TNAG-1461-FCO40-1987-Future-of-the-Dependent-Territories-Hong-Kong--Gibraltar-and-1986 — Page 120

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

V

CONFIDENTIAL

additional infrastructure requirements.]

It had been hoped that

a proposed aragonite project would provide additional revenue but this appears to have fallen through.

Future Prospects and Action

2.

Even before the recent corruption scandals, which have set back the independence movement by several years, the TCI was some way from being granted independence. An unsuccessful attempt was made to strike a deal in 1979 with the party in power which, in

return for certain aid concessions, agreed to campaign for independence at the 1980 general election. But it reneged on the

agreement when it was seen to be electorally unpopular.

Economically too, despite the success of the Club Med project, the islands are not yet sufficiently secure to feel confident

about independence. After a period of retrenchment, and the

hoped for restoration of good government following the report of

the Constitutional Commission (now expected in late 1986), there

is reason to expect that TCI would respond to a programme of the sort described in paras 26 and 28; and that with further economic

diversification might be ready to seek independence by the year

2000. [? Costs].

CAYMAN ISLANDS

General

Main Imports

Total Imports (1982)

Main Foreign Exchange

Earners

Total Foreign Exchange Earnings

Main Industries

w

-

Foodstuffs, beverages, petroleum

- $132m

- Tourism, service and financial

operations, turtle products

- [ ]

See foreign exchange earners, plus

real estate/construction

Economic

1. The islands have one of the highest standards of living in the Caribbean. The economy, based on tourism and its position since

1966 as a tax haven, attracting the registration of over 17,500

companies, has remained buoyant even during the recent recession.

CONFIDENTIAL

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