Our costs versus the American dollar in recessionary times can’t compete with other tourist destinations. Long term, everyone has their eye on Cuba. People are placing bets on when the government will approve gambling
(not whether or not they’ll approve it – when) versus Cuba opening up to the US and which will happen first. There are obvious capital investments that the Cruise Ship industry will force upon Cayman in terms of docking for without tenders – at the same time the government is desperate for funds for the “imminent budget crisis” – enough to consider direct taxation.

There are some obvious long bets being made on the health of Cayman’s tourist industry based on some drastic changes being made in the near future – if these do pan out – it may be too little, too late. I don’t believe that tourism will die in Cayman but its size relative to years past is certainly in jeopardy.