Factbox: How Obama will relax U.S. Cuba policy

Reuters

(Reuters) - President Barack Obama moved on Wednesday to normalize diplomatic relations with Cuba, a shift the White House said was needed because the long-standing U.S. embargo against the communist-ruled island has failed to promote democracy and has hurt the Cuban people. Here are the key changes: DIPLOMATIC RELATIONS * The U.S. will open an embassy in Havana. * During the next six months, Secretary of State John Kerry will review Cuba's designation as a state sponsor of terrorism. * U.S. officials will hold high-level talks with Cuban counterparts on issues like migration, narcotics, environmental protections, human trafficking. * U.S. officials will discuss maritime boundaries with Cuba and Mexico in the Gulf of Mexico. EXPANDED TRAVEL * More Americans will be allowed to travel to Cuba. * The overall travel ban can only be lifted by Congress, so tourism will not be allowed. * Travel licenses will be available for family visits, journalists, professional research and professional meetings, educational activities, religious activities, performances and athletic competitions, humanitarian projects, and certain export activities. TRADE * Trade will be authorized with Cuban private companies in building materials for private homes, goods for entrepreneurs, farm equipment for small farmers. * Licensed travelers can bring back $400 in Cuban goods, including up to $100 in tobacco and alcohol for personal use. * The overall trade ban can only be lifted by Congress. BANKING * U.S. banks can open correspondent accounts at Cuban banks to help process authorized trade and remittances. * Rules defining "cash in advance" will be revised to mean "cash before transfer of title" to help finance trade with Cuba. * Travelers can use U.S. credit and debit cards. * U.S.-owned entities in other countries will be allowed to provide services to Cuban people who are outside of Cuba. * U.S. bank accounts of Cuban nationals who have moved outside of Cuba will be unblocked. TELECOMMUNICATIONS * Export of telecom devices and services will be authorized. * Telecom providers will be allowed to provide commercial telecom and internet services. REMITTANCES * U.S. citizens can sent up to $2,000 per quarter to Cuban nationals and humanitarian projects, up from $500. Licenses will no longer be required. (Reporting by Roberta Rampton; Editing by Tom Brown)