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EU and US Demands of Caribbean CIPs Are Like “Chasing A Moving Target” · IMI Podcasts

• 0:00
  SPEAKER_00: Caribbean citizenship by investment programs or the CIPs have become indispensable economic engines for the region's small island economies, yet face escalating scrutiny from Western powers applying standards that experts describe as inconsistent and ever changing.
• 0:20
  SPEAKER_00: The CIPs now operate under constant pressure from the European Union and the United States despite implementing comprehensive reforms.
• 0:29
  SPEAKER_00: Caribbean governments have responded with enhanced due diligence measures, information sharing protocols, and post-citizenship monitoring.
• 0:38
  SPEAKER_00: But that has seemingly not been enough to curtail the scrutiny.
• 0:42
  SPEAKER_00: At IMI Connect Athens, Daisy Joseph Andor, partner at Joseph Rowe and a licensed agent in Grenada and St.
• 0:49
  SPEAKER_00: Kitts stressed the enduring value of these programs while highlighting how the Eastern Caribbean's governments have responded to constant political pressure.
• 1:00
  SPEAKER_00: Despite their resilience, the potential revocation of the Caribbean states' visa-free travel to the Schengen area is a looming threat that makes Andall very concerned.
• 1:12
  SPEAKER_00: She cautioned against sudden policy shifts that would impact the program's transformative impact on the economies of the small Caribbean islands and their pursuit to be self-sustaining.
• 1:24
  SPEAKER_00: She notes that over the last decade, the CIPs have, quote, supported progress in education, infrastructure, and economic diversification.
• 1:35
  SPEAKER_00: She warns that if the EU revokes visa-free travel, it would send a damaging message to the market.
• 1:42
  SPEAKER_00: However, she maintains that the CIPs will live on, since, quote, even without Schengen visa-free access, the value of the citizenship program stands on its own, end quote.
• 1:54
  SPEAKER_00: Andel argued that while visa-free travel is certainly an attractive feature, it's not the only reason clients pursue Caribbean citizenship.
• 2:03
  SPEAKER_00: She revealed that many of her clients look for safety, stability, and quality of life offered by the islands, not global mobility.
• 2:13
  SPEAKER_00: She said that more of her recent clients have come from countries where their current passports already provide greater mobility than Caribbean ones.
• 2:22
  SPEAKER_00: She notes that for these individuals the appeal lies in having a safe place for themselves and their families amid global geopolitical instability.
• 2:32
  SPEAKER_00: Another big draw, according to Andl, is Caribbean real estate, as she points to the Caribbean property market's history of appreciating in value.
• 2:44
  SPEAKER_00: Andl said that program marketers need to play a bigger role in shifting the negative perceptions of the programs by making mobility less central to the narrative.
• 2:55
  SPEAKER_00: The EU and US have intensified demands, concerns, and interference in the Caribbean CIPs in recent years, calling for stronger measures like information sharing, common vetting standards, and applicant interviews.
• 3:10
  SPEAKER_00: Caribbean nations have implemented these reforms and introduced stringent due diligence processes.
• 3:16
  SPEAKER_00: Yet the EU and US remain skeptical, which Andall called unfair, saying that regional CIPs have gone above and beyond to address these concerns, but the demands keep changing.
• 3:29
  SPEAKER_00: It's like chasing a moving target.
• 3:31
  SPEAKER_00: Andall also said that the safeguards already in place should quiet some concerns of international partners, mentioning the ongoing due diligence unit, which St.
• 3:41
  SPEAKER_00: Kitts and Nevis launched last year to monitor CBI citizens, not just during the application process, but after they've been granted citizenship too.
• 3:52
  SPEAKER_00: The Caribbean, and all added, has done its part.
• 3:55
  SPEAKER_00: It's time for our international partners to acknowledge this.
• 4:10
  SPEAKER_01: It is actually extremely essential to the people, to the progress.
• 4:15
  SPEAKER_01: And if one was to look at the track record over the last 10 years, you would see that it is much more than simply a means of sale of passports, which is what some persons very inaccurately describe it as.
