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Opening Remarks
Dominance leads to Supremacy
an Apex Predator, an economy must move with speed, precision, and focus— thriving by striking decisively and staying ahead of the chase.
As we have often postulated in this commentary about the state of play on the status of our business and economic sectors over the 19 year life of Business BVI, we strongly believe that the territory remains in need of a sustained progrowth economic agenda, without which we face a future of serious economic stagnation, a future that past generations would find unimaginable. Time for a Bull Run for the BVI economy.
Hard power will never be a realistic dream for the BVI, however soft power in the economic sphere is an area where globally, we have always come in for praise for ‘punching above our weight class’ in both of our primary economic sectors - tourism and financial services. Where did we drop the ball? In our informed view, the BVI economy, with our considerable blessings in tourism and financial services should easily be pushing and supporting a nominal GDP in the range of $4-5B annually. Thus, creating a structure which should afford the people of this territory an opportunity to enjoy a substantial reduction in their annual exposure to taxes. Imagine for a moment, the attendant quality of life bump such a move could generate for all residents of the BVI? Quality of life and happiness metrics should become national objectives of our local economy.
The time is perhaps opportune to turn the page and move the territory forward by aggressively adopting an ‘NVIDIA Philosophy’ - when it comes to marketing our tourism and financial Services products in the global marketplace, steadfastly ensuring that they are positioned at the right end of the market.
The NVIDIA Philosophy states that - ‘the more people and end users of your product and service, the more they become committed to your brand’. And by extension, the more they buy and use those products and services annually. Essentially, you become accustomed to the NVIDIA technology so why migrate to another chipmaker, such a TSMC. The best way to succeed, is to expose the global marketplace to your products or services as quickly as possible.
What does this have to do with our very small speck of the global woods? The critical question should be - are we as a territory prepared and positioned to survive and thrive in this chaotic, multipolar global landscape, where building muscle memory is critical to our very survival? And if not, what must we be doing now, as a territory with a very high dependence on two economic sectors that thrive on peace and reasonable certainty? We are now in a world where strategy, coupled with clearly defined policy objectives matter - irrespective of size.
Over the next decade, our territory will have to confront a regional and global marketplace where our future will be challenged and determined by how well we navigate; the global talent arms race, an economic ecosystem where progress is proportional to our investment, a conundrum where principles are easy to espouse - but the execution is far more difficult, an environment where we must be brand stubborn but agile and where the best place to hide a needle is in a stack of needles. Welcome to multipolar economic disorder. Let the games begin!
Since January 20th, the global economy and the rules based order which have been in place post the second world war, have witnessed what can best be described as ‘whip lash in slow motion’. The connecting tissue which guaranteed stability and economic progress and which globally lifted hundreds of millions out of poverty, is no more. It has been shredded. Cracking the Trump code is the new skill set diplomats must learn and is now the new order of the day, as we witness a parade of nations try their hands at it, many failing in their early attempts. The certainty of America in all things is no more. More and more we now live in a world where governments the world over are seen by their citizens as ‘enablers to their success’ in the business and economic space. But in this new frontier we must be aware that - ‘no battle plan survives the first contact with the enemy.’
Turning our attention to what is still the dominant economy on the planet, many global economic prognosticators have been pleasantly surprised by the resilience to-date of the US economy in the face of tariffs. The US stock markets have remained strong with low unemployment, driven by strong consumer confidence. The one dark cloud on the horizon has been the concern of the Bond Markets with a dreary eye on the nation’s rising longterm debt as reflected in the 5, 10 and 30 year bond rates.
As if on cue, summer has not only brought the heat, it has also witnessed the signs of new cracks which may be appearing in the US economic outlook. These include - upward movement in the unemployment rate, the long awaited concerns about tariffs induced inflation as the retail sector is now passing on more of its bite, job markets have started to weaken, consumers pulling back as their confidence about future outlook dips, with travel and tourism spending facing the early brunt of this change in sentiment. This may very well set the stage for a cut in the Federal Reserve’s Fed Fund rate at their next FOMC meeting in September, giving the President what he has been asking for - a cut in interest rates. Such a cut could also be well timed to help provide a shot in the arm as the BVI head into the winter season, driving more visitors to our shores. Luxury Travel Isn’t Slowing—It’s Getting Smarter. The message?
Luxury travellers aren’t necessarily spending less, but they are asking for more clarity, consistency, and emotional ROI. American Airlines has already done their bit with their announcement of two additional flights from Miami.
At the global level, the Trump immigration policies have done much harm by effectively discouraging overseas visitors to the US from Europe, Asia, Canada, China and LATAM. This at a time when the value of the US Dollar has substantially weakened. This attitudinal change by global travellers will take years to correct and it has potentially afforded another opportunity to destinations such as the BVI to reposition our tourism product in the UK, the EU, LATAM and definitely Canada. This at a time when these visitors are looking for alternate destinations especially during our summer months.
Pivoting to this edition of Business BVI, we engaged three of our leading writers to prognosticate about the Trump administration and how it will affect business and economics at the geopolitical level - in the US, UK/EU and Asia. First up was Ray Wearmouth - The Building Blocks for a new Bloc Era (pp.38), next was Paul Christopher - The Economic Outlook for Asia (pp.42) and Mark Pragnell and Richard Lambert of Pragmatix Advisory - A View from London (pp.32). In this edition we also explored BVI economic growth and constitutional evolution-Empowering Economic growth through Constitutional Evolution in the Virgin Islands (pp.48), The 7 Chicest Luxury Villas at Oil Nut Bay(pp.55), Virgin Gorda has seemingly figured it out, AGAIN! (pp.30), FinTech on the Seas: The Ripple effect Continues (pp.25), Welcome to Biras: North Sound’s Newest Luxury Destination (pp.18) and There is no Place like Home (pp.52)which points out that “85% of the total number of real estate transactions in the last three years were made by Belonger buyers.” And always in high demand - The Outlook for Real Estate (pp.78) a comprehensive sector roundup of what’s happening in the real estate sector in the BVI. A worthy read for anyone acquiring BVI property, be it residential, commercial or a greenfield resort.
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CONTRIBUTORS
Introducing some of the talented individuals whose hard work and creativity helped us to produce this edition.
Natasha J. Chalwell
Reflections the Virgin Islands Tourism Summit (p.76)
“The timing of this summit could not have been more crucial, serving as a platform for stakeholders to gather, deliberate, and chart a course for the sustainable future of our tourism sector. The discussions, insights, and call for collaboration that emerged from this gathering, will undoubtedly shape the trajectory of our industry for years to come. This summit also highlighted the undeniable need for cooperation across all sectors— government, private enterprise, and the local community.” Stated like a pro, Natasha was most gracious in penning her inaugural article for Business BVI, the continuation of which we look forward to in subsequent editions. Since January 2025, Natasha Chalwell has served as Deputy Director of Tourism for the British Virgin Islands Tourist Board & Film Commission. With over 20 years’ experience in tourism marketing, product development, and stakeholder engagement, she is deeply passionate about promoting the BVI, strengthening partnerships, and fostering sustainable, high-value visitor experiences.
Sharon Flax Brutus
Sharon’s Take (p.30)
In this the fourth edition of SHARON’S TAKE - Virgin Gorda has seemingly figured it out, Again. In a reflective mood Sharon says: “I recall sitting in a tourism class at UNLV in the mid-eighties and opening a text book where there were references to tourism and Virgin Gorda….and funny..there I was - a Virgin Gordian…and being proud of us being a tourism front runner…..but not one of my classmates knew where the British Virgin Islands were… much less Virgin Gorda. And here we are 40 years later….with luxury ecotourism being the ingredient that separates us from the others.”
Edward Childs.
The Outlook for Real Estate (p.78)
Edward’s insight into the BVI real estate sector is in a class by itself, standing singularly above the rest. Always well informed, driven by research, analysis and lots of metrics . This sound advice is critical to informing a seller or a purchaser final decision be it residential, investment in a vacation villa or a greenfield development of a top tier resort, marina or private island. For 2025, Edward’s findings show that: “Over eighteen months after the last local election, there is a sense in the BVI that much needed improvements to infrastructure and the economy in general have stalled. The Premier, though, has responded by announcing a $470 million budget for 2025, which is a $22M increase over the previous year’s budget, with recurrent expenditure projected at $407M and a further $60.7M on capital projects. The budget has been boosted by a $100 million loan from CIBC Caribbean, finalised in October 2024.”
Paul Christopher
The Economic Outlook for Asia (p.42)
For an accurate take on the implications for Asia of Trump 2.0, we reached out to an informed and capable pair of hands - Paul Christopher - Senior Partner, Asia- Mourant, Hong Kong. With over a decade of experience advising on the most complex and highprofile offshore work in the Asian market, he tells us that “The likelihood of President Trump revisiting his earlier economic policies suggests there could be significant implications for Asia. Trump 2.0 presents a complex mix of challenges and opportunities for Asia’s economic and financial landscape.” He continued “Asia is not a homogeneous block, more than many regions it is a patchwork of extremely varied countries and jurisdictions. This presents a question on how to approach deal making and investment across the region - using offshore centres like the British Virgin Islands can facilitate diversification of investments into various asset classes and geographies and tap into these growing economies. This can also facilitate financing opportunities notwithstanding the underlying asset and location.”
Marvin E. Flax.
Construction in the BVI: Sector Update and Outlook for 2025 (p.98)
“In October of 2024, the BVI Government announced that it secured a loan of $100 million USD through the Cayman CIBC First Caribbean Bank. The proceeds of this loan will be primarily allocated towards upgrading many
Like an apex predator, an economy must move with speed, precision, and focus—thriving by striking decisively and staying ahead of the chase.
of the territory’s ageing infrastructure. Some of these projects include reconstruction and improvement of the road network, construction of a VI School of Technical Studies building, water network infrastructure and a National Sewerage program in Cane Garden Bay and East End.” Marvin and team OBMI remain the right partners to assess the future direction of what’s taking place in the local Construction Sector, given their deep knowledge of the BVI. OBMI is a global architecture firm widely celebrated for creating distinctive designs for high-end hotels, luxury private residences, and engaging urban areas.
