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Caribbean Region: Challenges and Opportunities in the 21st Century

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Ramón E. Betances is one of the most important figures in the history of Puerto Rico and the Caribbean independent, called by many “the father of the Puerto Rican homeland.” He was instrumental in the Puerto Rican abolition(of slavery) movement in the 19th century, one of the intellectual leaders of the pro-independence movement and the 1868 rebellion known as the the Lares Uprising (El Grito de Lares), as well as being key in the independence movements of Cuba, Haiti and the Dominican Republic.

Cited in “http://globalvoicesonline.org/2014”

Caribbean Region: Challenges and Opportunities in the 21 st Century

Dr. Sang Sub, Ha GCC-KOLAC and ILAS HUFS(Seoul, S. KOREA)

No quiero colonia, ni con España, ni con los Estados Unidos

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Caribbean Region: CARICOM

Antigua and Barbuda Bahamas

Barbados Belize Dominica Grenada Guyana Haiti Jamaica Montserrat

Saint Kitts and Nevis Saint Lucia

Saint Vincent and the Grenadines Suriname

Trinidad and Tobago

Anguilla Bermuda

British Virgin Islands Cayman Islands

Turks and Caicos Islands Aruba

Colombia Curaçao

Dominican Republic Mexico

Puerto Rico Sint Maarten Venezuela

The Caribbean Community(CARICOM), originally the Caribbean Community and Common Market, was established in 1973. The first four signatories were Barbados, Jamaica, Guyana and Trinidad &Tobago.

CARICOM superseded the 1965–1972 Caribbean Free Trade Association(CARIFTA), which had been organized to provide a continued economic linkage between the English-speaking countries of the Caribbean (after the dissolution of the West Indies Federation in 1962).

the CARICOM Single Market and Economy (CSME) was signed by the CARICOM Heads of Government of the Caribbean Community in 2001 (The Bahamas).

Cited in http://en.wikipedia.org/wiki/File:Location_Caricom.svg The Two interlocking Cs are in the form

of broken links in a chain, symbolizing both unity and the break with colonial past

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Member States of the CARICOM : Population and Economic Level

Cited in http://en.wikipedia.org/wiki/Member_states_of_the_Caribbean_Community

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Building CARICOM: economic, political and cultural meanings toward new development

Since the early of 1970s, this region has tried to change their development strategy from individual country background to community-based development strategy and integrating into an economic community, such as CARICOM(1973).

- Economic expansion with a scale economy toward American and European Market

- Empowering ‘casting- vote’ together in International Politics and their foreign affair with other community - Overcoming the long legacy of colonial experiences in the past homogeneously

- ‘Unity within Diversity’ strategy : newly emerging political and economic bloc(leverage role) between American and European region traditionally, and the Caribbean society(internal) and other world (external) currently.

- However, as an institution, the CARICOM still has many problems: “In sum, Stakeholders are deeply pessimistic about the future of, in particular, CARICOM integration, and see the region burdened by a lack of vision, weak implementation of decisions, mistrust, poor leadership and institutional decline.

Yet most also consider this a matter of grave concern. Indeed, what is striking the breadth and depth of frustration that is held by the Caribbean stakeholder community is that this frustration is proportionally equal to the faith held by most in the imperative of integration”(UWI 2011, pp. 4-5).

Building CARICOM: what for and what limits?

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Low levels of trade with intra regional level and Caribbean neighbors(need to expand to other region and nation, such as CUBA, Central America and Latin America)

CARICOM trade growing ,with Trinidad and Tobago accounting for more than 90% of CARICOM trade with LA –trade concentrated in energy sector.

More critical viewpoints exist such as: “there was a real sense that the optimistic era of Caribbean integration may well have passed just at the time when it is most desperately needed. The difficulties facing the region are no longer simply about competing effectively in a globalizing economy. Rather, they are ‘existential threats’ which bring into question the fundamental viability of Caribbean society itself. Climate change, transnational crime, the decline of regional industries, food security, governance challenges, international diplomacy and so on are problems which can only be effectively addressed by co-ordinated regional responses. Moreover, these problems are becoming increasingly acute in the immediate present; failure to act immediately, decisively and coherently at the regional level could quite conceivably herald the effective decline of Caribbean society as a ‘perfect storm’ of problems gathers on the horizon”(Matthew L. Bishop, et al. 2011, p. 5).

Building CARICOM: what for and what limits?

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- Economic Development Issues: Viewpoint from ECLAC

During the last decades, this region has tried different development models, ranging from industrialization based on imported inputs and technology, to models of structural change which prioritized tourism and other services to open regionalism(CARICOM) which blends regional integration with efforts to encourage the export competitiveness of trades goods and services, “nevertheless, after early gains, a slowdown in productivity growth, limited adjustment in traditional sectors and increasing social problems including crime and violence threaten these development gains”(ECLAC 2012, p. 7)

- Social Security Issues in this region with USA

Because of their geographic location Many Caribbean nations are transit countries for illicit drugs from S.

