Caribbean Community Information

Grenada:

The original inhabitants of Grenada were the Arawak Indians who were exterminated by the Caribs. Christopher Columbus discovered the island in 1498 during his third voyage to the West Indies and named the island Concepcion in honor of the Virgin Mary. The origin of the name "Grenada" is obscure, it is likely that Spanish sailors renamed the island for the city of Granada. Grenada remained uncolonized for more than 100 years after its discovery mainly because of the fierce Caribs keeping them at bay. In 1609, however, British merchants started a settlement called Megrin Town (on the ridge which overlooks La Sagesse Bay), they were later forced out by the Caribs. In 1650 the French fought and conquered the Caribs and claimed the island. Subsequently, the French governor of Martinique purchased the island and established the first European settlement in St. Georges. In 1672 it became the property of the French crown. After several battles with the Caribs which killed most of them, the French brought in reinforcements from Martinique and defeated the remaining Caribs and those who were left on the island leapt into the sea rather than surrender.

The British invaded the island in 1762 and it was formally ceded to them by the Treaty of Paris in 1763. In 1779, the French recaptured Grenada, but it was handed over to the British in 1783 under the Treaty of Versailles and remained under British rule until its independence in 1974.

During the 18th century, Grenada's economy underwent an important transition. Like much of the West Indies it was originally settled to cultivate sugar which was grown on estates using slave labor. Natural disasters paved the way for the introduction of other crops. In 1782, Sir Joseph Banks, the botanical adviser to King George III, introduced nutmeg to Grenada (which gave it the name the spice island of the West Indies). The island soil was ideal for growing several spices and its location in the Caribbean, which was a closer source of spices for Europe than the Dutch East Indies enabled the island to assume new importance to European traders.

Grenada became part of the British Windward Islands Administration in 1833. The governor of the Windward Islands administered the island for the rest of the colonial period. In 1958, the Windward Islands Administration was dissolved, and Grenada joined the Federation of the West Indies. Grenada was granted full autonomy in 1967 over its internal affairs in March 1967 and it achieved its independence on February 7th 1974. Grenada adopted a modified Westminster parliamentary system based on the British model with a governor general appointed by and representing the British monarchy (head of state) and a prime minister who is both leader of the majority party and the head of government.

Sir Eric Gairy was Grenada's first prime minister. On March 13th 1979, the New Joint Endeavor for Welfare, Education, and Liberation movement (New Jewel Movement) led by Maurice Bishop ousted Sir Eric Gairy in a nearly bloodless coup and established a People's Revolutionary Government (PRG), headed by Maurice Bishop who became prime minister. Sir Gairy at the time was attending a meeting at the United Nations in New York when he was overthrown. Bishops Marxist-Leninist government established close ties with Cuba, the former Soviet Union, and other communist bloc countries.In October 1983, a power struggle within the government led to a bloody coup in which Maurice Bishop and several members of his cabinet were killed by elements of the people's revolutionary army led by his Deputy Prime Minister Bernard Coard. Following a breakdown in civil order the US invaded Grenada on October 25 in response to an appeal from the governor general and at the behest of Dominica Prime Minister Dame Mary Eugenia Charles.

Following this bloody coup, an advisory council named by the governor general administered the country until general elections were held in December 1984. The New National Party (NNP) led by Herbert Blaize won 14 out of 15 seats in free and fair elections and formed a democratic government. Grenada's constitution had been suspended in 1979 by the PRG but it was restored after the 1984 elections.

Basic facts and figures
Capital city: St. George’s
Population: 110,000
Ethnic groups: Africans (the majority), East Indians, Europeans, Arawak/Carib Indian and mixed.
GDP (2006): $519.26 million.
GDP growth rate (2006 est.): 2.1%.
Per capita GDP (2006 est.): $3,854.
Inflation (2005): 3.0%.
Unemployment (2005): 18%.
External Debt (2005): US$389.98 million
Official Development Assistance (ODA) 2006: US$26.81 million
Foreign Direct Investment (2005): US$26.33 million
Workers’ Remittances (2005): US$22.0 million
Human Development Index Rank (1990): 85
Human Development Index Rank (2006): 82