FAR
Cuban armed forces and military-commercial empire controlling the island's hard-currency economy
Last refreshed: 27 April 2026 · Appears in 1 active topic
Why does Cuba's army run the island's hotels, ports, and foreign trade?
Timeline for FAR
State Department met Castro grandson off-track
Cuba Dispatch- What is GAESA and how does the Cuban military control the economy?
- GAESA is FAR's business holding company, created under Raúl Castro. It controls roughly 60% of Cuba's hard-currency economy through subsidiaries in hotels, ports, transport, and foreign trade. FAR uses commercial revenues to fund military operations independent of the state budget.
- Why does the US restrict business with the Cuban military?
- GAESA entities appear on the US Cuba Restricted List because US commercial engagement with them generates hard currency for FAR, which Washington considers a tool of political repression and a barrier to reform. The Senate war-powers debate in April 2026 cited FAR's control of the economy as justification for congressional oversight.Source: event
Background
The Fuerzas Armadas Revolucionarias (FAR) are Cuba's unified armed forces, founded in 1959 following the revolutionary overthrow of Fulgencio Batista. FAR is constitutionally subordinate to the Communist Party but in practice operates as a state within the state: its commercial Arm, GAESA (Grupo de Administración Empresarial S.A.), controls roughly 60 per cent of Cuba's hard-currency economy through subsidiaries spanning hotels, ports, retail, transport, and foreign trade. This dual military-commercial character means FAR is simultaneously Cuba's defence force and its principal economic actor. Raúl Castro built FAR into its current form over decades as commander and later as president. Personnel estimates range from 40,000 to 50,000 active with a substantial reserve. FAR has deployed abroad in Angola, Ethiopia, and Venezuela and maintains advisory presences in several Latin American states.
In April 2026, the US State Department's off-track meeting with Raúl Guillermo Rodríguez Castro reflected Washington's understanding that FAR and its GAESA empire must be a party to any enduring Cuba agreement. The Castro family's control of FAR means that formal foreign ministry channels run alongside, not above, the military network. The Senate war-powers resolution debated in April 2026 cited FAR deployments and GAESA sanctions exposure as the national-security predicate for requiring congressional authorisation for any executive agreements with Havana.
