Author(s): Chico Harlan Carolyn Van Houten

This Caribbean nation is preparing for the ravages of climate change by selling citizenship

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Dominica is using revenue from its citizenship-by-investment program to fund its ambitious plans to become more resilient against hurricanes in the Caribbean.

After a Category 5 hurricane barreled through seven years ago, dumping 23 inches of water, shearing the roofs from homes, this Caribbean nation vowed to rebuild. To fund that expensive mission, it has leaned on an unconventional gusher of cash: selling passports.

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Dominica's program of selling citizenship goes back to the 1990s. But the program - mushrooming in size just before Hurricane Maria struck - has since outgrown the entire domestic tax base, becoming the primary source of national revenue. With citizenship money, Dominica has funded everything from new medical clinics to rent-free residential complexes for people whose homes were destroyed by the hurricane.

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But while such a move might seem liberating, it has sparked concerns - both in foreign capitals and at home - about transparency, security risks and whether a small country should be using such a strategy to attract money. Even after the government recently doubled the price, to a minimum of $200,000, it remains one of the most affordable citizenship options in the world. Few recipients choose to live in Dominica, a palm- and fern-covered island of 71,000 people that, beyond its capital, resembles a Jurassic Park movie set.

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Dominica has filled the gap by using the passport money to address its most urgent needs - most notably housing. So far, Dominica has funded 2,000 homes in more than a half-dozen spots across the island that it describes as more "resilient" than those that stood before. The people living in these residential complexes tend to have stories of barely surviving. They saw walls topple. Refrigerators shake free and tumble into bedrooms. Diplomas and photos sail into the sky.

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Country and region Dominica

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