The Fed’s big December decision and what it means for Cayman
In Cayman, we don’t get a vote at the Federal Reserve’s policy meetings, but we definitely feel the consequences.
When the US Federal Reserve raises or cuts interest rates, the effects ripple far beyond Washington. Because the Cayman Islands dollar is pegged to the US dollar at a fixed rate, Cayman effectively imports US monetary policy. Local banks adjust their base lending rates – the foundation for mortgages, car loans, business financing and credit – based on what the Fed decides. For a more complete summary of the story, please see the below link:
Published on: Dec 05, 2025 03:11 PM