Scott Crawford
Celebrating a Milestone -35 years of Cedar International School (p.26)
Scott Crawford brings 20 years of experience as a head of school and has led Cedar as Director since 2011. He holds a bachelor’s in Policy Analysis from Cornell, an M.Ed in Global Education from Ohio State, and an M.Ed in Education Leadership from Columbia University. A strong believer in international education as a force for change, he has championed Cedar’s Solution Studio and expanded its need-based scholarships to make the school’s IB programs and engaging learning environment accessible to more students. Proud of Cedar’s role in the BVI community, he notes: “Today, Cedar serves over 250 students on a fouracre waterfront campus in Kingstown, minutes from Road Town, with 23 classrooms, science labs, a library, arts spaces, an athletic pitch and court, playgrounds, and a learning support centre.”
Patlian Johnson.
BVI Fast Facts (p.103)
We rely on Patlian for her yeoman’s role of ensuring that our Fast Fact Guide is well researched, current and always well informed. This Guide provides invaluable fingertip information which is especially useful to persons doing research about the BVI from a business perspective or for relocation purposes. Always a critical resource.
Clyde Lettsome
A Tourism Sermon (p.72)
We welcome Clyde Lettsome to the pages of Business BVI with what we have branded a Tourism Sermon, a worthy read if you are engaged in the territory’s dominate economic pillar, the tourism sector. Clyde serves as Vice President of Government Affairs and Human Resources at Oil Nut Bay bringing to the table 28 years local government experience, a most able Permanent Secretary in the Premier’s Office. To the new Ministry of Tourism he was crystal clear when he said “So, you, the members of this newly minted Ministry of Tourism; You represent the industry that keeps us alive. It is up to you and
your Minister to blaze the trail, chart the course, set the standards, do the marketing, train the people; build the infrastructure and ensure the safety of ourselves and our guests. You must also clean and beautify our surroundings, provide the plan, attract and incentivise private sector investments and to borrow from the economists, create the enabling environment that keeps the product refreshed and the industry profitable.”
Mark Pragnell Richard Lambert
A View from London (p.32)
“Global crises often trigger major geopolitical shifts, and the past year may mark the culmination of another such change. The Pandemic accelerated the retreat from globalization and cooperation, already underway since the financial crisis. In many countries, voters rejected solutions to post-Pandemic economic and social challenges proposed by established political leaders. We are increasingly convinced the world is moving toward a ‘bloc economy,’ with widening fissures between nations driven by conflicting economic interests, diverging social values, and competing ideologies.”
As in previous years, we turned to Mark Pragnell and Richard Lambert of Pragmatix Advisory—bringing over 30 years’ experience in macroeconomic consulting and forecasting— for A View from London on this ‘slow-motion whiplash.’ Pragmatix has worked with island governments, promotional bodies, and businesses, leading seminal research that explains and quantifies the value of International Finance Centres, including BVI.
Ingrid A. Moses-Scatliffe
Empowering Economic Growth Through Constitutional Evolution in the Virgin Islands (p.48)
As a Business Magazine, we wanted to explore what constitutional advancement could mean for the Territory’s economic growth, and turned to Ingrid A. Moses-Scatliffe—accomplished attorney-at-law and former Speaker of the House of Assembly (2011–2019). Now a partner at international firm Travers Thorp Alberga, she brings over 15 years of legal expertise and holds an LLM from City University London. In her article, Ingrid shows that “Constitutional reform has historically been a catalyst for economic growth in the Virgin Islands. The 1967 Constitution enabled the rise of tourism and financial services, now the backbone of the economy. The establishment of the Financial Services Commission (FSC) exemplifies governance reform’s impact. By safeguarding the Territory’s reputation as a world-class financial centre, the FSC has sustained government revenue and created opportunities for Virgin Islanders. Today, the Territory has an annual budget of over $450M, with 60 percent coming directly from financial services.”
Rushton Skinner
Nanny Cay plans Major Expansion (p.70)
We turn to Rushton Skinner, the Web Editor at The BVI Beacon for an update on Nanny Cay’s much anticipated expansion the where he informs our readership that “The project is part of Nanny Cay’s plans to expand further into the super-yacht industry. Besides the new 112-slip marina, the expansion would facilitate repair and dry-docking for such boats by adding a new boatyard and a 200-ton haul-out facility accommodating vessels as large as 120 by 43 feet. To help accommodate and shelter the new marina, a breakwater would be constructed, and the navigation channel into Hannah Bay would be realigned. The project would create an additional 4.6 acres of land including 48 new parking spaces. For special events, the expanded dry dock storage yard would be able to accommodate as many as 180 vehicles when not occupied by vessels.”
Lucienne Smith
There is No Place like Home (p.52)
To highlight the critical role of Belongers—those granted status by birth, descent, or government recognition—in shaping the Territory’s real estate landscape, we turned to Lucienne Smith of Red Coral Properties. With her deep experience, she underscores this quiet but powerful influence, noting: “Tourism drives nearly 50% of GDP and the 2024/25 season was the busiest in a decade. Daily flights from Miami, soon up to six per day, along with the planned airport expansion and new ferry terminals, will fuel visitor growth. Accommodation and commercial mix will be key. Belongers are seizing these opportunities by investing in properties that offer both affordable and luxury villa rentals, supported by platforms like Airbnb and VRBO. Investment has also extended to commercial stock—retail, restaurants, and offices are proving steady, credible revenue streams.”
Ray Wearmouth
The Building Blocks for a new Bloc Era (p.38)
“A cold, hard look at McKinsey ten years on confirms what we already knew: our planning and strategy are strong, but weak execution holds us back against peer financial centres. We’re not alone—G19 countries face similar challenges—but some direct competitors have made greater progress over the same period. So the ‘in fairness’ excuse doesn’t cut it. To thrive and sustain, we must at least keep pace with them, and ideally push toward leadership.” This direct quote comes from our Building Blocks for a New Bloc Era article. Once again, we turned to Ray Wearmouth for his sage insight, despite his retirement. Ray needs no introduction—a must read.
The Gallery
SUNDARA SPA + STUDIO
Oil Nut Bay’s highly anticipated Sundara Spa + Studio is now open and is an oasis of tranquility and relaxation. Sundara, the Sanskrit word for beauty, was designed to take advantage of the water, wind and sun and is set over the turquoise waters at Oil Nut Bay. The space will feature a flexible studio for yoga, Pilates, guided meditation, and wellness-centric social gatherings. Two treatment rooms encompassed by glass and underwater windows will be dedicated to massage, stretch, skin treatments and infrared therapy, with two additional treatment rooms for hair and nail services. Sundara will be the perfect retreat for homeowners and guests looking to unwind, delivering a peaceful sanctuary where relaxation and renewal are the focus.
On the eastern end of Virgin Gorda in the British Virgin Islands, located on 400 acres of land surrounded on three sides by turquoise water, Oil Nut Bay has been a tranquil respite since its opening a decade ago. The only thing it was missing was a spa, particularly noticeable as wellness travel began to zoom in travellers’ interests the last few years. So this year, enter Sundara Spa + Studio, a centre of healing and restorative experiences situated for extra relaxation, overwater.
Sundara Spa + Studio treatments include massages utilising a mixture of orange, clove, ginger and seaweed, or emulating the movements of the sea to relieve muscular tension; a seaweed leaf wrap to soften and nourish the skin and skin renewal facials. Wellness rituals include yoga and sound healing. Starting in October, a four-day ritual will become part of the treatment menu including body wraps, massages and skin renewal facials all involving seaweed. The intended results: returning the guest to the real world in a state of relaxation, even more than the resort would produce on its own.
www.oilnutbay.com/spa
For those seeking a home in paradise, the ultimate blend of contemporary luxury and island charm. These nine stunning villas, ranging from two to four bedrooms, are designed for discerning homeowners who crave privacy, elegance, and access to world-class amenities.
Set against the tranquil backdrop of North Sound, each villa is carefully crafted to provide a seamless connection with the surrounding natural beauty while offering every modern convenience imaginable.
Opening this May, Biras Marina is set to become North Sound’s premier haven for relaxation, exploration, and luxury. Nestled in the most upscale and serene natural harbor in the British Virgin Islands, the brand-new marina is designed to offer an unforgettable experience for, mega yachts, boaters, travelers, and island enthusiasts alike.
Dining & Delights
The Mangrove. Experience casual al fresco dining at The Mangrove, where stunning sea views, refreshing breezes, and contemporary coastal decor set the stage for an exceptional meal. Relax in our covered lounge spaces and indulge in fresh seafood, island flavors, and mixologist-crafted cocktails.
The Coffee Shop & Bakery. Start your day with freshly brewed coffee, made-to-order fruit beverages, and an array of daily baked bread and pastries—all served in a lush garden setting. It’s the perfect spot for a laid-back morning or an afternoon treat.
Shopping & Provisioning
Whether you’re provisioning for a day at sea or searching for the perfect island-inspired gift, our boutique stores have you covered.
Provisions Store: Stock up on gourmet deli items, imported delicacies, wines, spirits, and fresh local produce from the Biras farm.
Island Boutique: Discover fashionable wearables, curated gifts, and locally crafted items to commemorate your stay or add comfort.
Lifestyle & Amenities
Living at Biras Marina means more than just owning a beautiful home— it’s about embracing a lifestyle. With direct access to the marina and its greater resort offerings, villa owners can enjoy the best of island life at their doorstep. Spend your mornings paddleboarding through calm waters, afternoons lounging at The Mangrove or Ikigai, and evenings savoring cocktails while watching the sunset over the harbor.
Villa Highlights:
Spacious Layouts: Designed with comfort and style in mind, each villa offers open-concept living spaces, large windows, and expansive outdoor terraces that maximize light and ocean views.
Elegant Interiors: Thoughtfully curated interiors feature premium finishes, natural materials, and a neutral color palette inspired by the sea and sky.
Private Outdoor Living: Enjoy al fresco dining on your private terrace or unwind by the pool while taking in the panoramic views of North Sound’s calm waters.
Turnkey Convenience: Available as fully furnished, move-in-ready homes or as customizable spaces for a more personalized touch.
Secretary - Ministry of Tourism and Culture
Ms. Sasha D.A. Flax has been appointed as an Assistant Secretary in the Ministry of Tourism, Culture, and Sustainable Development (MTC&SD) effective September 9, 2024. Prior to her appointment, Ms. Flax served as Private Secretary to the Deputy Governor in the Deputy Governor’s Office from May 2023 to August 2024. With her extensive experience in tourism, leadership, and community engagement, Ms. Flax’s background makes her uniquely qualified his critical role in shaping the future of the territory’s tourism.
