Banking as 25% of Cayman Economy
Recently, Cayman Islands Bankers’ Association (CIBA) has carried out an economic impact study that highlighted the importance of the banking industry to the cayman economy taking into consideration the fact that the banking sector contributes about 25% of the GDP of the Cayman Islands.
The Cayman Islands Financial Services Association (CIFSA), the finance industry promotional body, has endorsed the results of the study on the banking industry in Cayman. The results of the study are important for the protection of the international reputation of the financial services sector of the Cayman Islands.
In accordance with the report, the banking sector contributes to the economy a total of USD 500 million, with USD 407 million of that being direct and USD 93 million – indirect and induced impact.
Mr Eduardo D’Angelo P. Silva, CIFSA Director and CIBA President, says that the banking sector is a central part of the financial sector in Cayman as well as is the most established one. Therefore, it is important to realize how it contributes to the economy quantitatively.
The study revealed that the employment impact of the sector was also essential as it comprised 8% of total employment in Cayman. As to wage and salary related expenditure, it accounted for 62.5% of the total economic impact.
Direct contribution to government revenues was estimated at about 6.4% of the total impact, which is USD 32.2 million.
The study was implemented by StratInfo. Previously, this Miami-based research company has completed an impact study for the Florida International Bankers Association.