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Turks and Caicos Islands (British Overseas Territory)

 Flag of Turks & Caicos Islands


Last reviewed: 24 September 2009

Country information

Map of Turks and Caicos Islands

TURKS AND CAICOS ISLANDS TODAY

Country Facts

Full Name: Turks and Caicos Islands
Status: British Overseas Territory
Area: 430 sq km (193 sq miles)
Population: 36,605 (2008 estimate)
Capital City: Grand Turk
Languages: English, some Creole spoken
Religion(s): Many Christian churches are represented
Currency: US Dollar
Major political parties: Progressive National Party (PNP) and People's Democratic Movement (PDM)
Governor: His Excellency Gordon Wetherell
Premier: Vacant – following the suspension of parts of the TCI constitution, the Governor is responsible for the government of TCI

ECONOMY

Basic economic facts

GDP: US $632 million (2007 provisional estimate)
GDP per head: US $23,768 (2007 provisional estimate)
Annual Growth: 11.2% (2007 provisional estimate)
Inflation: 3.7% (2007 provisional estimate)
Major Industries: Tourism, property development, real estate, international finance and fishing
Major trading partners: US
Exchange rate: UK£1 = US $1.64

Additional information

Total Merchandise Imports: US $580 million (2007)
Total Merchandise Exports: US $16 million (2007)
Traditional Domestic Exports: Lobster US $2.9 million, Conch US $2.7 million (2007 provisional estimate)

In September 2008, the Turks and Caicos Islands were hit in quick succession by Tropical Storm Hanna and Hurricane Ike (a category 4 hurricane).  Tropical Storm Hanna caused widespread flooding, and Hurricane Ike caused severe damage to the islands of Grand Turk, South Caicos and Salt Cay.  A report prepared by the UN Economic Commission for Latin America and the Caribbean (ECLAC)  estimated the total damage at US$213.6 million.

On 27 January 2009, the Governor and the Premier signed a Memorandum of Understanding between the UK and TCI Governments opening the way for disbursements from a £5 million grant from the UK for recovery and reconstruction.  Initial projects funded by the grant are for the provision of hurricane shelters.

HISTORY

Juan Ponce De Leon first discovered these uninhabited islands in 1512. Locals claim that the islands were the first landfall of Christopher Columbus in 1492. For several centuries the islands changed hands between the French, Spanish and British. They remained virtually uninhabited until 1678 when they were settled by a group of Bermudians who started to extract salt and timber. Loyalists established cotton plantations after the American Revolution. But this was short lived. By 1820 the cotton crop had failed and the majority of planters moved on.

The islands became a formal part of the Bahamas in 1799. In 1848 the islanders petitioned for and were granted separate colonial status with an elected Legislative Board and an administrative President. In 1872 the islands were annexed to and became part of Jamaica and remained tied to them until Jamaica became independent in 1962. In 1959 TCI got its own Administrator , but was still under the authority of the Governor of Jamaica until 1962. In 1965 the Governor of the Bahamas also became the Governor of TCI. When the Bahamas became independent in 1973 TCI got their own Governor.

INTERNATIONAL RELATIONS

Historically TCI has had strong links with Jamaica, to which they remained constitutionally tied until well into the twentieth century. There are also strong links with the Bahamas. Foreign investors, mainly from Canada, the UK and the USA play a significant role in the islands’ economic life. More than half of the tourists to TCI come from the US. TCI is an associate member of the Caribbean Community (Caricom).

Relations with the UK

The United Kingdom, through the Governor, is responsible for TCI’s external relations, defence and internal security. Since parts of the Constitution were suspended on 14 August 2009, the Governor is responsible for the government of TCI. In carrying out his functions in this regard, the Governor can be instructed by one of Her Majesty’s Secretaries of State in the United Kingdom. This would normally be the Secretary of State for Foreign and Commonwealth Affairs. The principal point of contact is Overseas Territories Directorate, Foreign and Commonwealth Office (+44 207 008 3596) and Governor’s Office, Government House, Grand Turk (+1 649 946 2308/9).

GEOGRAPHY

The Turks and Caicos Islands (TCI) form the south-eastern extremity of the Bahamas chain and lie 90 miles north of Haiti and the Dominican Republic and 575 miles south-east of Miami (a 75 minute flight from Miami). The territory comprises some 40 islands and cays (pronounced keys) split into two groups by a deep-water channel, with a total land area of 193 square miles. Only six of the islands are permanently inhabited: Grand Turk (where the capital Cockburn Town is situated); Salt Cay; South Caicos; Middle Caicos; North Caicos and Providenciales (known as Provo, where the majority of the tourism and commercial development is). There are a number of exclusive hotel developments and holiday homes on smaller cays. Limited rainfall plus poor soil and a limestone base restrict the possibilities for agricultural development.

The climate is warm throughout the year but tempered by constant trade winds. The average annual temperature is 27C and the rainfall ranges from 21 inches in the eastern islands to 40 inches in the west. The islands are rocky, semi-barren and covered with cacti and thorny acacia trees. Over 30 protected areas have been designated to conserve the delicate ecosystems and wildlife habitats of the creeks, sand flats, lagoons, and marshy wetlands. There are 200 miles of white beaches.