Ms. Flax also served as the Sister Island Programme Coordinator in the Deputy Governor’s Office for 4 years and in that role she was a driving force behind various public relations, communications, and development initiatives aimed at enhancing community resilience and stakeholder engagement on the sister islands of Virgin Gorda, Anegada, and Jost van Dyke. That work involved constant dialogue with government officials including elected representatives, community members, and key stakeholders, identifying areas of improvement, coordinating interventions, and leading island-specific development projects. Prior to her Sister Island role, Ms. Flax was the Business Development Manager at the Department of Trade from January 2017 to February 2019.
The new Assistant Secretary in the MTC&SD brings substantial private sector tourism experience to the position, having served as Operations Manager of The Rock Café, Club Ecstasy, and The Tree House Restaurant and is a graduate of Johnson & Wales University, where she earned a Bachelor of Science Degree in Travel-Tourism & Hospitality Management.
Her community engagement Included coordinating events such as Christmas in Spanish Town and the Virgin Gorda Easter Festival which she chaired from 2014 to 2017. She also served as President of the Civil Service Association since 2019.
Premier Dr. the Hon Natalio D. Wheatley (R7) serves as Minister of Tourism with Mr. Joseph Smith-Abbott as Permanent Secretary.
Ikigai BVI: A Culinary Journey of Japanese Elegance and Caribbean Soul
Where Tradition Meets Innovation
Nestled in the heart of Biras in the North Sound, in the British Virgin Islands, Ikigai BVI offers a dining experience that’s as vibrant and diverse as the waters that surround it. Inspired by the Japanese concept of ikigai—the reason for being—this restaurant is a celebration of harmony, balance, and culinary artistry. Blending the precision and tradition of Japanese cuisine with the bold, tropical flavors of the Caribbean, Ikigai is redefining what it means to dine in paradise.
At Ikigai, every dish is a thoughtful fusion of heritage and creativity. The menu pays homage to Japanese culinary traditions while embracing the freshness and exuberance of the Caribbean. The result? A dynamic selection of dishes that are at once familiar and delightfully unexpected.
Sushi lovers will find the staples they crave—fresh sashimi, delicate nigiri, and expertly rolled maki—prepared with the highest quality ingredients. But the real magic lies in Ikigai’s reimagined offerings, where local flavors and Japanese techniques come together in surprising ways. Imagine tuna tataki with a mango-ginger glaze, or crispy tempura paired with Caribbean spices and island-grown herbs.
A Feast for the Senses
The experience at Ikigai goes beyond the plate. Each dish is meticulously crafted to be as visually stunning as it is delicious. The restaurant’s ambiance reflects this same dedication to balance and beauty, with minimalist Japaneseinspired design elements softened by natural materials found locally such as rock walls and foliage. The outdoor seating for up to 50 diners offers breathtaking views of the surrounding landscape and sunset, while the indoor dining space seats 12 and exudes understated elegance in an omakasestyle setting.
Whether you’re enjoying a fresh yuzu-dressed salads from farm or line-caught tuna, or indulging in a multi-course dinner paired with sake or rum cocktails, Ikigai is a feast for all the senses.
Signature Dishes to Savor
Branzino Tartar: Green apple, celery, truffle oil, red onion hazelnuts
Ribeye Tataki: New Zeland angus, fried garlic, red apple sauce.
Ikigai’s bar program is equally ambitious, offering a curated selection of sake, Japanese whiskey, and island-inspired cocktails. Sip on a Yuzu Mojito, savor a glass of plum wine, or venture into the wine cellar and choose your own bottle of wine for the ocassion from the ample world class selection.
Finding Your Culinary Ikigai
In every bite, Ikigai BVI reflects its namesake philosophy: the pursuit of joy, balance, and purpose. Whether you’re a dedicated sushi aficionado, an adventurous foodie, or simply someone seeking an unforgettable meal in a beautiful setting, Ikigai promises to deliver an experience that will linger in your memory long after the last bite.
Discover your ikigai—your reason for being—through flavors that connect two distant worlds in one extraordinary place.
Engel & Völkers enters British Virgin Islands
The global luxury real estate brand continues expansion with a new shop in the ‘sailing capital of the world’
Renowned global luxury real estate brand Engel & Völkers announces its strategic expansion into the coveted destination of the British Virgin Islands, reinforcing its commitment to delivering unparalleled luxury real estate experiences worldwide.
Leading this venture is Mark H. Vanterpool, a prominent businessman and retired Legislator and Minister of the government of the Virgin Islands. Founder of K-Mark’s Foods (1996) Limited known as Onemart Superstores, this business has been one of the territory’s leading food service providers for hotels, yacht provisioning, and groceries since 1986. In 2015, Vanterpool established an independent luxury real estate firm. Under the Engel & Völkers brand, he and his team will extend their exceptional services to clients across the British Virgin Islands, catering to the unique needs of residents and international investors alike.
Engel & Völkers British Virgin Islands serves neighborhoods across Tortola, Virgin Gorda, Anegada, Jost Van Dyke, Great Camanoe, and private residences nestled on the small sister-islands. Located at 145 Main Street, Road Town, the shop is located in the British Virgin Islands’ shopping district that attracts numerous local patrons and tourists.
“Engel & Völkers has established itself as a globally recognized brand
synonymous with luxury real estate experiences,” said Stuart Siegel president and CEO, Engel & Völkers Americas. “Our expansion into the British Virgin Islands represents an exciting opportunity to bring this distinguished level of service to a new and discerning clientele looking to build their investment portfolios in the Sailing Capital of the Caribbean. We anticipate that our commitment to guiding clients through every step of their real estate journey, coupled with Engel & Völkers’ global network and resources, will resonate exceptionally well in this vibrant market.”
While the British Virgin Islands is known for its breathtaking natural beauty consisting of stunning islands and white sandy beaches, its rapidly growing financial centre and significant incentives make it an attractive destination for homebuyers and investors. The area has always experienced an influx of second-home seekers looking to escape the harsh winters of colder climates.
“Backed by the global prestige and excellence of the Engel & Völkers brand, we are dedicated to contributing our expertise to redefine the standards of luxury real estate in the region,” said Vanterpool. “Our real estate professionals now have access to the array of innovative tools, resources, and support offered by the brand, empowering them to reach their highest potential and deliver exceptional service to our clients.”
XMAS in July 2025 Closes the Summer
Over 6,000 people came to Pond Bay Beach in Virgin Gorda to enjoy the traditional end of the summer party in the BVI.
Virgin Gorda, British Virgin Islands - Over 6,000 people and around 600 boats arrived at Pond Bay Beach in Virgin Gorda to celebrate the traditional end of the summer Xmas in July 2025 party. The event was brought by Wally Castro Marine, the British Virgin Islands Tourist Board and Marcos Rivera.
Xmas in July’s thirteenth edition was also memorable for its environmental protection efforts such as prohibiting the use of plastic bottles and cups, and selling reusable and collectible tumblers, which were sold out. Event organizers will donate 15% of the profits from the sale of the tumblers to Beyond the Reef, a nonprofit organization in the BVI that focuses on marine environmental education and preservation efforts.
“For 13 years now, we have seen how much this activity has contributed to the people, the economy, the environment and the nautical industry in Puerto Rico and the BVI. Those contributions motivate us to continue organizing this event year after year,” said Wally Castro, owner of Wally Castro Marine and the event’s organizer. “We will continue to find ways to leave a positive impact in both territories while giving people a little space to have some summer fun.”
This edition of Xmas in July was emceed by Magic
97.3 FM DJ Rony Campos, and featured the bands Xtreme Band from BVI, plus The Parachutes, a Coldplay tribute act, and La Vecina, both from Puerto Rico. DJ Joaquín Opio, also from Magic 97.3 FM, entertained the crowd throughout the day, while Carlos Cobián closed the festivities with his house music show “Carlos Cobián Live.” The Honourable Premier of the BVI Natalio D. Wheatley was present, as well as Tourism Director Clive McCoy, and Health Minister Hon. Vincent Wheatley.
Once again, the event welcomed local businesses such as Winnie’s Steakhouse and Steakation, which fed the attendees well into the night. Guests also enjoyed local food prepared by two nonprofit organizations, Valley Sound Lions Club & St. Ursula Catholic Church.
The event had lifeguards, a clinic sponsored by Ponce Health Sciences University (PHSU) with medical personnel from PHSU and the Red Cross, and local police to ensure the safety of all attendees.
“This is one of the biggest events in the nautical industry and it happened in the best place in the Caribbean to have an end-of-summer beach party,” said McCoy. “Our beautiful islands always have many natural wonders to offer. We are also updating our accommodation and marinas to continue offering our visitors a fresh vacation experience that they will never forget.”
For 13 years, Xmas in July has offered the destination’s visitors a unique experience in a festive summer setting filled with music and
surprises. The activity not only attracts visitors who sail from Puerto Rico in their boats, but also those who decide to fly to the BVI, stay at one of the many hotels and villas that the territory offers, and use the ferries to get to Virgin Gorda. Many others charter a vessel in the BVI to navigate through the destination.
In addition to Wally Castro Marine and Marcos Rivera, and the British Virgin Islands Tourist Board, Xmas in July 2025 sponsors included Medalla Light, Michelob Ultra, Pepa, Whico: Whiskey + Coco, Más Miel Honey & Co., Boston Whaler, Riviera, Target, Safe Harbor Puerto del Rey, Costazul, Magic 97.3, Popular Auto, Beyond the Reef, Bitter End Yacht Club, Rosewood Little Dix Bay, Tito’s Vodka, Tequila 1800, Nova Derm, bMedia, Smith Eyewear, Beribe Seltzer, CCT BVI, Virgin Gorda Yacht Harbour, Coca-Cola, La Casita de Marquitos, Ralph’s, Jack Daniel’s, Smirnoff Ice, Smirnoff Spicy Tamarind, YAC Contractor Engineering Group, Music Wave, The Moorings, Offroad Puerto Rico, White Claw Hard Seltzer, Power Solar, Ponce Health Sciences University, and PR Foam by Design.
