Moses Kirkconnell Sister islands MLA

A new programme offered only to residents and homeowners both on Cayman Brac and Little Cayman is designed to get people on the right track towards better money management and less debt.

The Sister Islands’ Personal Financial Management Program (PFMP) will be available on the Sister Islands at the Cayman Islands Development Bank (CIDB) from 1 June, and will help clients in today’s difficult financial climate to use their money wisely and, if necessary, consolidate debt.

“This programme will be a wonderful asset to the financial health of Cayman Brac and Little Cayman,” said Sister islands MLA Moses Kirkconnell.

“The financial literacy of older generations has largely been lost, and as the rising price of oil is affecting almost every part of our daily budget, it is essential that our people re-learn the basic skills of money management,” he added.

According to Ralph Lewis, CIDB General Manager, one of the difficulties facing many residents and homeowners is their inability to keep up with their financial commitments, especially during a season of rising prices and a global deteriorating economic climate.

The CIDB, which is first and foremost a developmental institution, has developed this program for clients on the Sister Islands who might benefit from assistance in managing their personal financial affairs and lowering their cost of living.

“In the struggle to manage their financial commitments, consumers sometimes resort to ill-advised borrowing from unregulated sources, or living in unmanageable debt,” Mr Lewis noted.

“These financial pressures can also lead to domestic and family problems. The lack of financial security in a growing number of households cumulatively affects the stability of the national economy.”

CIDB is aiming to help solve this overwhelming problem by introducing a new financial philosophy that, if appropriately embraced, will reap tremendous benefits at both the micro and macro levels.
This philosophy, which has a strong training component, is two-tiered, teaching clients both financial literacy, which is wisdom and caution with money, and debt management.

Financial literacy requires the client to be counseled in ‘budgeting’ as well as ‘wise economic decision-making’ in personal affairs.

Financial literacy also encourages clients to cut back on expenses that can be curtailed, as well as the development of a savings culture - such that clients will be asked to put aside (maybe for the very first time in their working life) a five percent saving of their gross income.

Also under this ‘financial literacy’ category is ‘control’. Control requires additional counseling for clients in differentiating between ‘wants’ and ‘needs’ and the strength to turn away, saying “this is not on my budget”.

For debt management, CIDB will analytically assess clients’ financial situations and will be prepared to make available (to those who qualify) financial assistance in one of several ways, for example restructuring of debt and debt consolidation.

This Personal Financial Management Program has been designed to empower clients to revert to their accustomed quality of life, within a reasonable time frame.

Clients will be helped to learn how to meet their financial obligations without the accustomed stress, while increasing their disposable income, improving their standard of living and developing a savings culture.

“I hope that the people on the Sister Islands will take advantage of this programme to improve their quality of life now and prepare for the future,” said Mr Kirkconnell.

“I’d like to thank the Cayman Islands Development Bank, and especially Ralph Lewis, for preparing this very worthwhile initiative.”

Financial management for entrepreneurs may encompass more than their personal finances.  For many small businesses, personal and business finance is intermingled – a fact that often hides the viability of the business and the degree to which it is subsidized by personal funds.

In addition to the CIDB program that is focused on assisting Caymanians in the Sister Islands with management of their personal finances, the Cayman Islands Investment Bureau (CIIB) is acutely aware of the need that exists for assistance with business financing and budgeting.

The CIIB therefore provides assistance to entrepreneurs to address issues of business finances as part of its one-on-one business advising services, both on Grand Cayman and in the Sister Islands.

For information relating to the terms and conditions, qualifying criteria, application process and response times for the PFMP, please contact Mr Lewis or Patrick Musaib-Ali, Consultant/Head of Credit, during their bi-monthly visits to the Sister Islands.

A representative from the CIDB will be on Cayman Brac 9 and 10 June, and on Cayman Brac and Little Cayman 23 and 25 June. A representative will also be on Cayman Brac 7 and 8 July and on both Sister Islands 21 and 22 July.

The main office of CIDB on Grand Cayman is located at 36B Dr Roy’s Drive, George Town. On the Sister Islands, the CIDB is temporarily located in Kirkconnells’ Commercial Centre in Stake Bay.

Prior arrangements can also be made for clients of Little Cayman during fortnightly stopover visits there. For appointments, phone (345) 949-7511, or fax (345) 949-6168, or email ralph.lewis@gov.ky.