Tourism in Cuba is an industry that generates over 2 million arrivals per year, and is one of the main sources of revenue for the island. With its favorable climate, beaches, colonial architecture and distinct cultural history, Cuba has long been an attractive destination for tourists. "Cuba treasures 253 protected areas, 257 national monuments, 7 UNESCO World Heritage Sites, 7 Natural Biosphere Reserves and 13 Fauna Refuge among other non-tourist zones."
Having been Spain's closest colony to the United States until 1898, in the first part of the 20th century Cuba continued to benefit from big investments, creation of industries, and travel. Its proximity and close relation to the United States also helped Cuba's market economy prosper fairly quickly. As relations between Cuba and the United States deteriorated rapidly after the Cuban Revolution and the resulting expropriation and nationalization of businesses, the island became cut off from its traditional market by an embargo and a travel ban was imposed on U.S. citizens visiting Cuba. The tourist industry declined to record low levels within two years of Castro's accession to power. Unlike the US, Canada normalized relations with Cuba in the 1970s and Canadians increasingly visited Cuba for vacations. Approximately one third of visitors to Cuba each year (in 2014) are Canadians. The Cuban government has moderated its nationalization policies and allowed for private business since 2011. It also pursues revitalization programs aimed at boosting tourism. United States reestablished diplomatic relations with Cuba in 2015 and the tourism industry is expected to greatly benefit from normalized relations with US in the near future.
Until 1997, contacts between tourists and Cubans were de facto outlawed by the Communist regime. Following the collapse of Cuba's chief trading partner the Soviet Union, and the resulting economic crisis known as the Special Period, Cuba's government embarked on a major program to restore old hotels, remaining old pre-communism American cars, and restore several Havana streets to their former glory, as well as build beach resorts to bolster the tourist industry in order to bring in much needed finance to the island. To ensure the isolation of international tourism from the state isolated Cuban society, it was to be promoted in enclave resorts where, as much as possible, tourists would be segregated from Cuban society, known to as "enclave tourism" and "tourism apartheid". By the late 1990s, tourism surpassed Cuba's traditional export industry, sugar, as the nation's leading source of revenue. Visitors come primarily from Canada and western Europe and tourist areas are highly concentrated around Varadero, Cayo Coco, the beach areas north of Holguin, and Havana. The impact on Cuba's socialist society and economy has been significant. However, in recent years Cuba's tourism has decreased due to the economic recession, escalating foreign investment conflicts and fears, and internal economic restrictions. Since its reopening to tourism in the mid-1990s Cuba has not met the projected growth, has had relatively little restoration, and slow growth. A lack of foreign investment has also had a negative effect. Since then, the Dominican Republic has surpassed Cuba in tourism, new development, and investment.