The U.S. Deputy Secretary of State for Western Hemisphere Affairs, Juan Pablo Segura, characterized Cuba's economic model as a "kleptocracy" controlled by the military in a post that included an infographic aimed directly at the military conglomerate GAESA.
Segura compared the Cuban system with that of other nations where economic growth is based on competition, entrepreneurship, and transparency, concluding that the model in Havana does exactly the opposite.
“Around the world, economic growth arises from competition, entrepreneurial spirit, and transparency. Cuba's kleptocratic model, controlled by the military, concentrates wealth and power in the hands of a few elites of the regime, while simultaneously limiting opportunities for everyday Cubans.”, wrote the high-ranking official.
The image that accompanied the publication showed the interior of a Cuban state store in precarious conditions —with a rusty cash register, semi-empty shelves, and flags— alongside the text: «GAESA: the state monopoly means stagnation».
The term "cleptocracy," derived from the Greek words for "thief" and "power," refers to a system where the government is sustained by the institutionalized theft of public capital, with corruption, embezzlement, and misappropriation as its pillars, and where no sector of power has incentives to stop them.
GAESA, at the center of the fire
The Business Administration Group S.A. (GAESA) is the business arm of the Revolutionary Armed Forces (FAR) of Cuba and is a recurring target of criticism from Washington.
The conglomerate controls key sectors and assets of the island's economy, including tourism, the port of Mariel, banking entities, supermarkets, gas stations, remittances, telecommunications, and foreign trade.
Estimates from various sources place its dominance over the Cuban formal economy between 40% and 70%, although the group's opacity prevents an audited figure.
Juan Pablo Segura, appointed as undersecretary on August 14 after his confirmation by the Senate, has reiterated in several statements the warnings to foreign companies that conduct business with the Cuban military conglomerate.
The State Department has described GAESA as "the heart of the Cuban kleptocratic communist system," a characterization that Segura now reinforces with his own public voice, while the island's population continues to face shortages, blackouts, and the lack of economic opportunities that, according to Washington, the regime itself deprives them of.
In mid-August, the official accused GAESA of having "plundered" 18 billion dollars from the Cuban people, a figure based on leaked internal documents analyzed by the Miami Herald in 2024.
Days later, he recalled that the former Cuban comptroller, Gladys Bejerano, admitted in an interview with EFE that GAESA was not under the supervision of the General Comptroller of the Republic, which amounts to acknowledging that the military conglomerate operates without accountability.
A pressure that has been escalating since May
On May 1, 2026, President Donal Trump signed Executive Order 14404, which served as the basis for Secretary of State Marco Rubio to announce direct sanctions against GAESA and the mining company Moa Nickel S.A. on May 7.
On June 5, the deadline given to foreign companies and financial institutions to sever ties with the conglomerate under the threat of secondary sanctions expired.
On that same day, the Office of Foreign Assets Control (OFAC) confirmed the blocking of GAESA, MININT, and MINFAR.
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