• 4:31
  SPEAKER_01: So that's one aspect.
• 4:33
  SPEAKER_01: I'm hopeful that that message gets across to the international players, the importance, the significance of it, and so that it warrants true consideration before any adverse decision is even contemplated.
• 4:47
  SPEAKER_01: The other aspect is I think that there is a misconception in the market that may have been driven by persons who are ill-informed about the nature and the purpose of the program.
• 5:01
  SPEAKER_01: And I say this in the sense that I think that the Caribbean citizenship by investment programs is much more valuable than the visa-free access that is promoted.
• 5:12
  SPEAKER_01: I think that the programs stand on their own value.
• 5:16
  SPEAKER_01: The islands offer more than mobility.
• 5:20
  SPEAKER_01: The islands are a safe place to live, great quality of life, stable economic situation, stable political situation, great education systems.
• 5:32
  SPEAKER_01: Grenada, you know, has a leading US university, leader in the medical field.
• 5:37
  SPEAKER_01: So there are so many aspects that we know from being internal players in the citizenship by investment programs in the region.
• 5:46
  SPEAKER_01: And I think that the value of the programs are not inextricably tied to visa-free access.
• 5:51
  SPEAKER_01: If visa-free access is removed, it will send a negative message to the market.
• 5:55
  SPEAKER_01: And so, yes, that makes me concerned.
• 5:57
  SPEAKER_01: It sends us a message that international players do not necessarily support these very important efforts by the Caribbean islands to be self-sustaining.
• 6:08
  SPEAKER_01: And so that does concern me.
• 6:11
  SPEAKER_01: However, I do not believe that it is the end all of the program because I do not believe that visa-free access is our most valuable aspect.
• 6:21
  SPEAKER_01: We've all witnessed that the demands are made, the Caribbean reacts, the leaders are doing what they can to allay the fears of our international partners.
• 6:31
  SPEAKER_01: And we have long-standing diplomatic relations, which of course are worth protecting.
• 6:37
  SPEAKER_01: But it cannot be endless.
• 6:39
  SPEAKER_01: The prime ministers have shown an intent and a true will to act together to stabilize these ongoing negotiations.
• 6:52
  SPEAKER_01: And as recently as last week, you know, there were some very strong statements being made jointly at the Caribbean Investment Summit, where, and I applaud the efforts of the prime ministers and the question asked to the room, which included our representatives of the international community, tell us exactly what we need to do that satisfies your requirements.
• 7:20
  SPEAKER_01: Instead of the constant chasing of, we've done this, is this enough?
• 7:25
  SPEAKER_01: We've done that, is this enough?
• 7:26
  SPEAKER_01: And I think that just coming to that realization, please let us have a focused and open discussion on what it is that we can do to allay your concerns, and we do that, and then we move on.
• 7:42
  SPEAKER_01: Because it has been a tough two years, and I think the uncertainty is not good for the market.
• 7:47
  SPEAKER_01: Um, it's certainly not good from where we stand, and we want to offer our clients greater certainty at the same time as the politicians, same time the politicians are having themselves a tough go at it.
• 7:57
  SPEAKER_01: Um, so I think that question what is the final requirement that puts this at rest?
• 8:04
  SPEAKER_01: The Caribbean already has extremely strong due diligence procedures.
• 8:08
  SPEAKER_01: Yes, as in any program, you would find that you cannot predict what somebody will do next.
• 8:13
  SPEAKER_01: So you may grant some someone citizenship and something may come to light subsequently.
• 8:18
  SPEAKER_01: And so in those situations, ongoing due diligence is now a part of the Caribbean program process.
• 8:25
  SPEAKER_01: So not just due diligence done upfront, but continued due diligence on citizens through investment.
• 8:31
  SPEAKER_01: So, you know, there are safeguards being put in place, and so it's now for the EU, for the US, um, for our international partners to say this is enough.
• 8:48
  SPEAKER_00: This episode first appeared as an article by Mustafa Daly on imidaly.com.
• 8:55
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