Too Big to Fail?

By Michelle Nurse Last updated Aug 14, 2020

Despite financial hit, cruise leaders say they will come back stronger

The Florida-Caribbean Cruise Association, estimates that countries across the Caribbean have lost around $1 billion in direct economic impact since cruise lines stopped sailing in early March.

(Cayman Compass) For the cruise industry, the coronavirus has been a health emergency, an economic disaster and a public-relations nightmare.

With the US Centers for Disease Control and Prevention maintaining a ban on cruise travel and with many islands, including Grand Cayman, unsure if and when they will allow ships to return, there appears to be no immediate solution on the horizon.

Despite that outlook, industry leaders remain optimistic about the long term future citing the size and resilience of the industry to past shocks including 9/11 and the 2008 financial crisis.

The Royal Caribbean Group recently posted second quarter losses of $1.6 billion. Carnival Corporation reported an adjusted net loss of $2.4 billion for the same period.

Michele Paige, president of the Florida-Caribbean Cruise Association, said it was important for the cruise lines, and the island economies they support, that the industry comes back stronger in the long term.