Cuba Hosts Foreign Leaders

Monday, November 9, 1998; 11:59 p.m. EST

MEXICO CITY (AP) -- Once seemingly isolated, Cuba on Monday welcomed two significant foreign visitors: Spain's Foreign Minister Abel Matutes and Haitian President Rene Preval.

Matutes is the highest-level Spanish official to visit Cuba since conservative Prime Minister Jose Maria Aznar took office in May 1996 and began sharply criticizing Cuba's human rights situation.

The visit is part of a steady improvement in Cuban relations with Spain -- its top European trading partner -- which hit bottom in November 1996 when Cuba rejected Spain's proposed ambassador and the two nations' officials traded insults.

``I am enchanted to visit Cuba,'' Matutes said on arrival Monday evening at Havana's international airport, where he was met by Foreign Minister Roberto Robaina, according to local reporters.

``I am convinced that this visit will serve to increase the ties between two brother peoples,'' added Matutes, who had met Robaina twice in Spain over the past 13 months.

Among the topics of the trip is an even more symbolic visit: that of King Juan Carlos and Queen Sofia, who are expected to come to Cuba before an Ibero-American summit in October in Havana.

Matutes also was likely to discuss Cuba's 1 billion peseta (dlrs 7 million) debt to Spain and was to sign an agreement on anti-narcotics cooperation.

Preval's six-day visit comes at a time of warming Cuban relations with its Caribbean neighbors, who have chafed at U.S. efforts to prod them into isolating Cuba.

In August, President Fidel Castro toured once-hostile Caribbean countries and attended a 16-nation Caribbean summit.

Meanwhile, Cuban officials said their country would quickly embrace the new European currency, the Euro, which is due to be used in 11 of 15 members of the European Union as of January.

Juventud Rebelde, newspaper of the Communist Party's youth wing, reported Sunday that use of the Euro would help Cuba ease difficulties surrounding its heavy dependence on the U.S. dollar -- such as international clearance of payments.

The newspaper noted that 44 percent of Cuba's trade and most of its credits are with European countries or institutions.

It said that as of July, Cuba would denominate all contracts with Euro-using countries in Euros. It is to do the same in those with China, Vietnam and North Korea as of January 2000.

© Copyright 1998 The Associated Press