Travellers who need help to coordinate a trip to the British Virgin Islands to enjoy an unforgettable vacation or request information to start planning their trip for the Xmas in July 2026 event can get in touch with the British Virgin Islands Tourism Board’s Puerto Rico office at (787) 721-2525 or send an e-mail to bvi@prlinksco.com. They can also follow the BVI Tourist Board on social media as Islas Vírgenes Británicas on Facebook and BVITurismo on Instagram.
Ponce Health Sciences University celebrates White Coat Ceremony for its first class of students at its School of Medicine in the British Virgin Islands
Ponce Health Sciences School (PHSU) held its White Coat Ceremony yesterday to welcome its first class of students at its School of Medicine in the British Virgin Islands (BVI), ahead of the start of the school’s Fall 2025 semester on July 11, 2025.
In the ceremony, 32 students out of a projected class of 40 students including the BVI, Puerto Rico, and the U.S., received their white coats. They swore the Hippocratic Oath during the ceremony, which was held at the H. Lavity Stoutt Community College auditorium in Tortola.
“This White Coat Ceremony not only welcomes our inaugural MD class in Tortola but also underscores the quality and rigour of our four-year Doctor of Medicine curriculum, which has earned preliminary accreditation from the Accreditation Commission on Colleges of Medicine,” noted
Dr. Gino Natalicchio, president of PHSU. “It also highlights PHSU’s commitment to uphold the high standards of the program while expanding access to excellence in medical education.”
The Ceremony was attended by notable representatives of the government of the Virgin Islands including Dr. the Honourable Natalio D. Wheatley, premier, Honourable Vincent O. Wheatley, minster of health, Honourable Sharie B. de Castro, minister of education, representatives of the PHSU School of Medicine including Dr. David Lenihan, CEO, Dr. Gino Natalicchio, president, Dr. Anne Peterson, dean, and Dr. J. Daniel Perez, vice president of operations, and parents and relatives of the students, among other participants.
“Inaugurating this school of medicine is very significant because it is a long-desired opportunity to have graduate medical education in the BVI. Students will have the opportunity to learn in our beautiful territory and gain valuable skills that they can use in their own communities,” said BVI Premier Dr. the Hon. Natalio D. Wheatley. “We are very excited to welcome the PHSU BVI School of Medicine’s first class of students, and we have no doubt they will enjoy their time in the BVI.”
“The PHSU BVI School of Medicine reaffirms our commitment to supporting local communities by creating pathways for aspiring physicians to serve and uplift the region,” said Dr. E. Anne Peterson, dean of the PHSU BVI School of Medicine. “Through high-quality medical education, we aim to help address healthcare needs and improve access to care across the islands.”
The BVI School of Medicine is PHSU’s first international site and will award graduate degrees in medicine. The Ponce main campus also awards degrees in clinical psychology,
dental medicine, biomedical sciences, medical sciences, public health, and nursing. Overall, the PHSU campuses currently have an enrollment of 2,140 active students served by a faculty of 625 highly regarded faculty members. The university’s research efforts have led to the publication of 735 research papers to date, with 50 peer-reviewed articles published annually. PHSU students have achieved remarkable outcomes, including a 93% board pass rate and a 96% residency match rate for the March 2025 cohort.
The BVI School of Medicine obtained provisional accreditation from the Accreditation Commission on Colleges of Medicine (ACCM), and in 2025, the Middle States Commission on Higher Education accredited this additional location. The Higher Education Licensing Board under the Ministry of Education of the Virgin Islands granted a provisional license and a trade license to operate in the territory.
PHSU is owned and administered by Tiber Health, a St. Louis-based company that seeks to scale and increase access to quality healthcare education. The Ponce campus is licensed by the Puerto Rico Council of Education and accredited by the Middle States Commission on Higher Education (MSCHE), the regional accreditor for higher education institutions in Puerto Rico. PHSU’s U.S. programs are also accredited by the Liaison Committee on Medical Education (LCME), the Council on Education for Public Health (CEPH), the American Psychological Association (APA), the Commission on Collegiate Nursing Education (CCNE) for the Bachelor of Science of Nursing program, the Accreditation Council of Graduate Medical Education (ACGME) for residency training, and the Accreditation Council for Continuing Medical Education (ACCME).
Fintech on the Seas:
The ripple effect continues
Still Making Waves
The inaugural FinTech on the Seas conference took place here in the BVI July 25 - 27, 2025 and since the conference the impact continues to ripple across the global FinTech community. From LinkedIn reflections to glowing media coverage, the consensus is clear: the BVI didn’t just host a conference - we made a bold statement about the future of digital finance. Delegates are still talking about the seamless blend of substance and scenery, where regulation met innovation against a backdrop of turquoise waters and tropical breeze.
The BVI Advantage - Louder Than Ever
What’s standing out in the post-event reflections is the BVI’s ability to position itself not just as a beautiful destination, but as a serious player in the FinTech space. Attendees praised the access they had to top regulators, policymakers, and global FinTech leaders in a relaxed yet purposeful setting. Many described the event as a model for how jurisdictions can lead the conversation on Web3, tokenization, AI and regulatory innovation - without losing the personal touch.
Beyond the Event - Building a Movement
FinTech on the Seas sparked more than conversation, it ignited relationships, partnerships and possibilities. We’ve seen followups between speakers and attendees, active exploration of BVI structures, and renewed interest in the jurisdiction’s digital asset frameworks. As one attendee put it on social media: “This wasn’t just a conference. It was a call to action - and I’m already acting.” Stay tuned as we chart the course for what comes next.
Celebrating a Milestone35 years of Cedar International School
By Scott Crawford, M.Ed Director, Cedar International School
In 2025 Cedar International School, a not-for-profit International Baccalaureate (IB) World School in the British Virgin Islands, celebrates its 35th anniversary. This milestone gives us an opportunity to reflect on our past, how far we have come, and our vision and ambition for the future. And what a journey it has been!
Founded in 1990, Cedar started from modest beginnings, operating from a rented home on the Ridge Road with a handful of students and a steadfast commitment to provide a holistic, student-centered education that developed character and confidence, as well as academic curiosity.
From that spark, every passing decade seemed to mark a milestone in the school’s growth. By 2000, Cedar had acquired land and was preparing to break ground for its permanent campus. By 2010, it had become fully authorized as an IB World School and graduated its first IB Diploma cohort. By 2020, Cedar was proving its resilience, recovering from Hurricane Irma while also adapting its campus and teaching models to navigate the challenges of COVID.
Today, Cedar serves more than 250 students on a four-acre waterfront campus in Kingstown, just minutes from the commercial centre of Road Town. The learning environment boasts 23 classrooms, including science labs, library, spaces for the arts, an athletic pitch and multipurpose hard court, playground facilities, and a centre for learning support. Its commitment to a holistic, student-centered education is as strong as ever, fortified by its status as an IB World School, one of more than 5000 schools in 160 countries, offering this internationally respected, gold standard curricular framework.
As the BVI’s only internationally-accredited primary and secondary school, Cedar is an integral part of the BVI ecosystem, that has enabled the transformative development of the Territory over recent decades. It plays an essential role in helping to attract professionals from all around the world, secure in the knowledge that their children’s education will be internationally recognised at IB schools elsewhere should their careers take them to other, more distant shores.
This global compatibility and recognition of rigorous standards inspire confidence in a Cedar education, and while it is obviously attractive to highly mobile professionals it is just as valued locally. The IB’s rigorous and inquiry-based framework cultivates independent thinking, global awareness, and a lifelong love of learning. The personalised attention and close-knit community of a smaller school such as Cedar ensure that each student thrives academically, socially, and emotionally.
Parents are drawn to Cedar International School because, as an IB World School, the programs go beyond traditional rote learning. They emphasise critical thinking, intercultural understanding, and respect for others - qualities that are vital in an interconnected world. An internationally accredited school such as this enhances these benefits, by fostering a nurturing environment where, students receive individualised support from teachers and peers.
In addition to robust academic programs, extracurricular activities are delivered by highly qualified teachers, coaches and leaders who care deeply about student success and well-being. These programs provide balance and build skills, while engaging students authentically in the wider community. Cedar’s Steel Pan and Fungi bands are regular performers at community events and Cedar’s athletes from a wide-range of sports regularly represent the BVI internationally in competition.
The choice of an IB school is, at times, influenced as much by the values of the parents, as by the aspirations of the students. Families seeking an education that blends academic rigour with ethical and personal growth often find that Cedar International School is the perfect fit.
And it is not just parents. Universities the world over are increasingly stating a preference for the IB Diploma Programme. It is the best preparation for higher education, with many universities offering course credits enabling students to fast track, or in some cases even bypass the first year of their degree. With Cedar’s IB programs offering direct matriculation to university, our graduates have earned degrees from an ever-growing list of top global universities: King’s College London, University of Edinburgh, University of California-Berkeley,
to name a few. The members of Cedar’s most recent graduating class (the Class of 2024) received offers from more than 40 universities in five different countries, including an Ivy League university, a top-ranked liberal arts college, seven different Russell Group universities in the UK, highly regarded art and design schools, and an opportunity to play Division I university volleyball at Rutgers University. Just as impressively, these admissions offers were accompanied by scholarship offers worth more than $2.3 million.
Beyond university, Cedar alumni can now be found working all over the world in a wide-range of industries, from finance and fashion to medicine and professional sports, though a growing number choose to return to the BVI where they are making their presence felt. They are entrepreneurs in the hospitality and tourism industry, leaders in environmental advocacy, teachers in education and the arts, and valued workers in financial, medical and government offices throughout the Territory.
While the growth of Cedar (and the BVI) has relied on an international workforce, the school’s success and future rests just as much on an empowered local population. Cedar cannot be a high quality international school if it is are not first and foremost committed to the local community. That commitment to community has been particularly evident in recent years, allowing Cedar to be a stabilising force in times of crisis.
In 2017, Cedar was the first school in the BVI to reopen after Hurricane Irma, and welcomed students from any school in the BVI for a special 3-month program, to give time for other schools to be repaired. In 2020, Cedar was the first school to reopen for on-campus learning after the Pandemic lockdowns, having spent the summer of 2020 modifying campus to meet the anticipated safety protocols. In both cases, our goals were the same: to get children back into a safe space on the quickest possible timeline to ensure their learning and overall well-being. Doing so offered continuity to families across the community, allowing them to stay in the BVI with confidence, which in turn helped to stabilise the workforce and the local economy.
