Hurricane Sandy has caused extensive damage and severe difficulties for communities in its path. However, it is more likely to add to Cuban economic growth than damage it. After the initial cost of providing emergency food and making essential repairs, it will bring in its wake a higher level of economic activity for a period of several years, especially in Cuba’s eastern region, which has long lagged behind the rest of the country. Hurricane Sandy, which struck the south-eastern end of Cuba with extensive flooding and winds of up to 180 km/h on 25 October, caused immense damage. Despite the…

*** GRENADA GOVERNMENT IN UPHILL BATTLE. The ruling National Democratic Congress (NDC) led by Prime Minister Tillman Thomas remains in disarray only months before an election is expected. The NDC government was elected in July 2008 for a maximum five-year mandate, and it is difficult to see how it can overcome its problems even if it were to hang on to the bitter end. Prior to July 2008, the New National Party (NNP) held power for 13 years, and recent opinion polls have suggested that it could win as many as 14 out of 15 seats if an election were…

The latest report from the Planning Institute of Jamaica (PIOJ) shows the economy contracting by 0.6% for the July-September quarter year-on-year. A further contraction of between 0.5%-1.5% year-on-year is now forecast for October-December. Confidence is lacking, and is unlikely to return until the government reaches a new agreement with the International Monetary Fund (IMF). In the goods-producing sector of the economy, the performance was bad across the spectrum but particularly so in Mining & Quarrying, which recorded a 10.4% year-on-year decline. Total bauxite production was down by 7.7%. Even Agriculture, Forestry & Fishing, which has shown good growth all through…

The Turks & Caicos Islands (TCI) have returned to self-government after three years of direct rule from the United Kingdom, but only after a messy general election that is still being challenged. In the meantime, another British Overseas Territory, the Cayman Islands, has been threatened with direct rule and has had to backtrack fast in a dispute with the mother country over good governance. The Progressive National Party (PNP) looked to have been returned to power in the 9 November TCI general election. The suspension of home rule three years earlier had followed the completion of the Sir Robin Auld…

Following his convincing electoral victory in August [RC-12-06], President Danilo Medina of the Partido de la Liberación Dominicana (PLD) has pushed through the first significant measure aimed at addressing one of the major challenges faced by the country: its mounting fiscal deficit. This was inherited from his predecessor, Leonel Fernández (1996-2000; 2004-2012), also of the PLD. While the recent approval of a tough fiscal reform package indicates that the new President enjoys the full political support of his party, the unpopular measure has sparked widespread social protests just three months after the new administration took office. Fernández is largely credited…