Cayman Islands

 

(kā'mən) , British dependency (2005 est. pop. 44,300), 100 sq mi (259 sq km), comprising three islands in the West Indies. George Town, the capital and chief port, is on Grand Cayman; the other islands are Little Cayman and Cayman Brac. The British monarch is the head of state, and is represented by a governor. There is an 18-seat Legislative Assembly; the government is headed by the Leader of Goverment Business. The Cayman Islands are divided into eight administrative districts. The largely Christian, English-speaking population is about 40% mixed European and African ancestry, 20% white, and 20% black. Finance and luxury tourism are the economic mainstays of the islands, which are an international center for offshore banks, insurance companies, and mutual funds. Almost all goods are imported, primarily from the United States. The islands were sighted by Christopher Columbus in 1503, but were colonized by the British beginning in the 1800s. Administered from Jamaica after 1863, they became a separate British crown colony when Jamaica became independent in 1962. In 2004, Hurricane Ivan brought widespread destruction to the islands.

Cayman Islands
Flag Coat of arms
Motto "He hath founded it upon the seas"
Anthem God Save the Queen
Capital (and largest city)		George Town 19°20′N, 81°24′W
Official languages		English
Government		British Overseas Territory
-	Queen	Queen Elizabeth II
-	Governor	Stuart Jack
-	Leader of Government Business	Kurt Tibbetts
Creation
-	Split from Jamaica	1962
Area
-	Total	km² (206th)  sq mi
-	Water (%)	1.6
Population
-	2005 estimate	45,017 (208th)
-	1999 census	39,020
-	Density	139.5/km² (63rd)  /sq mi
HDI (2003)		n/a (NA) (unranked)
Currency		Cayman dollar (KYD)
Time zone		(UTC-5)
-	Summer (DST)	not observed (UTC-5)
Internet TLD		.ky
Calling code		[[+1 345]]

The Cayman Islands are a British overseas territory located in the western Caribbean Sea, comprising the islands of Grand Cayman, Cayman Brac, and Little Cayman. It is a global offshore financial services centre and one of the leading tourist scuba diving destinations in the world.

History

Main article: History of the Cayman Islands

The Cayman Islands were first sighted by Christopher Columbus on 10 May 1503 during his disastrous fourth and final voyage to the New World. He named them Las Tortugas after the numerous sea turtles there. The first recorded English visitor to the islands was Sir Francis Drake, who landed there in 1586 and named them the Cayman Islands after the Neo-Taino nations term (caiman) for crocodile (Zayas, 1914).

The first recorded permanent inhabitant of the Cayman Islands, Isaac Bodden, was born on Grand Cayman around 1700. He was the grandson of the original settler named Bodden who was probably one of Oliver Cromwell's soldiers at the taking of Jamaica in 1655.

The islands, along with nearby Jamaica, were captured, then ceded to England in 1670 under the Treaty of Madrid. They were governed as a single colony with Jamaica until 1962 when they became a separate British Overseas Territory and Jamaica became an independent commonwealth realm.

The island of Grand Cayman was hit by Hurricane Ivan on 11-12 September 2004, which destroyed many buildings and damaged 70% of them. Power, water and communications were all disrupted for a period of time as Ivan was the worst hurricane to hit the islands in 86 years. However, Grand Cayman promptly engaged in a major rebuilding process, and within two years its infrastructure was nearly returned to pre-Ivan levels. The Cayman Islands have the dubious honor of having experienced the most hurricane strikes in history. Due to the proximity of the islands, more hurricane and tropical systems have affected the Cayman Islands than any other region in the Atlantic basin (brushed or hit every 2.23 years. Source: Hurricanecity.com http://www.hurricanecity.com/city/caymanislands.htm). The area is expected to be hit again this hurricane season (2007). The Cayman Islands currently enjoy one of the highest standards of living in the Caribbean region, aided by thriving tourism and banking industries.

Geography

Main article: Geography of the Cayman Islands

The Cayman Islands are located in the western Caribbean Sea. They are the peaks of a massive underwater ridge, known as the Cayman Trench, standing 2,400 m (8000 feet) from the sea floor, which barely exceeds the surface. The islands lie in the centre of the Caribbean south of Cuba and West of Jamaica. But even Grand Cayman, the largest of the three islands, is not visible on many maps. They are situated about 480 miles (770 km) south of Miami, 150 miles (240 km) south of Cuba, and 180 miles (290 km) northwest of Jamaica. Grand Cayman is by far the biggest, with an area of 76 square miles (197 km²). The two "Sister Islands" of Cayman Brac and Little Cayman are located about 90 miles (145 km) east of Grand Cayman and have areas of 14 square miles (36 km²) and 10 square miles (25.9 km²) respectively.