But perhaps the most impactful way Cedar demonstrates its commitment to community is in its steadfast belief that the opportunities offered by the internationally accredited programs should be accessible to as many families in the BVI as possible. As such, Cedar prides itself on being an inclusive school, offering a need-based scholarship program to help subsidise tuition for families with demonstrated financial need. Year after year, more than 33% of Cedar’s enrolled students attend thanks to need-based scholarship funding, meaning hundreds of students have directly benefited over the years. These are talented children who deserve opportunity and bring value into the
Cedar community. Many of our impressive alumni, whose achievements we follow with pride, were beneficiaries of the need-based scholarship program. The program is simultaneously an investment in the BVI and a full-throated commitment to what education should be.
And it is this approach which results in a richly diverse student body, representing a wide-spectrum of socio-economic backgrounds and more than 40 nationalities. Forty percent of our students are BVI/Belongers or other Caribbean nationals, while the remainder hail from countries beyond the region, including representation from 6 continents. Importantly, the faculty and staff closely mirror the cultural and national backgrounds of the students. Cedar is proud to be an international school, and equally proud that its roots are so deeply embedded in the local community.
It would be easy when reflecting on how far the school has come to forget that the journey hasn’t been without significant challenges along the way. As a non-profit organisation, financial sustainability has always been incredibly challenging and balancing the essential requirements of excellent facilities and highly qualified staff with the need to offer affordability and opportunity to as many students as possible, regardless of their family’s financial circumstances, is a perpetual balancing act. The financial resilience was tested to the limit with both hurricane Irma and the following Pandemic, but in the end Cedar has endured and has proven resilience and adaptability in the face of adversity. Cedar is fortunate to receive and very grateful for support from corporate, foundation and individual donors who truly see how valuable it is to have an internationally-accredited institution in the BVI, and how essential it is not just for those students directly benefiting, but for the success of the Territory as a whole.
For the future, there is continued optimism and ambition. The commitment to constant improvement is today most clearly apparent in plans to develop a dedicated Arts Centre at Cedar. This will make excellent provision for the rapidly expanding performing arts and music programmes, help preserve and pass on precious local forms of expression to future generations, and provide a venue dedicated to the arts for the whole of the BVI to enjoy.
Perhaps the greatest source of this optimism for the future is found in the wonderful student body. Cedar’s Vision Statement, “Preparing global citizens for tomorrow’s opportunities” is not merely a tagline - it is quite literally Cedar’s. And with an empowered and resilient younger generation well equipped with valuable, transferable skills and strong values it’s hard not to be optimistic for the next 35 years, both for the School, and Territory as a whole.
Ranked
among the 25 Best Islands in the Caribbean, Bermuda and the Bahamas, Virgin Gorda ranked No. 15 and Jost Van Dyke ranked No. 22 on the coveted list.
Travel + Leisure recently announced the winners of its coveted World’s Best Awards 2025, with Virgin Gorda and Jost Van Dyke included in their list, “The 25 Best Islands in the Caribbean, Bermuda and the Bahamas.”
Every year for the World’s Best Awards survey, Travel + Leisure asks readers to weigh in on travel experiences around the globe by sharing their opinions on the top cities, islands, cruise ships, spas, airlines, and more via survey. Readers rated islands according to their activities and sights, natural attractions and beaches, food, friendliness, and overall value.
The British Virgin Islands had two islands ranked in this year’s awards, with Virgin Gorda ranked at No. 15 and Jost Van Dyke ranked at No. 22. Virgin Gorda is also recognized in the Travel + Leisure World’s Best Hall of Fame, for being voted on a given World’s Best Awards list for 10+ consecutive years, signifying sustained excellence and recognition within the travel industry. In addition, Rosewood Little Dix Bay was recognised at No. 17 for “The Best Caribbean Resorts of 2025.”
“We’re deeply grateful to be recognised by Travel + Leisure and its readers in the 2025 World’s Best Awards,” said Clive McCoy, Director of Tourism for the British Virgin Islands Tourist Board & Film Commission. “It’s truly inspiring to see the BVI celebrated among the world’s leading destinations, acting as a true reflection of the passion, warmth and dedication of our local communities who make every visit unforgettable.”
The British Virgin Islands were included in several prestigious awards in the past year, including being featured on The New York Times’ “52 Places to Go in 2025” list, being named as the “Hottest Destination of 2025” in Modern Luxury’s 2025 Best of Luxury Travel Awards and ranking No. 10 in the list of top islands in the Caribbean & The Atlantic in Condé Nast Traveler’s Readers’ Choice Awards. The complete results of Travel + Leisure’s 30th annual World’s Best Awards are now featured here.
SHARON’S TAKE Virgin Gorda has seemingly figured it out, AGAIN!
These days tourism is on everyone’s lips. How to keep it sustainable and how to be imaginative and innovative.
From fungi music to spa facials, hot plates to hiking trails and food and farm tours, Virgin Gorda is again on its way to continuing its trajectory and is precedent setting in the luxury space!
There’s the age old argument of whether the cup is half full or half empty. Virgin Gorda though has sought to refill the cup with experiences steeped with wellness, filling the tourism product with spa treatments of an ethnic leaning, tasty culinary and immersive music and nature experiences, that leave guests appreciating the island’s cultural heritage as well as its personal vybe.
It’s almost as if there is a renaissance in the very things that made Virgin Gorda special in the first place. I always recall the stories of Lawrence Rockefeller and his first visits to Virgin Gorda as he rounded the corner of Collison Point and saw Little Dix Bay for the first time. He knew he could create something natural and special, that could stand the test of time and provide an earthy experience. Truth be told, I think he was the precursor to what we now call eco-tourism. I recall sitting in a tourism class at UNLV in the mid eighties and opening a text book where there were references to tourism and Virgin Gorda….and funny..there I was - a Virgin Gordian…and being proud of us being a tourism front runner…..but not one of my classmates knew where the British Virgin Islands were…much less Virgin Gorda. And here we are 40 years later….with luxury eco tourism being the ingredient that separates us from the others.
There’s something quietly transformative happening in Virgin Gorda—and it is not about the waves washing over the boulders at The Baths or the breezes caressing the foliage at Gorda Peak. The island is becoming a haven for spa and wellness and adventure seekers, culinary foodies and those in search of authentic experiences that restore the mind, body and soul.
At a time when the BVI finds itself in the crosshairs of defining what its tourism identity should be amidst the economic pressures, shifting global travel trends, and now the looming impact of new tariffs and the potential dip in American arrivals, Virgin Gorda is navigating the waves and cultivating curated experiences as only Virgin Gorda can.
What’s the secret?
Oil Nut Bay – Sundara Spa
Virgin Gorda has long been known for its natural beauty, but now it’s making a name for itself as a sanctuary for health and wellness. Several luxury villas and resorts have expanded their spa offerings beyond traditional treatments, offering holistic wellness journeys. Recently opened is the Sundara Spa at Oil Nut Bay—accessible only by water and located over the waters. One of my favourites is the organic herbal bag massage, which infuses local herbs.
Virgin Gorda Yacht Harbour –The Lotus Center Spa
Also recently opened at the Virgin Gorda Yacht Harbour is the Lotus Spa, with signature treatments such as The Island Cooler, which uses locally sourced sea salt and aloe vera for a full-body wrap and hydrating scrub, ending with a soothing massage.
Rasta Livity Farm
A small family farm run by a Rastafarian couple, they’ve recognised that a component of wellness is healing and revitalisation of the body. They believe that the body needs to be rehydrated by using essential minerals and vitamins from the earth through fruits, vegetables, and herbs. So they decided to grow a variety including arugula, lettuce, microgreens, cucumbers, mangoes, watermelon, papaya, soursop, mint, and more. They even use farm-cultivated honey to sweeten the juices they make. Jana makes her own teas using the age-old drying method, then placing them in eco-friendly tea bags. RastaLivityFarm@outlook.com
White Oleander Destinations –Spanish Town Foodie Tour
Foodie tours are also emerging as a powerful way to experience the island, connecting guests to local restaurants and culinary legends, as well as local street food. Guests sample conch in butter sauce, stewed lobster, tripe soup, goat water, and our infamous fry fish and johnny cakes. I host a Spanish Town Foodie Tour by Jeep Wrangler, which takes guests to several local eateries.
http://whiteoleanderdestinations.com/
Virgin Gorda Hiking Trails
Biras Creek –Ikigai Restaurant
Biras Creek Resort, located on scenic North Sound, recently introduced their Ikigai Restaurant featuring Japanese-inspired dishes. They boast their own organic farm and grow their own okra, watermelons, tomatoes, basil, cucumbers, peppers, and more. Tasty dishes include Nanban Zuke—a pickled branzino fish with peppers—as well as a fried okra dish with a pistachio and strawberry sauce. What I love about Ikigai is that they change their menu constantly, taking advantage of the ingredients from their garden.
From spas to food, there is a twist to Virgin Gorda’s experiences. But the real magic is in the variety of experiential tourism now being cultivated. Virgin Gorda’s hiking trails—like those leading to Gorda Peak and the hidden paths along the North Sound ridge—are being rediscovered as wellness assets. Guided wellness hikes now include sunrise meditations, birdwatching, and native plant education—experiences that enrich the mind as much as they move the body.
One of my favourites is a smoothie bar called “SIPS.” Having personally experienced the healing power of naturopathic remedies in their own wellness journeys, their smoothies, smoothie bowls, cold-pressed juices, and ginger shots are carefully crafted with local healing plants such as aloe, moringa, and leaf of life—blended in ways that gently mask their bitterness while keeping the powerful benefits intact. They also use their own line of sea moss gel, infused with the likes of acai, spirulina, maca roots, and kava kava. From local juice and rum tastings to experiencing the local “corner rum shop,” these tours are helping us reframe what “local luxury” looks like in the Caribbean. It’s not always about extravagance. Sometimes, it’s about connection.
While all of this is good and makes for a great vacation experience, we need to have “new eyes on the BVI and of course Virgin Gorda. While we continue to court our American visitors—and rightfully so—it’s time to seriously, and aggressively, diversify our tourism source markets. The UK, Canada, Europe, and even wellness-focused markets in Asia and South America offer untapped potential. Wellness tourism is projected to reach over $1 trillion globally in the next few years. We have the natural God given assets. We just need to position them properly and that means a more focused marketing effort showcasing differences.
