Gold standard aviation regulation

Total efficiency, combined with innovation and a personal touch are just some of the reasons the Cayman Islands is a leading choice for aircraft registration

In today’s highly regulated and competitive aviation industry, aircraft owners, financiers, management companies, and legal advisors are constantly in search of jurisdictions that offer not only credibility but also efficiency, stability, and legal robustness.

The Cayman Islands Aircraft Register (CIAR) stands out as a globally respected registry, offering a unique combination of operational flexibility, regulatory integrity, and exceptional client service for aircraft registered in the private/corporate category, limited AOC issuance, and aircraft in transition.

A legacy of safety and excellence

For over 50 years, the CIAR has upheld rigorous standards of safety and compliance, in line with the standards and recommended practices of the International Civil Aviation Organisation (ICAO). This commitment to global mandated standards has positioned the registry as a leader in international aviation, trusted by stakeholders across the globe.

The Civil Aviation Authority of the Cayman Islands (CAACI), established in 1987, is the statutory body responsible for aviation regulatory oversight throughout the Cayman Islands, and for aircraft registered in the Cayman Islands wherever they operate globally. The CAACI fulfils its duties effectively through a developed structure and a team of highly qualified professionals. The authority’s regulatory oversight extends to the licensing of aerodromes, aviation industry personnel, certification of aircraft accepted to the aircraft registry, continuing airworthiness, and associated maintenance organisations. In addition, economic regulatory oversight including issuance of operating permits to foreign carriers operating to the jurisdiction and adherence to bilateral air service agreements.

The CAACI has proven itself as a very attentive and responsive aviation authority by routinely working closely with applicants to assess and complete the registration requirements in order to meet client deadlines. In addition, the authority deploys its highly qualified and experienced airworthiness surveyors and flight operations inspectors to inspect aircraft at their preferred locations globally fulfilling initial and recurrent safety inspection requirements. The CAACI adheres to high regulatory standards and offers excellent, responsive, and efficient service to clients and stakeholders by its dedication to building strong relationships. This has resulted in the CAACI’s positive reputation, gaining respect and recognition within the global aviation industry.

Some of the major benefits of registering your aircraft in the Cayman Islands include:

Bespoke systems to streamline processes

One of the CIAR’s most innovative offerings is VP-C Online, a bespoke electronic document management platform. This system simplifies the entire registration lifecycle, from initial application to ongoing airworthiness certification, through intuitive online smart forms and secure 24/7 access to critical documentation. With its managed services partner – Brac Informatics Centre (BIC), the platform offers SSL encryption and secure, redundant data storage. VP-C Online ensures that client interactions are both seamless and secure, while enhancing compliance.

Client-centric oversight

A key differentiator of the CAACI is its personalised and efficient service model. The authority is known for working closely with clients and stakeholders to meet international mandated standards of the ICAO, while respecting individual registration and financial transaction timelines providing bespoke technical solutions. This high-touch approach fosters lasting relationships and enhances the client experience, all while maintaining the highest regulatory standards.

A stable and compliant jurisdiction

The Cayman Islands offers a politically stable and financially compliant environment, backed by a respected English common law legal system. The Cayman Islands adheres to best practise financial regulatory standards and through compliance demonstrates its commitment to international transparency without compromising client confidentiality, including best practises for anti- money laundering, tax information and international cooperation.

This legal reliability makes the Cayman Islands especially attractive for the incorporation of special purpose vehicles (SPVs) often used in international aircraft financing transactions. The Air Navigation (Overseas Territories) Order (AN(OT)O), a UK statutory instrument, is the enabling aviation legislation coupled with the bespoke regulatory code – the Overseas Territories Aviation Requirements (OTARs) offering regulatory assurance.

Protection of third-party interests: The Cape Town Convention

The Cape Town Convention is an international treaty that aims to standardise transactions involving movable property, such as aircraft. In 2015, the Cayman Islands government passed enabling legislation entitling the Cayman Islands to international recognition as a territorial unit of a contracting state (the UK) to the Cape Town Convention and to recognition of the declarations deposited by the UK government on behalf of the Cayman Islands government with the International Institute for the Unification of Private Law acting as depository pursuant to Article 52(1) of the Cape Town Convention and Article XXXVII(1) of the Protocol – UNIDROIT.

The extension of the Convention to the Cayman Islands does not eliminate the existing local regime of security interest registration as there will be circumstances where the Convention will not apply (for example, where the owner of an aircraft is located in a non-contracting state or the aircraft does not meet the weight qualifications to fall within the Convention). Indeed, some financiers opt for the protections available under the dual mortgage registration regime and make filings relating to mortgages under the Cape Town Convention as well as register the mortgages in the aircraft mortgage register maintained by the CAACI.

Ease of operation into US airspace

Cayman-registered aircraft benefit from exemptions to certain TSA Waiver Authorisation requirements. This exemption provides operators with significant flexibility to schedule or reroute flights into or over U.S. airspace on short notice – an advantage that’s particularly valuable for private and corporate aviation.

Cayman Maritime and Aviation City

For businesses looking to establish a physical footprint in the Cayman Islands, the Cayman Enterprise City’s Maritime & Aviation City offers a special economic zone. This initiative supports aviation service companies in setting up local operations, ranging from air transport and aircraft management to aerospace manufacturing and logistics. This environment not only enhances operational capabilities but also makes it easier to obtain an Air Operator Certificate (AOC), meeting requirements for principal place of business establishment in the jurisdiction.

Whether it’s the stable legal framework, robust international compliance, advanced digital systems, or world-class regulatory support and service, the Cayman Islands continues to attract discerning aviation professionals from around the globe. The Civil Aviation Authority of the Cayman Islands’ commitment to client service, regulatory excellence, and innovation ensures that the Cayman Islands Aircraft Register remains a preferred choice for aircraft registration and financing in today’s global aviation landscape.

Further information – Civil.Aviation@CAACayman.com | CAACayman.com