<DOCUMENT>
<TYPE>EX-99.77B
<SEQUENCE>2
<FILENAME>v123959_ex99-77b.txt
<TEXT>

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM ON INTERNAL CONTROL

To the Board of Directors and Stockholders of
The Herzfeld Caribbean Basin Fund, Inc.

In planning and performing our audit of the financial statements of The Herzfeld
Caribbean Basin Fund, Inc. as of and for the year ended June 30, 2008, in
accordance with the standards of the Public Company Accounting Oversight Board
(United States) (the "PCAOB"), we considered its internal control over financial
reporting, including control activities for safeguarding securities, as a basis
for designing our auditing procedures for the purpose of expressing our opinion
on the financial statements and to comply with the requirements of Form N-SAR,
but not for the purpose of expressing an opinion on the effectiveness of The
Herzfeld Caribbean Basin Fund, Inc.'s internal control over financial reporting.
Accordingly, we express no such opinion.

The management of The Herzfeld Caribbean Basin Fund, Inc. is responsible for
establishing and maintaining effective internal control over financial
reporting. In fulfilling this responsibility, estimates and judgments by
management are required to assess the expected benefits and related costs of
control. A company's internal control over financial reporting is a process
designed to provide reasonable assurance regarding the reliability of financial
reporting and the preparation of financial statements for external purposes in
accordance with generally accepted accounting principles. Such internal control
includes policies and procedures that provide reasonable assurance regarding
prevention or timely detection of unauthorized acquisition, use or disposition
of a company's assets that could have a material effect on the financial
statements.

Because of its inherent limitations, internal control over financial reporting
may not prevent or detect misstatements. Also, projections of any evaluation of
effectiveness to future periods are subject to the risk that controls may become
inadequate because of changes in conditions or that the degree of compliance
with the policies or procedures may deteriorate.

A control deficiency exists when the design or operation of a control does not
allow for management or employees, in the normal course of performing their
assigned functions, to prevent or detect misstatements on a timely basis. A
significant deficiency is a control deficiency, or combination of control
deficiencies, that adversely affects the company's ability to initiate,
authorize, record, process or report external financial data reliably in
accordance with generally accepted accounting principles such that there is more
than a remote likelihood that a misstatement of the company's annual or interim
financial statements that is more than inconsequential will not be prevented or
detected. A material weakness is a significant deficiency, or combination of
significant deficiencies, that results in more than a remote likelihood that a
material misstatement of the annual or interim financial statements will not be
prevented or detected.
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Our consideration of The Herzfeld Caribbean Basin Fund, Inc.'s internal control
over financial reporting was for the limited purpose described in the first
paragraph and would not necessarily disclose all deficiencies in internal
control that might be significant deficiencies or material weaknesses under
standards established by the PCAOB. However, we noted no deficiencies involving
internal control over financial reporting and its operation, including controls
for safeguarding securities, that we consider to be material weaknesses as
defined above as of June 30, 2008.

This report is intended solely for the information and use of management and the
Board of Directors of The Herzfeld Caribbean Basin Fund, Inc. and the Securities
and Exchange Commission and is not intended to be and should not be used by
anyone other than these specified parties.

/s/ ROTHSTEIN, KASS & COMPANY, LLP

San Francisco, California
August 14, 2008
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