At a moment when our industry faces uncertainty, we must not retreat — we must reimagine. It’s time to elevate and innovate, not just in Virgin Gorda, but across the destination. Spa treatments, healthy culinary experiences, mindful adventures—these aren’t just trends. They’re the new face of Caribbean travel. Virgin Gorda is poised to take advantage. Wellness isn’t just a service—it’s becoming a lifestyle here, and our guests are enjoying and we hope the world notices, And this just might be our sustainable path to keeping our luxe tourism mojo. Virgin Gorda has seemingly figured it out, again.
A view from London
By Richard Lambert, Senior Consultant Mark Pragnell, Managing Director Pragmatix Advisory
Global crises often bring major geopolitical change in their wake, and what we have seen over the last year or so, is perhaps the culmination of another global crisis-driven shift in the geopolitical landscape. The Pandemic appears to have accelerated the move away from the concepts of globalisation and cooperation, that commenced within the global financial crisis. Voters in many countries rejecting solutions to the economic and social challenges left after the Pandemic proposed by the established or incumbent political class.
Beyond globalisation is the bloc economy
Those who remember our 2022 report for BVI Finance, Beyond Globalisation, will recall that we set out three potential future global economic scenarios: ‘weaker internationalism’, ‘the bloc economy’ and ‘new economic nationalism’.
Around 1.5 billion people went to the polls in 2024 as significant elections took place in more than 50 countries - which between them hold almost half of the world’s population. Following that historic election year, we are becoming more convinced that we are headed towards a version of the ‘bloc economy’. This scenario envisions continued economic, regulatory and, in some cases, political integration between countries within predominantly regional geopolitical blocs, but with these different groupings diverging from each other. Fissures grow between groups of nations reflecting increasingly conflicting economic interests and diverging social values, political ideologies and cultural perspectives – and activity between these blocs is increasingly restricted. There is a rising incidence of traditional barriers to inter-regional trade – such as tariffs and quotas. But much of the additional friction at the regional borders is created by other means, such as: entry and residency visas; regulatory standards; technology standards; and professional recognition and the trade in services.
Populist politics win votes but (mostly) fail to gain power
Last year, voters in five of the G7 countries resoundingly rejected the political status quo, leading to a rise of populist right-of-centre political parties.
In France, the right-wing National Rally won the first round of voting in the recent French general election but was eventually edged out after the more centrist parties worked together to prevent a majority. In Germany, the nationalist Alternative für Deutschland (AfD) made significant in-roads in the European Parliament elections at the expense of the centrist parties. In all cases, though, populist political parties in the G7 countries have generally not either won a major election or been able to form a new government, with the exception of Italy. They largely remain on the fringes or, in the case of Italy, have ameliorated their policies once faced with the need to govern. And whilst centre-right political parties have shifted to the right in order to regain voters who have chosen populist parties at recent elections, the broad electoral consensus across the G7 appeared to remain in the centre of the political spectrum.
Before what happened in the United States elections at the start of November, that is, where voters unambiguously chose Donald Trump’s ‘America First’ vision that seeks to increase United States isolationism and protectionism in ways that have not been seen since the 1920s and 1930s.
4.1 million votes for Farage gave Labour 63 per cent of Westminster seats
All this leaves the political view from London being as clouded and dark as the city’s skies would have been in the great smog of 1952.
Among many here, and not just the so-called ‘liberal elite’, there is both bafflement and a sense of betrayal (of what were believed to be commonly held principles of good government and hard-fought-for norms in international relations) in the election of Trump. For many members of the Labour government, including the foreign secretary, there is also awkward (verging on humiliating) back-tracking on past public comments about the new president’s fitness for office (and a lot more).
We are becoming more convinced that we are headed towards a version of the ‘bloc economy’… fissures grow between groups of nations reflecting increasingly conflicting economic interests and diverging social values, political ideologies and cultural perspectives.
But we had our own Trump-esque electoral moment in 2024 too
The United Kingdom was one of the five G7 countries that resoundingly rejected the political status quo at the ballot box –with 4.1 million people voting for Nigel Farage’s current political vehicle. Although the populist Reform UK won only five seats in the July general election, they came second in hundreds more, with Westminster’s ‘first-past-the-post’ system preventing them from securing a parliamentary presence that anywhere near matched their electoral share.
The mood of the country going into the general election was undoubtedly for change, without much enthusiasm for what was on offer. Repeatedly described in focus groups as “incompetent” and having “failed to deliver”, people voted against the Conservatives rather than for the alternatives on offer. There seems little faith in the political process. Voter turnout was down 7.6 percentage points from the 2019 election.
The polls predicted a Labour landslide and a historic Conservative defeat, but not the one which transpired. Labour’s forecast fifteen to twenty per cent lead turned out to be closer to ten; its actual share of the vote around five percentage points less than predicted. The Conservatives were humiliated but not annihilated. A majority of 174 in the House of Commons looks like a resounding endorsement, but Labour won with fewer votes overall than it received when it went down to its own historic defeat in 2019. Its underlying support described as “wide, but thin”. There are now 223 seats where the winning candidate’s margin was less than ten per cent of votes cast; Labour holds 104 of these.
The political establishment still cannot decide whether the Reform
party’s performance captures a moment in time or represents a fundamental shift in the landscape. The impact of the swing to Reform was felt by both the dominant parties. Reform came second to Labour with 89 seats and should be the main challenger next time. In the 23 seats where Reform did not stand against them, the Conservatives retained 60 per cent of their previous vote, contrasting with 52 per cent retained in seats where it did. In 181 seats, Reform got more votes than the difference between the losing Conservative and their winning opponent. While it secured almost fifteen per cent of the vote, gaining five parliamentary seats, the first-past-the-post electoral system worked against it to give the Liberal Democrats 67 more seats on two percentage points less.
New government has meaningful and ambitious agenda
Regardless of populist Reform’s electoral success, the United Kingdom now has an increasingly unpopular left-of-centre Labour government – but with (what should be) the parliamentary arithmetic to be resilient for at least one full five-year term.
Although, before the election, Starmer and his team were tight-lipped making next-to-no concrete policy commitments other than to promise ‘change’, there was (and still is) serious work going on behind the scenes. There is ministerial focus on the “missions” set out in the pre-election policy papers which formed the basis of the manifesto:
• Kickstarting economic growth, improving productivity for good jobs and prosperity
• Making Britain a clean energy superpower, achieving zero-carbon electricity by 2030
• Taking back our streets by halving serious crime and increasing confidence in the police and criminal justice system
• Breaking down barriers to opportunity by reforming childcare and education
• Building an NHS fit for the future, so that everyone lives well for longer
These draw deeply on the work of the political economist Mariana Mazzucato, putting forward an analysis of the issues facing the country that is effectively a rejection of the concepts of how government should work and of its relationship to the economy, markets and society, which have underpinned the past four decades.
It argues that a Reagan-Thatcher-inspired determination to reduce the role of the state and cut back public spending supposedly led to the deterioration of the public realm, public services and essential infrastructure, to the point where it holds back prospects for growth or increased productivity. By contrast, Starmer’s philosophy is that the state can and should be a positive actor within society, investing strategically and setting the direction.
To do this requires a fundamental realignment of how government, the civil service and the public sector think and work. The mantra of “Mission led, technology enabled and reform driven”, repeated again and again in Rachel Reeves’ Autumn Budget speech, encapsulates what they are trying to do. They believe they have set clear policy objectives and they expect departments to work together to achieve them through a “whole society approach”, thinking more of in terms of systems and inter-relations than discrete policies. This realignment will be underpinned by a massive digital transformation, revolutionising government’s use of technology, with the emphasis on modernisation, connectivity and integration to increase efficiency and make it easier to deal with.
Here then is Keir Starmer’s vision for “a radical, reforming government”. The difficulty of coordination and delivery at this level and on this scale should not be under-estimated, nor the likely resistance from the silo thinking and ingrained competition of Whitehall departments, not to mention the Treasury’s mindset to commit as little money as it needs while controlling as much as possible. Major change programmes are frequently declared failures in their early stages, ignoring the time it takes for more profound impacts to emerge. And as he has found out the hard way, “events, dear boy, events” always will intrude to distract and undermine every government.
Heavyweight ministerial team has failed to demonstrate competence
The new government drew on an unusual depth of past ministerial experience. This is neither a government of amateurs nor lightweights. There was every expectation that the new administration would get to grips with the job more quickly and manage the civil service effectively from the start, both acknowledged as having held back their predecessors. Many thought the Starmer government would seek to echo the upbeat mood and speedy impact of the Blair victory in 1997.
However, its stumbles and mis-steps have formed a narrative of naïve, out-of-touch ministers, struggling to get to grips with the cost of living crisis and the fiscal black hole, who understand little about the realities of what they want to do and less about how to make it happen. With talk now of two to three years of difficult decisions and unpopularity ahead, the more apposite comparison may not be with1997 but 1979.
The Autumn Budget is a good example of how this administration appears able to snatch defeat from jaws of victory.
In many ways, our first female Chancellor, Rachel Reeves, delivered an intelligent, balanced and constructive budget on 30 October –
demonstrating a willingness to take decisions for longterm gain, despite little immediate political or fiscal gain. There was more funding for (and potentially more creative longer-term thinking around) social housing, recognition of the role of local government and of the financial crisis they face, and transport and infrastructure have been given decent airtime.
But, despite these merits, it will be remembered as an own goal
First, it demonstrated poor tactical political judgement. It was tardy. We had to wait 118 days from the election for her to deliver her first budget – during which there was a policy hiatus and communications void. Politics abhors a vacuum, and Starmer’s personal popularity and the party’s ratings were hammered before the end of their first 100 days.
Second, it opened up an unnecessary pseudo-classwar – on those sending their children to private fee-charging schools (which will become subject to the twenty per cent value added tax), and on farming families (who will now incur inheritance taxes when passing on assets from one generation to the next). None of these measures will yield anything more than a rounding error on government finances. Then, of course, there was the removal of the ‘Non-Dom’ tax regime – which came with a fanciful claim that it will generate £13 billion for public finances; in reality, it will likely cost the Treasury and the economy.