America and the Caribbean destined for the US and European Market. Currently, of the 15 Countries in this region, The USA identified 4- the Bahamas, the Dominican Republic, Haiti and Jamaica as major drug- producing or drug –transit countries in Sep, 2013 pursuant to annual legislative drug certification requirements. Many other these nations, particularly in the Eastern Caribbean, are also vulnerable to drug trafficking and associated crimes. Homicide rates in several Caribbean Countries have increased in recent years because of gangs and organized crime: the USA developed the ‘Caribbean Basin Security Initiatives(CBSI)’ through a process of dialogue with Caribbean countries with the goal of reducing illicit trafficking, advancing public safety and security and promoting social justice. The US funding for this project from 2010-2014, amounted estimated 327 M US dollars: Maritime and aerial security cooperation, law enforcement capacity building; border/port security and firearms interdiction; justice sector reform;

and crime prevention and at-risk youth(CRS 2014, p. 27).

Caribbean Region:

What Kinds of Challenge for Development in the 21

st

century?

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Caribbean Region: What Kinds of Challenge for Development in the 21st century?

Fostering Trade and Production integration to boost external trade, But How?

-

The fact that so many Caribbean countries are islands makes integration a costlier

process, moreover the disparities among countries in terms of income, population

and the economic structure of their production and export sectors are a cause of

great macroeconomic vulnerability: 1) Public debt burden is heavy(several countries

exceeds 100% of GDP), 2) chronic fiscal deficit

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Capacity: Macroeconomic Vulnerability and Environmental Risk management, How?

- With its high level of exposure to natural disasters notably, such as hurricanes, tropical storms, volcanic eruptions and earthquakes, small islands in this region are also exposed to the risks associated with climate change: public debt often become more onerous in response to extreme weather conditions or natural

disasters(where come from extra-budgetary cost? And who pay that thus aggravating the fiscal deficit in this region)

- Its geography and economic structure also make this region highly vulnerable to local environmental damage: pollution of coastal areas, surface water and

groundwater caused by inadequate waste management.

- Given the size of economies and the minimum efficient scales required for certain solution just as ECLAC suggests: “sub-regional cooperation is all the more necessary, shared ecosystems such as the Caribbean sea cannot be managed without

concerted action for a sustainable approach to sea tariff, coastal tourism and fishing”( 2014, p. 19).

Caribbean Region: What Kinds of Challenge for

Development in the 21st century?

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e.g. Environmental Risk in the Caribbean Region and water security problem and SWOT analysis

Source: Cited in Adrian Cashman(2014), “Water Security and Services in the Caribbean”, Water, 6, pp. 1187-1203.

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Poverty reduction and social protection, human development

- According to ECLAC (2008), “the linkage between poverty, crime and violence is based on two central arguments that (i) crime and violence can retard growth and development and lead to increasing poverty and inequality and (ii) that inequality, relative deprivation and social exclusion contribute to increasing levels of crime and violence much more than the absolute measures of income poverty. This is evident in the Caribbean, where economic growth, while promoting increased opportunities has at the same time created unrealistic expectations leading to high levels of inequality and exclusionary trends. These trends are manifested in high youth unemployment and jobless growth resulting in high crime rates including violent crimes. These high crime rates, in turn, are not only responsible for creating insecurities within the population, but have also inspired migration that depletes social capital and slows down the development process”.

Caribbean governments have addressed the persistence of poverty through the implementation of various poverty reduction policies and strategies, social protection interventions and strategies that supports the improvement of infrastructure, reforms in health, education, and the social safety net for a long time and currently as well. Despite this efforts, poverty remains a problem as new types of poverty are emerging and this continues to undermine the role of the family in the Caribbean as a unit of social cohesion. More specifically, investments have been made in early childhood education in many Caribbean States with a view to reducing crime from early intervention, but the murder rate has been increasing in recent years.

Many social policy experts suggested, for example, Glenn A. Bowen(2007) argued that “ strategies should involve a variety of stakeholders, engaging them in comprehensively broad and versatile programmes to reduce poverty, develop human capital and improve social wellbeing. Strategies should reflect a balanced approach to development – an approach that harmonizes social policies with economic goals; addresses diverse community needs and helps people meet those social, economic, educational and health needs that are fundamental to the maintenance of society. Lastly, strategies should take into account the aspirations and values of people in the context of their lived experiences”(p. 157).

Caribbean Region: What Kinds of Challenge for

Development in the 21st century?

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 Even the concept of multiculturalism and democratic governance developed in the 21st century, race, class and gender hierarchies are a feature of colonial domination in the Caribbean and have left a legacy of social and economic exclusion of the poor.

 Together this matter and furthermore, various complex, interrelated factors have contributed to poverty in the region. These include low or negative economic growth, inappropriate macroeconomic policies, deficiencies in the labor market, low productivity and low wages in the informal sector and a lag in human resource development.

