawal of funds was caused by a “combination of unforeseen circumstances” that significantly affected the viability, legality, and safety of continuing operations.
Cuba is one of Melia’s largest markets in terms of the number of hotels, but its financial contribution to the company has declined sharply. This was due to power shortages and a drop in demand for tourism services.
The company noted that most hotels were already closed or not operating. Ilha Bela is currently working on an orderly asset divestiture and is taking steps to inform suppliers and customers.
As a reminder, the administration of U.S. President Donald Trump is developing new strategies to respond to a possible destabilization of the situation in Cuba, which could occur as early as this summer. Washington is intensifying sanctions pressure on Havana with the aim of economically weakening the Cuban government.
Watch us on YouTube: important topics – without censorship