Third, it lumbered businesses with higher costs and risked future job creation in order to avoid short-term political discomfort. If this was truly a Chancellor willing to think the unthinkable to save British public finances, she would have used her first budget to unpick the madness of the Cameron government’s ‘triple lock’, which guarantees the state pension increases each year by the larger of consumer price inflation, average wages and 2.5 per cent; instead, she tip-toed around pensioners and left the costly regime intact. She would have also used the excuse of ‘we didn’t realise just how bad it was’, and accepted that the election pledges not to raise the headline taxes on earnings were undeliverable. But, instead of raising the basic rate of income tax, she increased employers’ National Insurance contributions, which – despite the name – is a general tax, and levied entirely on businesses in proportion to their wage bills.
Government with ambitions well beyond its means does not bode well for BVI
The change of government in Westminster is, at best, an opportunity for the British Virgin Islands to reset the relationship with the United Kingdom. In practice, it likely marks the beginning of five years of further difficulties.
On some issues, Labour will be more naturally aligned with policymakers in Road Town. This administration
is genuinely concerned with climate change and its global consequences – and recognise of the disproportionate dangers faced by small island jurisdictions. Moreover, some senior politicians also hold strong views in favour of reparations for colonial slavery. But do not confuse any greater alignment with a willingness to support or spend.
The Starmer administration’s early decision to cede the Chagos archipelago to Mauritius – in what appeared to have been a surprise to those in both St. Louis and Washington DC (who operate their hugely strategic military base from Diego Garcia there) but was met with delight in Moscow and Beijing – does illustrate a willingness to rewrite the rules for overseas territories. A lukewarm concern for Gibraltar, still in a crippling post-Brexit limbo, indicates the priority being given to them. Meanwhile, given the scale of victory and the extent to which so many seats were surprise wins, the back-bench parliamentary Labour party will be full of inexperienced ‘B’ and ‘C-team’ candidates who have been poorly vetted and tested. Past experience of previous parliaments has shown us that these types are likely to have a low and poorly-informed opinion of ‘offshore finance centres’ and a willingness to be vocal.
Most importantly, Labour inherited weak public sector finances and a faltering national economy, and they won the election on the basis of an expensive domestic policy agenda. The coffers are empty – and it’s not going to improve any time soon. Starmer and team have ambitions well beyond their means, and they will have to aggressively prioritise. BVI’s interests will not be on their priority list, while trying to extract yet more cash out of offshore finance centres will be.
The change of government in Westminster is, at best, an opportunity for the British Virgin Islands to reset the relationship with the United Kingdom. In practice, it likely marks the beginning of five years of further difficulties.
What value does London bring to the table?
But there is a bigger question about the future relationship between Road Town and London. As the geopolitical direction points increasingly towards a global bloc economy, what value does the United Kingdom bring to the BVI?
London has historically wielded power and influence in the global gatekeepers of the twentieth century – the United Nations, Bretton Woods institutions and World Trade Organisation, but these become marginalised and ineffective within our bloc economy scenario. The future is bilateral: negotiations between blocs, or between individual large nations and blocs. But the United Kingdom has left the European Union and looks unlikely to join any other bloc – while, on its own, it is no longer an economic, military or even diplomatic heavyweight.
If and when the political smog lifts, the world will look like a different place – and there will need to be a different relationship between the United Kingdom and the overseas territories, especially BVI. BB
The building blocks for a new bloc era
By Ray Wearmouth
At the 2019 Obama Foundation’s annual summit, President Obama told a predominantly young audience that “The world is messy. There are ambiguities.” He had left the Oval Office two years earlier. As we enter 2025 it is probably fair to say that the world is significantly messier now than it was then. As many large and small nations across the globe try to get to grips with what the future most likely looks like, finding pillars of certainty is very challenging. Indeed, one sentence from the IMF’s Chief Economist, Pierre-Olivier Gourinchas, at the IMF’s most recent World Economic Outlook forecast, says it all, with emphasis added. “But with geopolitical conflict, increasing trade tensions and elections looming and leadership changes in major economies around the world, there is considerable uncertainty.”
This uncertainty is palpable, and felt by almost everyone, every business and every nation. So how does the British Virgin Islands (BVI) navigate this uncertainty in the largest component of its own economy, financial services ?
As new and developing economic, trade and political blocs continue to form and grow, how does the BVI build, place and adjust its own building blocks to best navigate its wider environment ? Are the blocks the same, or different ? Is it business as usual, business as unusual, or time for a major re-think ?
Bloc Economies
Beyond Globalisation
As the world continues to move away from the peak levels of geopolitical and economic globalisation that dominated the early 2000s, it is almost impossible to predict with any confidence what the new world order and stage will look like. The excellent “Beyond Globalisation” report by Pragmatix Advisory of late 2022 looked at the BVI’s position in three possible economic scenarios that the next evolution of globalisation might take, namely, the “weaker internationalism” scenario, the “bloc economy” scenario and the “new economic nationalism” scenario. They are all self-explanatory scenarios whose labels speak for themselves and they do not need any further elaboration here for our purposes.
Threads of each scenario are at play in the
“The world is messy. There are ambiguities.”
— Barack Obama
current climate, varying from country to country and region to region. But based on the sentiments painted above by the IMF’s Chief Economist, and what we all see and read in the news every day, the bloc economy scenario feels like it is the most prevalent for the short term, with the world as a whole increasingly operating in blocs, just as it did decades ago. Multiple wars, deepening trade conflicts and the ongoing US-China decoupling are pointing that way, ahead of the other possible scenarios. Most G7 countries do not want to travel alone along an “economic nationalism” road, with the USA being the only notable and vocal exception. This is particularly the case when many world leaders continue to express genuine concerns around national and global security, openly fearing that the current wars and growing conflicts might easily expand beyond their existing boundaries unless great care is taken. These national security concerns far outweigh economic or trade positioning, and indirectly, feed the very logical reasoning that bloc economies, and bloc relationships, make good sense all around right now, from almost every angle. It is a pitch towards garnering short term stability that will lead to increased certainty, and security, over time.
Blocs
Safety in numbers, both in geopolitical and economic terms, means that most countries’ strongest allegiances to one or more blocs are quite obvious. The contractual nature of the main global trading blocs still pulls members closely together, most typically on a regional basis, but wars, real time politics with tariff threats and new governments in many major nations also mean that things are much more fluid than they were just a few short years ago. Some countries sit in
two or more blocs and many will navigate around and beyond blocs with chameleonlike adaption.
Emmanuel Macron’s words to European leaders in Budapest last November sum up the sentiments of many leaders and the type of bloc mentality that has emerged. “For me, it is simple. The world is made up of herbivores and carnivores. If we decide to remain herbivores, then the carnivores will win and we will be a market for them. I think, at the very least, we should choose to become omnivores. I don’t want to be aggressive, just that we know how to defend ourselves on all these subjects.”
With this new bloc era upon us, how does the BVI best navigate this global landscape to ensure that it builds a thriving and sustainable financial services sector in the BVI ? We have added the emphasis here to load the question a little. Both to play devil’s advocate on the BVI’s performance on its own block-building over the past decade, but more importantly to try to inform us of some of the things we really need to focus on, and some of the things we really need to let go of. Remember the McKinsey & Co report of December 2014 ?
BVI Building Blocks
Last Blue Print - McKinsey Ten Years On “Building on a thriving & sustainable Financial Services sector in the BVI” was the title of the report issued by McKinsey & Co a decade ago. The goal was clear from the title. This goal, we can safely say, has not changed in the intervening period, and remains just as fit for purpose now as it was then, arguably even more so.
The 10 core recommendations in the report were the BVI’s 10 core building blocks. They were the result of an in-depth, industry wide consultation over months
and months, all through the eyes and minds of McKinsey. It was a tripartite effort, involving the Government, the Financial Services Commission (FSC) and the industry. It cost $ 1.1 million and work continued under its framework for two or three years. Hurricanes in 2017, numerous changes in Government, a commission of inquiry and a global pandemic have all helped confine it to history, in essence. Its recommendations were not all final destinations. Some were, but many would require on-going attention and evolution as part of a longer journey.
Through fresh eyes, one might be as bold to say that all 10 recommendations remain fit for purpose, along with their desired outcomes, only with very minor tweaks to address the passage of time. If the packaging and priority based ordering of the recommendations remains at least, say, 90% correct and complete for today’s purposes, why aren’t we dusting it off ? A couple of items were dealt with, namely a delivery unit was introduced (Rec 1) and later disbanded, and BVI Finance Limited was created (Rec 2). The first should be re-introduced. It is, arguably, in play to some extent within the new Ministry of Financial Services, but more focus on that delivery role is needed. The second item needs to be given new impetus with BVI Finance’s pivotal role needing to be better understood, more appreciated and better funded. The other items remain very necessary works in progress, with nothing, or not much, missing. For example, Recommendation 10 was “Invest in infrastructure”. This physical building block is, of course, fundamental. It is probably fair to say that this recommendation is still in the literal mix and not yet formed into a block that can be placed.
A cold hard look at McKinsey 10 years on tells us what we knew then as an industry, and what we still know. That our planning and strategic approach is actually pretty strong, but our execution and delivery of key items is holding us back, when competing neck and neck with our peer group financial centres. In fairness, we are not alone with execution challenges. The G19 countries show the same consistent theme. But a couple of our direct competitors are finding ways to make more progress than we are, when judged over that same 10 year period. So the “in fairness” qualification does not really cut it. We need to stay in the race with those competitors as a minimum, and push towards a leadership position if we want to both thrive and sustain.
The Tripartite Builders and their Plans
The builders of the BVI blocks remain the same. The Government, the FSC and the private sector. They all have their own plans. The Government’s Medium Term Fiscal Plan 2020-2022 is the most recently published plan with financial services discussed on pages 11 to 14 of the plan. The FSC’s Strategic Work Plan 2024 is succinct and clear. The board of BVI Finance is the lynchpin for industry and has its own annual budget and plans, which typically proactively and reactively adjust around the Government’s and the FSC’s priorities, which sometimes compete.
