Cayman Islands Minister of Tourism Kenneth Bryan said on the For The Record show today, March 13, 2024, that Caribbean economist Marla Dukharan recently published a report unfairly assessing the tourism market. Bryan emphasized that the assessment was unfair because Dukharan’s report did not appear to be based on a complete set of tourism data.
The first point raised by Bryan was Dukharan’s comment on the low contribution of the tourism sector.
Regarding this, it is noted that Dukharan’s report stated that “While we have found no official data published on the revenue generated from Work Permits granted to the tourism sector specifically, the Tourism Accommodation and Cruise Ship Departure charges amount to less than 3% of Government Revenues.”
Bryan described Dukharan’s conclusion as “quite disappointing because the truth is we have not calculated how much we contribute specifically because of the structure upon which we collect data with the Economics and Statistics Office.”
Bryan explained further that “we normally make revenue based on cruise ship passenger fees and accommodation taxes per room, but also we know, like she highlights, she doesn’t have the work permit revenues because [a] majority of our work permits in the Cayman Islands are in the hospitality industry and tourism ministry.”
Bryan concluded that since Dukharan’s report did not include this data to calculate the total contribution of tourism revenues to total Government revenues, “her analysis on the lack of contribution to our government revenues is unfortunately slanted.”
“She accepts that she hasn’t had the relevant data to assume that,” Bryan added.
Dukharan’s report also reportedly contained a comment that “tourism isn’t quite the goose laying the golden egg that many believe it is, and I think it is safe to say that while financial services is producing a bounty of golden eggs, these are really the only solid eggs in Cayman’s basket.”
Bryan appeared to take offence to the statement because, in his words, it implied that tourism isn’t valuable or not as valuable as other sectors.
He explained, “I just am saddened that you leave the country with a tone of trying to say that tourism isn’t as valuable as it is. I’m going to leave that high-level discussion for now, and I intend to respond in a more diplomatic and appropriate, refined way on the floor of the house in the near future.”
Bryan also questioned the motives for Dukharan’s report.
He said:
Who asked her to do it?
Was she paid to do it?
And if she wasn’t paid to do it, why would you do it?”
He continued:
Economists don’t do these things for free.
This is a lot of work, a report like this, a ten page report with conclusions.
Normally a country could potentially pay $100,000, $50,000 for this.
So I find it very hard to believe that she did it for free.
And then if you read the whole report, you can see the tones in it, but the truth will come out eventually.
Regarding these perceived, underlying “tones” in Dukharan’s report, Bryan suggested that Dukharan interfered with Cayman politics.
This is probably because, in Dukharan’s report, the following statement appears:
Because these widely held narratives shape policymaking, Government spending priorities, and ultimately, shape the way the country is governed – who the people of Cayman elect and why. It is especially important in the year ahead of an election, to make sure Caymanians understand how the economy works and what actually are the problems you need to resolve, so you can make the best decisions possible when you head to the polls.
Concerning this, Bryan said:
That’s highly inappropriate to get into our local politics.
Now, I give you credit to say the country should be mindful how you invest and all that, but they’re getting into the politics, undermining the industry and you don’t know the local context like you highlighted earlier.
To emphasize his point further, Bryan added:
Why hasn’t she reached out to our ministry, not even me as a politician?
There’s my chief officer, the technical person involved, who will be there when I’m gone or whether I’m still here or not.
Why didn’t they reach out to say, we want to make sure this information is delivered in an accurate way?
Get as much information as you want.
Bryan has now vowed to address Dukharan’s report in more detail in Parliament.
