Cuba and the United States have started restoring relations. In the wake of this, travel opportunities to the island of Cuba are expected to become a reality for numerous individuals looking to travel between the two nations. However, despite political progress and mended diplomatic relations, the U.S. embargo remains in place, which affects Cuba's tourism industry, according to a Florida International University (FIU) study.

The report "Future Hospitality and Tourism Business in Cuba: Opportunities and Obstacles" found that limitations on the island have been a challenge for the tourism industry, which is a vital part of the nation's economy. FIU researchers argue that Cuba can maximize the hospitality business as restrictions are slowly lifted for U.S. travellers and as the U.S. government contemplates developing commercial flights to Cuba.

The study's researchers also believe that expanding Cuba's tourism industry is a matter of making important changes to infrastructure, communication and transportation. The Caribbean island has already been blessed with an abundance of charm, including its irresistible culture, sophisticated dining scene, beaches, nature reserves and mountains. But changes to the infrastructure and banking system would be necessary to ease the island's transformation into a lucrative tourism destination.

Challenges include limited access to insurance services and banking, as well as regulations that prevent foreign companies from purchasing real estate and a dual exchange rate system. Cuba does not accept U.S. credit cards, there aren't enough hotels, many eateries are state-owned and internet connectivity is an issue on the island. Also, the government requires foreign companies to form partnerships with the state and make hires through government employment agencies.

Cuba has undeniable appeal and potential for tourism and hospitality, but barriers remain, as central control by the Cuban government and authorities function "in the shadow of the U.S. embargo." In addition to a lack of banking options and required government partnership, the nation lacks credible dispute entities, such as courts or arbitration.

The continued existence of the U.S. embargo signifies a need for hotels and tourism companies to navigate regulations set in place by the Cuban government, which has had its credibility and accountability called into question. Today, U.S. citizens need approval from the Treasury Department to spend money in Cuba, and many business transactions can lead to jail time or fines.

The island remains the only nation in the world to be off-limits to U.S. tourists, although travel is legal for the purposes of professional research, participation in an athletic event, performing in a concert, taking part in educational activities, and participating in a humanitarian project. There are now multiple daily flights from Miami, New York, Orlando and Tampa, which are operated by major carriers such as JetBlue and American.

The embargo can only be removed by an act of Congress, although executive actions could recede trade and travel restrictions. While President Barack Obama has done the work to change U.S.-Cuba relations, the next president could easily amend changes that have been enacted by Obama.