What type of government structure does the Cayman Islands possess?

The Cayman Islands possesses a unitary system of government, which is characterized by a central authority that holds the primary power, with any administrative divisions (like local governments) deriving their authority from that central body rather than having their own constitutionally defined powers. In the case of the Cayman Islands, governance is primarily centralized under the Governor appointed by the United Kingdom, coupled with a legislative assembly that handles local matters.

This unitary structure allows for more streamlined decision-making, as the central government can enforce uniform policies and laws across the islands. While the local legislature has authority over various local matters, the ultimate control and sovereignty rest with the central government, reflecting the relationship between the Cayman Islands and the UK.

In contrast, a federal system divides power between a central government and various regional governments, allowing regions some degree of autonomy, which is not applicable in the Cayman context. Confederations involve an alliance of sovereign states that delegate certain powers to a central authority, usually for specific purposes, but the Cayman Islands does not operate under such a system. While the governance is overseen by a constitutional monarchy due to its status as a British Overseas Territory, the key structure of governance remains unitary.