Please explain to me how despite this change not including approval for Americans to visit Cuba as tourists, why it would have any real impact in the near term on the DR?
Lets start with deployment of resources (investment dollars) diverted from the DR to Cuba.
Those that may have been considering projects in the DR may just sit back and take a wait and see approach to deployment of capital in the DR.
For those screaming, tourists are not yet allowed....so that cannot be correct....please read on.
The largest player in telecommunications in the DR is Carlos Slim and Claro. Cuba has about a 10% cell phone penetration rate. Bet Carlos Slim has already started planning the use of his capital in the mega opportunity that is Cuba. Those resources will keep enhancements and upgrades from happening more rapidly in countries that he has exposure to.....which includes the DR.
Second, Cuba has an internet penetration rate lower than Haiti. Expect companies like Wind etc., to divert resources away from upgrades and enhancements elsewhere (think the DR).
Third, any projected tourism projects scheduled or in late planning stages for the DR are likely to be "shelved" for the moment......as developers adopt a short term wait and see attitude.
Additionally, for those that believe that Cuba has virtually no tourism or hotels....think again.
Cuba is the second most traveled to tourist destination in the Caribbean.....right behind the DR. And that is in spite of the embargo...and with minimal US visits (98,000 in 2012). Tourism visits for Cuba are expected to hit almost 3 million for 2014, according to the Caribbean Tourism Organization.
If, and its a big if for tourism from the US, the embargo is lifted in the next year, the floodgates will be open for Cuba. Surely they will not call it Capitalism and betray the revolutionary ideals of Castro....but you can bet that once the population tastes it, whatever it is called "managed socialism" or the like, there will be no turning back for Cuba.
This will slow the growth of tourism in the DR and as tourism in the DR has matured, it may well portend periods of decline...unless the DR gets out of the hammock and recognizes tourism growth is no longer guaranteed.
Respectfully,
Playacaribe2