Article: Cayman Islands

Highlights and Key Issues

* The financial services sector has started to feel the impact of the global financial crisis. Following several years of double-digit growth, mutual funds slowed to 4.9% growth in 2008 as a whole, including a 4.1% contraction in the fourth quarter. Meanwhile, new company registrations declined by 35.2% in 2008, while the Cayman Islands Stock Exchange fell 9.7%. Worldwide financial conditions remain weak, and the sector is likely to experience a deterioration this year.

* After growing 3.9% in 2008, the number of stay-over arrivals to the Cayman Islands had fallen 12.5% year-to-date by May. Although more than half of visitors come from the US, a strong Canadian ...

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