All three islands were formed by large coral heads covering submerged ice age peaks of western extensions of the Cuban Sierra Maestra range and are mostly flat. One notable exception to this is The Bluff on Cayman Brac, which rises to 140 feet (42.6 m) above sea level, the highest point on the island.

Cayman avian fauna includes two endemic subspecies of Amazona parrots: Amazona leucocephala hesterna, or Cayman Brac Parrot, native only to Cayman Brac, and Amazona leucocephala caymanensis or Grand Cayman Parrot, which is native only to Grand Cayman. Another notable fauna is the endangered Blue Iguana, which is native to Grand Cayman.

Districts

Administratively, Grand Cayman (the largest island) is divided into six districts:

1. George Town (the present capital)
2. East End
3. North Side
4. West Bay
5. Bodden Town (the former capital)
6. Cayman Brac and Little Cayman, combined, form the 6th district of the Sister Islands.

Demographics

Main article: Demographics of the Cayman Islands

The latest population estimate of the Cayman Islands is about 45,000 as of July 2006, representing a mix of more than 100 nationalities. Out of that number, about half are of Caymanian descent. About 60% of the population is of mixed race (mostly mixed African-European). Of the remaining 40%, about half are of European descent and half are of African descent. The islands are almost exclusively Christian, with large number of Presbyterians and Catholics. Caymanians enjoy one of the highest standards of living in the Caribbean. The vast majority of the population resides on Grand Cayman. Cayman Brac is the second most populated with about 1,200 residents, followed by Little Cayman with around 200 permanent residents. [6]

The capital and major city of the Cayman Islands is George Town, which is located on the south west coast of Grand Cayman.

Economy

Main article: Economy of the Cayman Islands

The economy of the Cayman Islands was once centered around turtling. However, this industry began to disappear in the twentieth century and tourism and financial services began to become the economic mainstays during the 1970s. The United States is the Cayman Islands' largest trading partner.

With an average income of around $42,000, Caymanians enjoy the highest standard of living in the Caribbean. According to the CIA World Factbook, the Cayman Islands GDP per capita is the 8th highest in the world.[7] The islands print their own currency, the Cayman Islands Dollar (KYD), which is pegged to the U.S. dollar at a fixed rate of 1 KYD = 1.25 USD. Thus, the C.I. Dollar's rate of exchange with all other world countries is directly tied to the U.S. dollar's rate of exchange with those same countries.

The government's primary source of income is indirect taxation. An import duty of 5% to 20% is levied against goods imported into the islands. Few goods are exempt; notable examples include books, cameras and baby formula. Duty on automobiles is charged on a sliding scale with the duty reaching 100% for expensive models (The Hummer). The government charges a flat licensing fee to financial institutions that operate in the islands.

Tourism

Tourism accounts for 70-75% of the annual GDP of the Cayman Islands. Of the millions of tourists that visit the islands annually, 99% visit Grand Cayman. George Town also serves as a major cruise ship port, which brings in 4,000 to 22,000 tourists a day, five days a week, depending on the number of ships in port.

One of Grand Cayman's (GCM) main attractions is the world-famous Seven Mile Beach on which a number of the island's hotels and resorts are located. Seven Mile Beach is regarded by many as one of the best beaches in the world. Historical sites in GCM such as Pedro St. James Castle in BoddenTown also attract visitors. The Sister Islands - Little Cayman and Cayman Brac - also supply their own unique charm.

The Cayman Islands is regarded as one of the world's best SCUBA diving destinations because of its crystal-clear waters and pristine walls. Cayman Brac and Little Cayman are also elite SCUBA dive destinations. There are several snorkeling locations where tourists can swim with stingrays including the popular Stingray City, Grand Cayman. Divers find two shipwrecks off the shores of Cayman Brac particularly interesting including the MV Keith Tibbetts.

