Cayman Gov’t set to pump MILLIONS into Airport Expansion Projects

By Rashaed Esson

Staff Writer

#CaymanIslands, June 18, 2023 – The Cayman Islands is in line for new advancements as four airport projects have been unveiled by the Government; approved by Cabinet since 2014 for improving safety, regulatory concerns and promoting tourism growth.

The projects will be carried out on the Owen Roberts International Airport (ORIA), and the Charles Kirkconnell International Airport (CKIA).

For ORIA, KYD$28 million will go towards extending the runway and US$4.7 million will be used to enhance the air traffic control Surveillance, according to Kenneth Bryan, Tourism and Ports Minister.

The air traffic  is controlled manually and so this upgrade will modernize how ORIA manages air traffic.

Additionally, $42 million had been put aside to provide  a new general aviation facility and $1.15 million will be used for undertaking Runway End Safety Area works, commonly known as RESA, at the CKIA.

Bryan expressed the positive impact this is expected to have on tourism, one of the island’s most lucrative industries.

“With up to 25% of the Cayman Islands GDP derived from tourism, extending the runway at ORIA is expected to be a game changer for the island’s tourism industry,” he said.

He further highlighted other economic benefits for the Islands following the success of the projects.

“On completion, these enhancements are expected to deliver significant economic benefits, including increased visitor spending, increased revenues for government, increased airlift into Grand Cayman and improved safety and efficiencies for the Cayman Islands Airports Authority,” he maintained.

In continuation, Bryan said the enhancement and development projects total $76 million, which is indicative of a  “significant and necessary investment” in the Islands’ airport facilities.

“Given the significance of these projects to the country’s long-term economic success, the revenue required to fund the projects will be derived from increasing the terminal fee to five dollars as well as introducing a new airport development fee of $15.00,” he said, adding, “it is important to note that the Airports Authority will not require any funding from the government to complete these projects,” he later added.

The development fee will only be applicable during the construction period, estimated to be from 2024 to 2029 ( 6 years); this is good news as the Airport Authority or the Government will not need to borrow funds to cover the estimated capital and operating expenditure during the projects.