 Consistent with this long term problem, CDB(2007) highlighted “the rising effects of social and economic deficiencies including: high levels of unemployment among the youth, growth in urban poverty and new types of rural poverty and the relationship between crime and poverty as issues of great concern in the region. The issue of poverty manifest in other growing issues that threaten citizen security, which includes: domestic and gender based violence, delinquency, narco-trafficking, human trafficking, movements of small arms, and food insecurity. These issues of citizen security are further complicated by criminal deportees who return to the Caribbean”(cited CDB 2007; ECLAC 2013, p. 15).

Caribbean Region: What Kinds of Challenge for Development

in the 21st century?: overcome old cultural legacy, how?

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The region is to achieve the goal of sustainable development, key factors must be considered both on upgrading traditional sectors and the development of new innovation-intensive sectors that produce high quality, differentiated products and services is required. In this regard, ECLAC identified a few key factors that will need to be addressed in order to support these objectives:

(1) Strengthening Institutions including CARICOM; (2) access to sound finance and reducing deficit; (3) technology and innovation; (4) environment protection especially ocean; (5) labor and training; (6) renewable energy development. Etc.

Enhancing the institutional strength for capacity building in the region: enact legal and regulatory reforms; utilize public-private sector consensus building initiatives; and utilize regional institutional structures to benefit from scale of economy such as CARICOM.

For example, the adoption of national <or regional> systems of innovation, greater institutional support and investment in renewable energy technologies, the implementation of the regional Science and Technology policy, greater support for the creative industries and a regional strategy for adaptation to climate change: “Caribbean governments should focus on strategic measures to carve out and make full use of these resources to address targeted sustainable development problems such as land and coastal erosion, marine pollution and degradation of reefs, clean energy solutions, including at the micro level and integrate environment sustainability into sectors such as tourism, agriculture and industry”(2013, p.55).

Caribbean Region: What Kinds of Challenge for Development in the 21st century?:

Sustainable Development?

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- For more trade and market, this region must enlarge the relationship with neighbor countries such as Cuba and privates sectors seeking to increase markets.

- Enforcing the leadership of CARICOM by creation of unambiguous, coherent, economic and political frameworks to foster greater relations for mutual benefit within member states through a carefully managed process.

- 15 CARICOM states as a leverage to ensure greater voice in international society and attract foreign participation through, international development cooperation, FTA, etc.

- Internally with intra-regional area, community must move from ‘distant cousins’ to more efficient ‘mature partners’ (Mark Kirton 2014).

- For international development cooperation(ODA, programs or projects), community-based approach must be compensated and encouraged. e.g.

10% rule

What Kinds of Challenge or Opportunity for

Development in the 21st century?

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- With participation of Cuba, basically with in Caribbean region it will strength community power with natural neighbors.

- Potentially, one more ‘C’ add up with symbol of speed up ‘decolonization and non-intervention process and making more solidarity and integration for Caribbean region and their future.

- Especially, it is possible to make a better cooperation and development each other for social policy issues, such as health, education and agricultural, sports, culture, etc. (Jacqueline L. Martinez 2014).

- But most important reason why Cuba and CARICON has to have good relationship is making peace and security in Caribbean society and region and also future community related with problem-solving mechanism in the field of international drugs, crime conflict with the USA, and other. and help each other in the part of natural disasters and climate change impacts recognized as common goods in this region with becoming a friendly cousin from now.

CARICOM and Cuba: a new relationship in the

21 st century?

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CDB(2007). Annual Economic Review 2006. Bridgetown: Caribbean Development Bank.

http://www.caribank.org/publications/annual-economic-reviews/annual-economic-review-2006.

ECLAC(2012), “Development Paths in the Caribbean”, LC/CAR/L.401.

ECLAC(2013), “CARIBBEAN FORUM: SHAPING A SUSTAINABLE DEVELOPMENT AGENDA TO ADDRESS THE CARIBBEAN REALITY IN THE TWENTY-FIRST CENTURY”, Sub-regional Headquarters for the Caribbean (LC/CAR/L.400), 4 March 2013.

Jacqueline L. Martinez(2014), “Cuba and CARICOM in the Changing Environment”, “Seminar Analyzing Current Issues in the Changing”, Hemispheric Environment, Guyana, April 11th.

J. F. Hornbeck(2008), “CARICOM: Challenges and Opportunities for Caribbean Economic Integration”, CRS Report for Congress(RL34308).

Glenn A. Bowen(2007), “The challenges of poverty and social welfare in the Caribbean”, International Journal of Social Welfare, 16, pp. 150–158.

Matthew L. Bishop, et al.(2011), ”Caribbean Regional Integration”, A Report by the UWI Institute of International Relations (IIR).

Mark P. Sullivan(2014), “Latin America and the Caribbean: Key Issues for the 113th Congress”, CRS Report(R42956).

Mark Kirton(2014), “Recent Trends in Regional Integration: Challenges and opportunities for CARICOM-Latin American Relations in the 21st Century” , Georgetown, Guyana.

Bibliography

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