Other Grand Cayman tourist attractions include the ironshore landscape of Hell, the 24- acre marine theme park Boatswain's Beach, also home of the Cayman Turtle Farm, the production of gourmet sea salt, and the Mastic Trail, a hiking trail through the forests in the centre of the island. On Cayman Brac, a lighthouse and a few local museums are tourist draws. Little Cayman's wildlife attracts nature lovers, especially bird watchers in search of the island's Red-footed Booby population.

Art and Culture are other features of the Cayman Islands that attract international attention. The National Museum and National Gallery preserve contemporary and dated art works of local and international talent. A Cultural History Exhibition is displayed within the museum, and teaches patrons about historical customs and traditions native to the Cayman Islands. The Gallery sponsors eight exhibitions every year and is located in the Harbour Place in George Town.

See also: Scuba diving in the Cayman Islands

Financial services industry

The Cayman Islands is widely recognized to be one of the world's leading offshore financial centres.

The Cayman Islands financial services industry encompasses banking, mutual funds, captive insurance, vessel registration, companies and partnerships, trusts, structured finance and the Cayman Islands Stock Exchange. As of December 2005, just over 70,000 companies were incorporated on the Cayman Islands including 430 banking and trust companies, 720 captive insurance firms and more than 7,000 funds.

A recent report released by the International Monetary Fund (IMF) assessing supervision and regulation in the Cayman Islands' banking, insurance and securities industries, as well as its anti-money laundering regime, recognized the jurisdiction's comprehensive regulatory and compliance frameworks. "An extensive program of legislative, rule and guideline development has introduced an increasingly effective system of regulation, both formalising earlier practices and introducing enhanced procedures," noted IMF assessors. The report further stated that "the supervisory system benefits from a well-developed banking infrastructure with an internationally experienced and qualified workforce as well as experienced lawyers, accountants and auditors," adding that, "the overall compliance culture within Cayman is very strong, including the compliance culture related to AML (anti-money laundering) obligations...". The Cayman Islands had previously (briefly) appeared on the FATF Blacklist in 2000, although its listing was thought to be harsh, and was criticised at the time.^[1]

Government

Main article: Politics of the Cayman Islands

The quality of this article or section may be compromised by weasel words. You can help Wikipedia by removing weasel words.

The neutrality of this article is disputed. Please see the discussion on the talk page. Please do not remove this message until the dispute is resolved.

The Cayman Islands are currently a British overseas territory, listed by the UN Special Committee of twenty-four as one of the last non-self governing territories. A fifteen-seat Legislative Assembly is elected by the people every four years to handle domestic affairs. Of the elected Members of the Legislative Assembly (MLAs), five are chosen to serve as government ministers in a cabinet headed by the governor. The head of government is the Leader of Government Business, which is currently The Honourable Kurt Tibbetts.

A Governor is appointed by the British government to represent the monarch. The governor can exercise complete executive authority if they wish through blanket powers reserved to them in the constitution. They must give royal assent to all legislation, which allows them the power to strike down any law the legislature may see fit for the country. In modern times, the governor usually allows the country to be run by the cabinet, and the civil service to be run by the Chief Secretary, who is the Acting Governor when the Governor is not able to discharge his usual duties for one reason or another. The current governor of the Cayman Islands is Stuart Jack and the current Chief Secretary is The Honourable George McCarthy, OBE, JP.

Following the collapse of the Euro Bank Corporation in 2003, constitutional modernisation has become the predominant issue in the Islands' politics. The prosecution in the related trial was forced to reveal that MI6, on behalf of the British government and with the consent of the Governor, had planted moles (and used wire taps) throughout the Islands' banking industry. This caused the trial's collapse and subsequent release of those charged with wrongdoing. The only mole known at the time was allowed to leave the country, never to answer for what he (or the United Kingdom) had done. This infuriated the elected members of the legislative assembly as they maintained that the governor and the United Kingdom had put into question Cayman's reputation as a tightly regulated offshore jurisdiction. Some saw this as the United Kingdom meddling in the territory's affairs to benefit itself (and the EU), at the expense of the islands' economy. However others see this as the EU's decission and that Britain had no say in the matter.

Constitutional talks however went on hold following Hurricane Ivan in 2004. Subsequently, in May 2005, the ruling UDP was ousted by the PPM, which have slowed the constitutional modernisation process to a standstill. Among the points of contention is whether or not the new constitution should include a bill-of-rights.

Taxation

Caymanians and Caymanian companies are not subject to any form of direct taxation. However, an import tax of between 5% and 20% is levied on almost all imported goods.

