Cayman Islands

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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	260 km² (206th) 100.4 sq mi
-	Water (%)	1.6
Population
-	2005 estimate	45,017 (208th)
-	1999 census	0
-	Density	139.5/km² (63rd) 364.2/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 an offshore financial centre and one of the leading tourist scuba diving destinations in the world.^{[citation needed]}

Contents 1 History 2 Geography 3 Districts 4 Demographics 5 Economy 5.1 Tourism 5.2 Financial services industry 6 Government 7 Taxation 8 Education 8.1 Primary and secondary schools 8.2 Colleges and universities 9 Health care 10 Work permits 11 Military 12 Foreign relations 13 See also 14 Footnotes 15 References 16 External links

[edit] History

Main article: History of the Cayman Islands

The Cayman Islands were first sighted by European eyes when Christopher Columbus, on 10 May 1503, encountered them 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 in some areas for months 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 honour 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).^[1] The Cayman Islands currently enjoy one of the highest standards of living in the Caribbean region, aided by thriving tourism and banking industries.

[edit] 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 8,000 feet (2,400 m) 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. They are situated about 400 miles (650 km) south of Miami, 180 miles (300 km) south of Cuba, and 195 miles (315 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 80 miles (130 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's eastern part, 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. There is also the agouti and the Booby Birds on Cayman Brac.

[edit] Districts

Administratively, The Cayman Islands are divided into seven districts:

1. Bodden Town (the former capital)
2. Cayman Brac
3. East End
4. George Town (the present capital)
5. Little Cayman
6. North Side
7. West Bay

[edit] Demographics

Main article: Demographics of the Cayman Islands

The Cayman Islands have more registered businesses than it has people [6]. The latest population estimate of the Cayman Islands is about 50,000 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. [7]

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

[edit] Economy

Main article: Economy of the Cayman Islands

The economy of the Cayman Islands was once centred 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.^{[citation needed]}

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. [8] 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 = 1.2 USD.

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 infant formula. The government charges licensing fees to financial institutions that operate in the islands as well as work permit fees for expatriate employees ranging from around US$500 for a clerk to around US$20,000 for a CEO.

[edit] 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 snorkelling 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 center 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

[edit] Financial services industry

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

The Cayman Islands financial services industry encompasses banking, mutual funds, captive insurance, reinsurance, 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. The government distinguishes between local (or "ordinary" companies), doing business primarily with the local population, and "exempted" companies conducting business primarily with overseas entities.

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.^[2]

[edit] Government

Main article: Politics of the Cayman Islands

The Cayman Islands are 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.

[edit] 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 most imported goods. Import taxes on automobiles ranges from 27.5% to 40% for most vehicles while Hummers are taxed at 100% of their value.

[edit] Education

[edit] Primary and secondary schools

The Cayman Islands Education Department operates state schools. Caymanian children are entitled to free primary and secondary education. Various churches and private foundations operate several private schools that offer American and British based studies starting in nursery to Year 13.

[edit] Colleges and universities

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 (11 km) east of George Town. The college was established in 1970 and offers Associate's, Bachelor's and Post Graduate degree programmes. 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)

The Cayman Islands Civil Service College, a unit of Cayman Islands government organized under the Portfolio of the Civil Service, is also located in Grand Cayman. Co-situated with University College of the Cayman Islands in a building on the south side of the campus, the intent of the CICSC is offer both degree programs and continuing education units of various sorts. Further, the College is planned to develop as a government research centre. It opened in Autumn 2007.

[edit] 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 an 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 catheterisation, 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. The Caymans lacked an MRI after one was destroyed during Hurricane Ivan, but in July 2007 a new unit was installed at the Chrissie Tomlinson Memorial Hospital.

For divers and others in need of hyperbaric oxygen therapy, there is a two-person recompression chamber at George Town Hospital on Grand Cayman, run by Cayman Hyperbaric Services. The same organisation has built a hyperbaric unit at Faith Hospital in Cayman Brac, expected to be operational in January 2008.

[edit] 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. Work permits are not 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,^[3] 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 [9]. 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/citizenship. [10]

[edit] 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.

[edit] 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, a relationship with the United States has developed.

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.

[edit] See also

• 1932 Cuba Hurricane
• Cayman Islands national football team
• The Scout Association of the Cayman Islands

[edit] Footnotes

[edit] 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. 

[edit] 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.
• Cayman Islands entry at The World Factbook

Geographic locale

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International membership

v • d • e 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

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'Dominion' remains Canada's legal title; see Canada's name. 2 Remained a de jure dominion until 1949 (when it became a Canadian province); from 1934 to 1949, Newfoundland was governed by the Commission of Government. Latin America and the Caribbean  17th century 1605-1979  *Saint Lucia 1623-1883  Saint Kitts (*Saint Kitts & Nevis) 1624-1966  *Barbados 1625-1650  Saint Croix 1627-1979  *St. Vincent and the Grenadines 1628-1883  Nevis (*Saint Kitts & Nevis) 1629-1641  St. Andrew and Providence Islands3 since 1632  Montserrat 1632-1860  Antigua(*Antigua & Barbuda) 1643-1860  Bay Islands since 1650  Anguilla 1651-1667  Willoughbyland (Suriname) 1655-1850  Mosquito Coast (protectorate) 1655-1962  *Jamaica since 1666  British Virgin Islands since 1670  Cayman Islands 1670-1973  *Bahamas 1670-1688  St. Andrew and Providence Islands3 1671-1816  Leeward Islands 18th century 1762-1974  *Grenada 1763-1978  Dominica since 1799  Turks and Caicos Islands 19th century 1831-1966  British Guiana (Guyana) 1833-1960  Windward Islands 1833-1960  Leeward Islands 1860-1981  *Antigua and Barbuda 1871-1964  British Honduras (*Belize) 1882-1983  *St. Kitts and Nevis 1889-1962  Trinidad and Tobago 20th century 1958-1962  West Indies Federation 3 Now the San Andrés y Providencia Department of Colombia. Africa  18th century 1792-1961  Sierra Leone 1795-1803  Cape Colony 19th century 1806-1910  Cape Colony 1816-1965  Gambia 1856-1910  Natal 1868-1966  Basutoland (Lesotho) 1874-1957  Gold Coast (Ghana) 1882-1922  Egypt 1884-1966  Bechuanaland (Botswana) 1884-1960  British Somaliland 1887-1897  Zululand 1888-1894  Matabeleland 1890-1980  Southern Rhodesia (Zimbabwe) 1890-1962  Uganda 1890-1963  Zanzibar (Tanzania) 1891-1964  Nyasaland (Malawi) 1891-1907  British Central Africa 1893-1968  Swaziland 1895-1920  British East Africa 1899-1956  Anglo-Egyptian Sudan 20th century 1900-1914  Northern Nigeria 1900-1914  Southern Nigeria 1900-1910  Orange River Colony 1900-1910  Transvaal Colony 1906-1954  Nigeria Colony 1910-1931  South Africa 1911-1964  Northern Rhodesia (Zambia) 1914-1954  Nigeria Protectorate 1915-1931  South West Africa (Namibia) 1919-1960  Cameroons (Cameroon) 4 1920-1963  Kenya 1922-1961  Tanganyika (Tanzania) 4 1954-1960  Nigeria since 1965  British Indian Ocean Territory 4 League of Nations mandate. 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