Cayman Islands delegation optimistic about EU relief aid

Minister Alden McLaughlin

Thursday,  December 8, 2005

GEORGE TOWN, Cayman Islands: Talks on hurricane relief for the Cayman Islands between a Government delegation led by Minister Responsible for International Financial Services Policy Alden McLaughlin and the European Union are moving in a positive direction with the EU confirming that the approval process is well advanced.

In a Monday, 5 December address to the 2005 EU Overseas Countries and Territories (OCTs) Forum in Brussels, at which the European Commissioner for Development and Humanitarian Aid, Mr Louis Michel, was in attendance, Minister McLaughlin outlined the socio-economic vulnerability of island states such as Cayman to natural hazards.

In speaking on this important issue for many OCTs, the Minister highlighted the Cayman Islands’ application for financial aid from the European Economic Commission following damage caused by Hurricane Ivan. 

Mr. McLaughlin pointed out that the application was made since March 2005 and despite diligent follow-up efforts by the Government the Cayman Islands was still awaiting news of approval from the Commission. He expressed disappointment at the delays.

Mr. McLaughlin referred to findings of the UN’s Economic Commission for Latin America and the Caribbean (ECLAC) and spoke of the widespread devastation caused by Hurricane Ivan, particularly to housing stock. The minister said that the Cayman Islands is still very much in need of post-Ivan assistance in this area, despite the fact that the country had displayed tremendous resilience in other sectors. 

In addition to his address at this Forum, held 5-7 December, Minister McLaughlin had separate talks on the progress of the Cayman Islands’ application with key Commission officials, including Mr John Calighirou, Head of Unit in the Commission’s Directorate General for Development, and Mr Gary Quince, Head of Unit in the Directorate General for Humanitarian Aid. 

During this meeting Mr. Calighirou confirmed that the approval process was well advanced and indicated that the delay was due to a need to await advice from the Commission’s Legal Services. The outcome would help to determine the amount that could be awarded to the Cayman Islands. Under normal conditions, there was a cap for emergency aid to OCTs to the tune of € (Euro) 3.6 million (US$4.2 million). 

Mr. Calighirou was positive about the outcome and believed that more aid would be mobilised for the Cayman Islands. He added, however, that the Commission would have to take into account the probability of future requests for emergency funding from OCTs.

He added that EU member states would be consulted on the Cayman Islands application as soon as possible within the first quarter of 2006 and funds should be disbursed quickly after. Mr. Calighirou revealed that the funds would probably be disbursed in one or two instalments. Locally, this would equip the National Recovery Fund to implement re-housing works needed urgently before the start of the next hurricane season. 

Minister McLaughlin was accompanied by Miss Christina Rowlandson, Policy Analyst, Cabinet Office, and Ms Kate Kandiah, Personal Assistant to the UK Representative.

There are 21 Overseas Countries and Territories of the EU, 12 are British Overseas Territories, six are French Overseas Territories, two are Dutch Overseas Countries, and one is a territory of Denmark.

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