Education

The Cayman Islands Education Council operates state funded schools on the island, with a Caribbean-oriented education curriculum. Caymanian children are entitled to free primary and secondary education. Various churches and private foundations operate several private schools offering curricula derived from American and UK education systems from kindergarten to twelfth grade. Grand Cayman is also home to St. Matthew's University, which includes a medical school and a school of veterinary medicine.

The Cayman Islands Law School (CILS), a branch of the University of Liverpool in the UK, is also based on Grand Cayman. Situated in George Town, the law school has been in operation since 1982. As taken from the student handbook, "The Law School provides tuition for both full and part-time programmes leading to the Bachelor of Law (Honours) Degree of the University of Liverpool and the qualification of Attorney-at-Law of the Cayman Islands, following successful completion of the postgraduate Professional Practicum Course (PPC)

Grand Cayman is home to University College of the Cayman Islands, the only government run University on the island. The University College is located at 168 Olympic Way in Georgetown, Grand Cayman. The International College of the Cayman Islands which is located in Newlands about seven miles east of George Town. The college was established in 1970 and offers Associate's, Bachelor's and Post Graduate degree programs.

Health Care

The Cayman Islands have a modern health care system. There are two hospitals in George Town, the government run George Town Hospital and the smaller, private Chrissie Tomlinson Memorial Hospital. Additionally, Faith Hospital is a small (eighteen-bed) facility on Cayman Brac. The Government maintains a satellite clinic on Little Cayman.

Health insurance is handled by private insurers and a government-run company (CINICO). There is no universal health coverage as in the UK. All employers are required under Law to provide Health Insurance for their employees (although the employee may be required to contribute 50% of the premium). Full time employees also contribute USD 10 every month to the "Indigent Fund" which helps cover care for the unemployed, elderly etc.

Currently the islands lack facilities for cardiac catheterization, though many feel the population is large enough to support the procedure. Various attempts to establish a cath lab in George Town Hospital have stalled out. Similarly, the Caymans have lacked an MRI since one was destroyed during Hurricane Ivan, however one has since been installed at the Chrissie Tomlinson Memorial Hospital and has been in operation since July 2007.

Work permits

In order to work in the Cayman Islands as a non-citizen, a work permit is required. This involves passing a police background check and a health check. A prospective worker will not be granted a permit if certain medical conditions are present. Nor are work permits issued after age 60.

The Cayman Islands presently imposes a controversial "rollover" policy in relation to expatriate workers who require a work permit. Non-Caymanians are only permitted to reside and work within the Territory for a maximum of seven years (non-renewable) unless they satisfy the criteria of key employees. The policy has been the subject of some controversy within the press,^[2] and concerns have been expressed that in the long term, the policy may damage the pre-eminence of the Cayman Islands as an offshore financial centre by making it difficult to recruit and retain experienced staff from onshore financial centres. Government employees are no longer exempt from this "rollover" policy according to this report in a local newspaper [8]. The Governor has decided to use his constitutional powers, which give him absolute control for the disposition of civil service employees, to determine which expatriate civil servants are dismissed after seven years service and which are not.

This policy is enshrined in the Immigration Law (2003 revision), written by the UDP government, and subsequently enforced by the PPM government. Both governments agree to the term limits on foreign workers, and the majority of Caymanians also agree it is necessary to protect local culture, and heritage from being eroded by a large number of foreigners gaining residency/citizenshp. [9]

Military

Main article: Military of the Cayman Islands

The defence of the Cayman Islands is the responsibility of the United Kingdom. The Islands have their own police force, the Royal Cayman Islands Police Service. Regular off-shore marine patrols are conducted by the RCIP and Grand Cayman is a port of call for the United States Coast Guard.

Foreign relations

Main article: Foreign relations of the Cayman Islands

The foreign relations of the Cayman Islands are largely managed from the United Kingdom, as the islands remain an overseas territory of the UK. However, the Government of the Cayman Islands often resolves important issues with foreign governments alone, without intervention from Britain. Although in its early days, the Cayman Islands' most important relationships were with Britain and Jamaica, in recent years, this has shifted, and they now rely more so on the United States.

