By Patricia Grogg
HAVANA, Jul 24 2003 (IPS)

The European Union decision to maintain dialogue with Cuba despite its criticisms of the Fidel Castro government’s human rights record leaves the rhetorical ball in Castro’s court, though the president of this Caribbean island is in no hurry to return the play.

"I would say that there is total immobility in the bilateral crisis and, although tensions have not increased, they have not obviously diminished," a Latin American diplomat who has been following closely the breakdown of Havana-Brussels relations, said in comments to IPS.

A European development aid representative considers it "healthy" to maintain a willingness to engage in dialogue. "But we have to see what the dialogue is based upon, because we already know that the Cubans reject any stipulations for sitting down to talk," said the diplomat.

The socialist-run island’s dissident groups go a step further, saying they consider dialogue to be of utmost importance – given current political circumstances – and are crossing their fingers that the European windows will not be closed.

Otherwise it would deprive Cuba of "most of the alternatives for change from establishing footing from which to promote transformations," said Manuel Cuesta Morúa, leader of the opposition Social-Democratic Current.

In reaction to the harsh prison sentences that Cuba handed down to 75 dissidents and journalists in March and the Castro government’s execution of three men who attempted to hijack a passenger ferry to take it to the United States, the EU implemented several "punishment" measures in June.

The 15 EU members’ foreign ministers renewed their condemnation of the human rights situation in Cuba, saying earlier this week that there were no positive steps taken by the Castro government to improve it.

But they resolved that the EU should continue the "political dialogue" with Cuba in order to push for concrete results in that country as far as improving the political, economic and human rights realities.

Furthermore, the EU decided to promote cooperation with the socialist-run island, but focussing on areas that facilitate transition towards a pluralist democracy that maintains respect for human rights as a priority.

According to the document issued by the ministerial meeting, development funds will be channelled through governmental institutions only if they guarantee direct benefit to the population or a significant contribution to sustainable development in Cuba.

European assistance to the island – not just from the 15-member EU – generally arrives through multilateral or bilateral government-to-government programmes, as well as through state aid and non-governmental aid.

"Many European NGOs (non-governmental organisations) are in financial trouble, without plans or new projects," said an aid representative from Italy, a country that unilaterally suspended several assistance projects in Cuba.

France announced last Friday that it was cancelling two cooperation programmes that benefited the island, and just days later said it would submit all French-Cuba assistance plans to review.

The EU ministers’ renewal of the so-called Common Position on Cuba forms part of the package of sanctions imposed by the bloc, which include a sharp cut in high-level official visits and reduced participation in cultural events.

The aspect of the European stance that irritates the Castro government most is the decision to invite Cuban dissidents to the celebrations of European national holidays at the diplomatic missions of the bloc’s countries in Havana.

"I asked (Havana) what could help reduce bilateral tensions, and they told me that the only possible gesture would be to stop inviting the opposition" to those events, said a diplomat who asked not to be identified.

In reaction to the Europeans’ invitation to dissidents, no one from the Cuban government, no Cuban intellectuals or cultural figures attended the Jul. 14 celebration of Bastille Day at the French embassy.

"The EU measures have not been fruitful at all, but instead have complicated the situation," said another European source linked to the development aid sector.

Meanwhile, two Italian entrepreneurs told IPS that Cuban Foreign Minister Felipe Pérez Roque met two weeks ago with Italian and Spanish business leaders to assure them that political tensions would not harm their interests on the island.

"The minister’s words were reassuring for everyone. Some entrepreneurs were worried that Cuba would close the doors on our businesses," Franco Congiu, who has investments in the telecommunications field, told IPS.

He stressed that he is not considering pulling his money out of Cuba, and less during difficult times. "The money is mine and anything can happen with the EU. I’m going to continue with my business."

Paolo Masella, executive director of La Coronación travel agency, acknowledged that 15 to 20 percent of reservations made had been cancelled by Italian tourists who were discouraged from travel due to the political tensions.

But he believes tourist traffic has been recovering over the past few weeks, and he ruled out the possibility that investments and other Italian business in Cuba would be hurt by the crisis.

"But anyone in Italy who was thinking of investing here is probably thinking twice before doing so," said Masella, who commented that the information made available in Europe about Cuba "is incorrect" and "lacking truth".

Cuban trade with the countries of the EU reaches 1.9 billion dollars a year, with Spain being the most active trade partner, even though officials in Madrid are harshly critical of the Castro government.

Spain is, furthermore, the leading foreign investor in Cuba, with participation in 105 joint ventures – with the Cuban government – on the island.

Italy is Cuba’s third leading partner, after Canada, with 57 such "mixed partnerships". Fifty-six percent of the total involve countries from the EU.

The Cuban government accused Spain and Italy of instigating the EU’s hardline stance against the island, and on Jun. 12 convened thousands of Havana residents to protest outside the two countries’ respective embassies there.

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