DOMESTIC POLITICS: Regionally, the countries of the Caribbean Community (Caricom, an organisation of 15 Caribbean nations and dependencies) will continue to enjoy broad political stability in the outlook period. There is a risk of increased volatility as most countries endure deep recessions and unemployment rises. As governments attempt to deal with severe fiscal constraints amid rising levels of public debt, inequality and poverty levels will rise, reversing much of the progress made in the past decade. However, the Economist Intelligence Unit does not expect rising discontent to threaten the region's long democratic tradition; most of the region's governments are expected to serve out their full parliamentary terms, with several others opting for early elections to consolidate their parliamentary positions.

Source: Cayman Islands: Country outlook