Though the Cayman Islands are involved in no major international disputes, they have come under some criticism due to the use of their territory for narcotics trafficking and money laundering. In an attempt to address this, the Government entered into the Narcotics Agreement of 1984 and the Mutual Legal Assistance Treaty of 1986 with the United States, in order to reduce the use of their facilities associated with these activities. In more recent years, they have stepped up the fight against money laundering, by limiting banking secrecy, introducing requirements for customer identification and record keeping, and requiring banks to cooperate with foreign investigators.

Due to their status as an overseas territory of the UK, the Cayman Islands have no representation either on the United Nations, or in most other international organisations. However, the Cayman Islands still participates in some international organisations, being a full member of the Central Development Bank, International Olympic Committee and FIFA, an associate member of Caricom and UNESCO, and a member of a sub-bureau of Interpol.

See also

• The Scout Association of the Cayman Islands
• Cayman Islands national football team
• X107.1 Radio Station in Grand Cayman, Cayman Islands
• Cayman Diving Lodge, Cayman's First and Only Green Resort

Footnotes

References

• Cayman Islands. 2005 CIA World Factbook. Retrieved on 4 July, 2005. Originally from the CIA World Factbook 2000.
• Non-Self-Governing Territories listed by General Assembly in 2002. United Nations Special Committee of 24 on Decolonization. Retrieved on 4 July, 2005.
• Michael Craton and the New History Committee (2003). Founded upon the Seas: A History of the Cayman Islands and Their People. Ian Randle Publishers, Kingston, Jamaica. ISBN 0-9729358-3-5. 
• Roberts, H. H. (1994). Reefs and lagoons of Grand Cayman (in "Monographiae biologicae", ed. Brunt, MA and Davies, JE). Kluwer Academic Publishers, Boston, MA.. ISBN 0-7923-2462-5. 
• Alfredo Zayas y Alfonso, (1914). Lexografía Antillana. El Siglo XX Press, Havana. 

External links

• Cayman Islands travel guide from Wikitravel
• Cayman Islands Government
• Cayman Islands Financial Services
• National Hurricane Committee Cayman Islands Government - Emergency Management. Cayman Islands Government. Retrieved on 2007-08-18.

Geographic locale

Countries and territories of the Caribbean Sovereign states Commonwealth Realms Antigua and Barbuda · Bahamas · Barbados · Grenada · Jamaica · St. Kitts and Nevis · St. Lucia · St. Vincent and the Grenadines Commonwealth republics Dominica · Trinidad and Tobago Other republics Cuba · Dominican Republic · Haiti Dependencies and other territories British Anguilla · British Virgin Islands · Cayman Islands · Montserrat · Turks and Caicos Islands Dutch Aruba · Netherlands Antilles  (Bonaire • Curaçao • Saba • Sint Maarten • Sint Eustatius) French Guadeloupe · Martinique · St. Barthélemy · St. Martin American Puerto Rico · U.S. Virgin Islands States and dependencies of Middle America States  —  Dependencies Anguilla (UK) · Antigua and Barbuda · Aruba (NL) · Bahamas · Barbados · Belize · British Virgin Islands (UK) · Cayman Islands (UK) · Costa Rica · Cuba · Dominica · Dominican Republic · El Salvador · Grenada · Guadeloupe (FR) · Guatemala · Haiti · Honduras · Jamaica · Martinique (FR) · Mexico · Montserrat (UK) · Navassa Island (US) · Netherlands Antilles (NL) · Nicaragua · Panama · Puerto Rico (US) · St. Barthélemy (FR) · St. Kitts and Nevis · St. Lucia · St. Martin (FR) · St. Vincent and the Grenadines · Trinidad and Tobago · Turks and Caicos Islands (UK) · US Virgin Islands (US)

International membership

Caribbean Community (CARICOM) Members Antigua and Barbuda · Bahamas1 · Barbados · Belize · Dominica · Grenada · Guyana · Haiti1 · Jamaica · Montserrat2 · St. Kitts and Nevis · St. Lucia · St. Vincent and the Grenadines · Suriname · Trinidad and Tobago Associate members Anguilla · Bermuda · Cayman Islands · British Virgin Islands · Turks and Caicos Islands Observers Aruba · Colombia · Dominican Republic · Mexico · Netherlands Antilles · Puerto Rico · Venezuela 1 Member of the Community but not of the CARICOM Single Market and Economy (CSME).   2 British overseas territory awaiting entrustment to join the CSME.

UK territories

British overseas territories and crown dependencies Overseas territories Anguilla · Bermuda · British Antarctic Territory · British Indian Ocean Territory ·