CSME - some additional information

The CARICOM Single Market and Economy also known as the Caribbean Single Market and Economy or CSME is an integrated development strategy envisioned at the 10th Meeting of the Conference of Heads of Government of the Caribbean Community which took place in July 1989 in Grand Anse, Grenada. The Grand Anse Declaration[1] had three key Features:

1.Deepening economic integration by advancing beyond a common market towards a Single Market and Economy.
2.Widening the membership and thereby expanding the economic mass of the Caribbean Community (eg. Suriname and Haiti were admitted as full members in 1995 and 2002 respectively).
3.Progressive insertion of the region into the global trading and economic system by strengthening trading links with non-traditional partners.
A precursor to CARICOM and its CSME was the Caribbean Free Trade Agreement, formed in 1965 anSingle Market and Economy
The CSME will be implemented through a number of phases, the first being the CARICOM Single Market (CSM). The CSM was initially implemented on January 1, 2006 with the signing of the document for its implementation by six original member states. As of July 3, 2006, it now has 12 members. Although the Caribbean Single Market and Economy (CSME) has been established, it is only expected to be fully implemented in 2008. This will be achieved with the harmonization of economic policy, and possibly a single currency.[2]

At the eighteenth Inter-Sessional CARICOM Heads of Government Conference in St. Vincent and the Grenadines from 12-14 February 2007,[3] it was agreed that while the framework for the Single Economy would be on target for 2008, the recommendations of a report on the CSME for the phased implementation of the Single Economy would be accepted.[4] The Single Economy is now expected to be implemented in two phases.

Phase 1 is to take place between 2008 and 2009[4] with the consolidation of the Single Market and the initiation of the Single Economy. Its main elements would include:

The outline of the Development Vision and the Regional Development Strategy
The extension of categories of free movement of labour and the streamlining of existing procedures, including contingent rights
Full implementation of free movement of service providers, with streamlined procedures
Implementation of Legal status (i.e. legal entrenchment) for the CARICOM Charter for Civil Society
Establishment and commencement of operations of the Regional Development Fund
Approval of the CARICOM Investment Regime and CARICOM Financial Services Agreement, to come into effect by January 1, 2009
Establishment of the Regional Stock Exchange
Implementation of the provisions the Rose Hall Declaration on Governance and Mature Regionalism, including:
The automatic application of decisions of the Conference of Heads of Government at the national level in certain defined areas.
The creation of a CARICOM Commission with Executive Authority in the implementation of decisions in certain defined areas.
The automatic generation of resources to fund regional institutions.
The strengthening of the role of the Assembly of Caribbean Community Parliamentarians.
Further technical work, in collaboration with stakeholders, on regional policy frameworks for energy, agriculture, sustainable tourism, agro-tourism, transport, new export services and small and medium enterprises.
During Phase 1 it is also expected that by January 1, 2009, there would be:

Negotiation and political approval of the Protocol on Enhanced Monetary Cooperation
Agreement among Central Banks on common CARICOM currency numeraire
Detailed technical work on the harmonisation of taxation regimes and fiscal incentives (to commence on January 1, 2009).[5]
Phase 2 is to take place between 2010 and 2015[4] and consists of the consolidation and completion of the Single Economy. It is expected that decisions taken during Phase 1 would be implemented within this time period, although the details will depend on the technical work, consultations and decisions that would have been taken. Phase 2 will include:

Harmonisation of taxation systems, incentives and the financial and regulatory environment
Implementation of common policies in agriculture, energy-related industries, transport, small and medium enterprises, sustainable tourism and agro-tourism
Implementation of the Regional Competition Policy and Regional Intellectual Property Regime
Harmonisation of fiscal and monetary policies
Implementation of a CARICOM Monetary Union.[5]
[edit] Member States

CARICOM members part of CSM
CARICOM members not part of CSME
CARICOM associate membersCurrent 12 full members of both CARICOM and the CSME:

Antigua and Barbuda
Barbados
Belize
Dominica
Grenada
Guyana
Jamaica
Saint Kitts and Nevis
Saint Lucia
Saint Vincent and the Grenadines
Suriname
Trinidad and Tobago
Of the 12 members expected to join the CSME, Barbados, Belize, Guyana, Jamaica, Suriname and Trinidad and Tobago were the first six to implement the CARICOM Single Market (CSM) on January 1, 2006.[6] Antigua and Barbuda, Dominica, Grenada, St. Kitts and Nevis, St. Lucia and St. Vincent and the Grenadines were the next batch of members (six in all) that joined the CSM on July 3, 2006 at the recent CARICOM Heads of Government Conference.[7]

Current full members of CARICOM and signatory for the CSME:

Montserrat
Montserrat is currently awaiting entrustment (approval) of the United Kingdom with regards to the Revised Treaty of Chaguaramas in order to participate.[8]

Current full members of CARICOM but not the CSME:

Bahamas
Haiti
Haiti has not completed its accession to the Revised Treaty of Chaguaramas and is therefore not a participant in the Single Market and Economy.

Current 5 associate members of CARICOM but not the CSME:

British Virgin Islands (July 1991)
Turks and Caicos Islands (July 1991)
Anguilla (July 1999)
Cayman Islands (16 May 2002)
Bermuda (2 July 2003)
Current 7 observing members of CARICOM but not the CSME:

Aruba
Colombia
Dominican Republic
Mexico
Netherlands Antilles
Puerto Rico
Venezuelad dissolved in 1973.