TRADE AND INVESTMENT 

Map of the Turks & Caicos IslandsTrade and Investment with the UK

UK exports: £2.24 million (2006)
UK imports: £0.10 million (2006)

POLITICS

Constitutional Status

On 14 August 2009, the UK Government instructed the Governor to bring into force an Order in Council (S.I. 2009/701) suspending certain provisions of the 2006 TCI Constitution, in particular the provisions relating to the Cabinet, which ceased to exist, and the House of Assembly, which was dissolved and its members’ seats vacated. These bodies were replaced by an Advisory Council and a Consultative Forum respectively, the members of which are appointed by the Governor.  The Governor now exercises executive and legislative functions  acting in his discretion, although he may consult the Advisory Council and the Consultative Forum, but is not bound to follow their advice or recommendations. In carrying out his functions the Governor can be instructed by one of Her Majesty’s Secretaries of State in the United Kingdom.

The Advisory Council consists of the Governor, Deputy Governor, the Chief Executive, the Attorney General and the Permanent Secretary (Finance), together with seven members, currently all Belongers, appointed by the Governor.  The Council gives advice to the Governor on formulating policy and carrying out his functions. It will normally meet every two weeks.

The Consultative Forum consists of the Chief Executive, the Attorney General and the Permanent Secretary (Finance), together with twelve members, currently all Belongers, appointed by the Governor. The Forum will meet when required to discuss legislative matters, policies, and proposals put to it by the Governor and other matters brought to it by its members, and may make recommendations on these to the Governor.  


Recent Politicial Developments


The last general election was in February 2007 when the governing Progressive National Party (PNP) were returned with 60% of the vote and 13 of the 15 seats in the House of Assembly.

On 10 July 2008, the then Governor appointed a Commission of Inquiry to examine whether there was any information that corruption or other serious dishonesty in relation to past and present elected members of the House of Assembly may have taken place since 1 January 2003. The Commissioner was Sir Robin Auld, a former Lord Justice of the Court of Appeal in England and Wales. On 16 March 2009 the Governor published the Commissioner’s interim report (www.tci-inquiry.org) in which the Commissioner stated that the written information and evidence obtained during the Inquiry had provided information pointing to a high probability of systemic corruption or serious dishonesty.  In Sir Robin Auld’s view this, together with clear signs of political amorality and immaturity and of general administrative incompetence, demonstrated a need for urgent suspension in whole or in part of the Constitution and for other legislative and administrative reforms.

In a Written Ministerial Statement on 2 July 2009, the Minister for the Overseas Territories at the FCO informed the House of Commons that on 31 May, Sir Robin Auld had delivered his Final Report to the Governor.  In that report, the Commissioner had confirmed that nothing that had happened since he had submitted his Interim Report had prompted him to change his original view.  His close examination of the information and evidence before the Inquiry had reinforced, not weakened, his conviction of a need for urgent and wide-ranging systemic change.  

On systemic weakness, he confirmed the recommendations in his Interim Report covering: Partial Suspension of the Constitution and Interim Direct Rule; Criminal Sanctions and Civil Recovery; Integrity in Public Life; Crown Land Allocation, Sale and Management; and a New Constitution.  Some recommendations focussed on deterring or preventing corruption and other serious dishonesty, while others looked at the broader constitutional and statutory framework of governance.  He recommended the appointment of an independent expert on the management and allocation of Crown Land as well as strengthening the Governor’s Office and Attorney General’s chambers.

The Commissioner’s Final Report also made preliminary findings, and recommendations including the institution of criminal investigations in relation to former Premier Michael Misick, and four of his former Cabinet ministers (Floyd Hall, McAllister Hanchell, Jeffrey Hall and Lillian Boyce).  It confirmed the recommendation in the Interim Report for the establishment of a Civil and Criminal Recovery Unit and the appointment of a Special Prosecutor.

On 14 August 2009 the Minister instructed the Governor to bring into force the Turks and Caicos Islands Constitution (Interim Amendment) Order 2009. The Order was brought into force after the former Premier, Michael Misick, lost his appeal to the Court of Appeal in London on 12 August challenging the legality of the Order.(press release and redacted version of the Final Report:  www.fco.gov.uk/en/newsroom/latest-news/?view=News&id=20700728).

The Order in Council leaves in place important elements of the Constitution such as the fundamental rights chapter and provisions relating to the Governor, the courts and the public service, while removing the Cabinet, House of Assembly and references to Ministerial and related powers.  Powers and functions previously exercised by Ministers are now exercised by the Governor acting in his discretion, including in relation to public finances, legislation and necessary regulatory reform.  

Cabinet and the House of Assembly will be suspended for an interim period only. This will last no longer than it takes for the necessary reforms to be implemented, and to take effect.  The UK Government has said that  elections should be held by July 2011, if not sooner.


Elections

Prior to the suspension of the Constitution, the next elections would have been due to take place by July 2011.

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