Despite having slightly competing priorities from time to time, and the delivery challenges noted above, the BVI is fortunate enough, to date, to have enjoyed an environment of close team work and inclusivity between the tripartite participants in the sector. They are usually quick to recognise the most immediate and important priority for the sector as a whole, irrespective of who the closest owner of that priority is. A healthy and respectful rotation of needs and priorities, with give and take, has served the sector very well
For international financial centres like the BVI, uncertainty is the new normal.
historically. The other side of the coin is one to avoid at all costs in the future world. A self-galvanising approach where the greater, collective priority of the sector as a whole is ignored for the benefit of one participant’s individual gain or goal. We are seeing this kind of damaging behaviour in a number of countries around the world and it is typically being born in the wider political sphere before seeping into Governmental behaviours.
BVI Blocks for the New Bloc Era
Facing into the New Blocs - business as (un)usual
International financial centres have lived in a constant state of change and challenge for a long time now. Add in the BVI’s own experiences over the last fifteen years, since the global financial crisis and you have a lengthy track record of operating in the almost opposite world of business as usual. It is not chaos, but it is not normal. We have lived and breathed through a whole plethora of diverse challenges. Some global, some regional, some sectorial and some witnessed only by us. If a martian landed in Road Town tomorrow, we would probably ask for a passport, utility bill and not get too excited. Technological advancements, AI and a time of disrupted industries are all just part of the same wider fabric of challenges and change. They are all relevant with their own impacts, but the sector has constantly found ways to absorb them and move on. As such, the new twists and turns that bloc economies will present to the BVI are well within its existing wheelhouse. It is business as (un)usual. Unusual is now perfectly usual. That has been the landscape for a long time.
The private sector will follow demand and clients, and our footprint is genuinely global, diverse and can withstand change in our client economies. Our role in international trade is not so significant that we are likely to become direct collateral damage in trade war and tariff shuffling. On balance, it seems unlikely that China will navigate the world in a way that will lead to it being sanctioned en masse. Taiwan’s status remains a key litmus test around that possibility and any international response package. However, absent the development of increased conflict in the short term, it will continue to remain highly relevant to cross border trade.
In terms of the BVI’s own positioning in the international arena, the Government and the FSC have followed the private sector into key overseas markets over time. The importance and benefits of those steps have become clear and obvious. The
FSC’s 2024 Strategic Work Plan includes a review of having more representative offices in emerging markets, with South America being expressly noted. Being a fast follower, rather than a first mover has worked well for the BVI, particularly given the size of its critical mass and limited resources.
As far as the BVI’s relationship with the UK goes, despite stops and starts, many commentators express the view that little will actually change in terms of politics, sovereignty or day to day practices. The UK itself looks like it will be treading water for some time in terms of its own diplomatic positioning and relationships. This all points to stasis, such that the BVI will probably not be negatively affected by the UK’s recent change of government and a re-defining of its own standing on the international stage.
So despite the great uncertainty that the world finds itself in, as it enters a new era of global politics and trade, the BVI might well find itself in a neutral, unaffected position. Out of harms way, connected closely to its core markets and facilitating cross border investment and dispute resolution. If that is the case, and in any event, it really does need to address its own building blocks for its leading sector to ensure it remains sustainable, and hopefully in a position to thrive.
BVI Blocks - enablers, less is more and delivery is key
Having a blue print like the McKinsey report galvanised the whole sector and put the tripartite builders and all stakeholders on the same page. That alone was a very powerful, efficient and effective tool. It gave clarity and focus to the whole sector, as well as the component parts of it. It also cut several legacy items of clutter and waste.
Our sector is relatively small and relatively simple. If McKinsey visited tomorrow we can hazard a guess that they would almost certainly say that a central plan was needed for the sector (Sector Plan). On close examination, Exhibit A, a report from 2014, might not be too far off from being ready to go, without too many tweaks. Such an exercise would be in-house, quick and very inexpensive to complete. We do not need outside assistance for that dust-off and tidy exercise.
Sitting above the Sector Plan and any blocks within it, are a handful of framework enablers that we need to have fully engaged if we are to continue to build the sector beyond merely sustaining it. They are up for debate, but we might start with the following.
Leadership. The best version of the sector would see the new Minister of Financial Services as the prime leader of the sector, having responsibility for that portfolio alone. It is a full time, exclusive role. The Ministry is the owner of the Sector Plan and is the delivery agent for it. The Ministry should have a full time delivery unit. The role of BVI Finance Limited is a pivotal one. It should remain an independent entity. The CEO of BVI Finance, representing the board of BVI Finance and its stakeholders, works closely with the Minister and the Managing Director of the FSC. The independence of the FSC is trite, its leadership strength continuing to support its global reputation.
Collaboration. The tripartite builders work towards delivering the Sector Plan, acknowledging that they have (and are required to have) their own plans. Give and take for the highest competing priorities is in the fabric and modus operandi. Budgeting is a key collaborative item. The FSC should not be under pressure to
The BVI doesn’t need a new roadmap—it already has one.
deliver monies to the public purse beyond its own budgeting plans. Provision for full resourcing and expansion should be expected and respected by the Government. BVI Finance must be properly funded, supported and not under-resourced.
There is a fourth party to the collaborative fabric, an addition to the tripartite builders.
The Opposition. Financial services has always enjoyed strong bipartisan support within Government. At a time when politics around the world is particularly partisan and often damaging to the greater good for the sake of political gain alone, we are fortunate to have a professional body of experienced politicians who do see the greater good for the BVI. We rely on them to keep the sector and politics on appropriate plains. In turn, the Ministry of Financial Services and the Government should do its part to remain inclusive with the Opposition on any headwinds and matters of importance for the sector.
Concrete plan. This is the Sector Plan. It is a live plan, but we need to keep it and its building blocks on the stocks for however long it takes to complete each item. Swapping and changing plans for no compelling reason, including upon Governmental changes, does not help the wider sector, and probably hinders each new incumbent. We say “concrete” to suggest permanence and something that sticks around, not to get into a debate about concrete versus asphalt (light hearted BVI infrastructure remark, we are close to the end after all).
Less is more. As far as the sector is concerned, we continue to pursue too many objectives, too many delivery goals and too many average ideas, often at the cost of the most fundamental objectives being delivered well. If we pick 10 items for the Sector Plan, for instance, experience tells us that delivering that number will be a stretch. Getting things done counts for far more than having an impressive list of incomplete items.
There is nothing new in the framework enablers suggested above. Some of it happens most of the time, or most of it happens some of the time. But we are looking for all of it to happen all of the time. There is no magic in the Sector Plan or the building blocks within it, as was the case with the McKinsey report. But we need a central plan, we need to do less and do it better with more focus. The bloc era should not keep us awake at night, as we can safely navigate it. We should be more concerned about our own house keeping and execution to ensure that our peer competitors do not continue to inch ahead of us because of our own shortcomings. Nearly all of this is within our own control. BB
The economic outlook for Asia: Navigating financial services challenges amid a second Trump Presidency
By Paul Christopher, Mourant, Hong Kong
Asia contains three of the world’s five largest economies, led by China, the world’s second largest followed by Japan and then closely by India. The region also contains the financial hubs of Hong Kong and Singapore, and so is pivotal to global economic stability and growth. The return of Donald Trump as US President brings both uncertainties and consequent opportunities to the region.
As financial markets awaits the reality of Trump 2.0, understanding the potential outlook and the consequent impact on Asia becomes critical for navigating the future.
A look back: President Trump’s first presidency and China
The United States and China have one of the world’s most important and complex bilateral relationships with periods of both tension and cooperation since 1949.
Trump’s earlier presidency which had begun with a “deepened understanding and greater trust building” following a summit between Presidents Trump and Xi in April 2017, was marked by rounds of sweeping tariffs on Chinese goods, retaliation by China with its own tariffs, a hardening of the United States policy towards China, with eventually a breakthrough of the “Phase One” Trade Deal being signed before tensions soared amid the Pandemic. In many cases, policies were maintained and expanded under President Biden.
Potential President Trump policies
The likelihood of President Trump revisiting his earlier economic policies, coupled with an emboldened mandate from his recent election success, suggests that there could be significant implications for Asia, including:
• Heightened Tariff Regime: New tariffs would disproportionately affect China, but the ripple effects would extend to neighbouring economies intertwined with its supply chains, including Vietnam, Malaysia and the Philippines
• Reshoring Initiatives: Policies incentivising U.S based manufacturing could reduce Asia’s export volumes to the U.S, affecting industries like electronics, automotive parts, and apparel
• Financial Sanctions and Restrictions: Further restrictions on Chinese companies listing on U.S exchanges or accessing Western financial services could push these firms to Asian markets. Hong Kong and Singapore might emerge as critical beneficiaries of such a shift
It is unclear whether these intentions are “election rhetoric”, for negotiation purposes or are serious intentions.
Robust Asia
This is set against a background of an increasingly fragmented and complex world, with Asia more broadly and particularly India and Japan regarded with considerable interest by some of the largest fund managers.
• Asian M&A Rebound: Anecdotally, Asia saw decent momentum in M&A and fundraising coming into 2025, certainly compared to recent years, and levels may increase further. However, this increase may not reach the highwater marks set a few years ago. One lens suggests that the region has learnt to deal with the various uncertainties created by geopolitics, as businesses appreciate that they are now “known unknowns”.
• Pan-Asia Regional Funds: Large-cap fund managers appear optimistic about potential growth in Asia. EQT Private Capital Asia and Blackstone have announced targets of USD 12.5bn and USD 11bn, respectively, for their panregional Asia funds.
The likelihood of President Trump revisiting his earlier economic policies suggests there could be significant implications for Asia.
China’s economic resilience and strategic adaptation
China is navigating a period of economic recovery and economic evolution as it confronts geopolitical challenges and seeks to build on the early signs of recovery. China’s ability to adapt and innovate attempts to position itself for long-term growth.
• Economic growth projections: China’s current annual growth target is 5% and whilst banks may be forecasting a slightly lower realisation, it is still significant growth for the second largest global economy.
• Stimulus: The Chinese government has undertaken a series of significant, never seen before, measures to stimulate the economy in response to challenges such as weak domestic demand, a struggling real estate market and external pressures. Such action includes monetary policy adjustments, financial stimulus, support for real estate and investment. Banks expect that may continue to include actions like increasing the fiscal deficit and expanding special treasury bond issuance to support infrastructure investment and stabilise the property market.
• Transformed economy: China began to change its development model from low-end manufacturing to high-tech production, while increasing the purchasing power of the Chinese people. The 2015 “Made in China 2025” initiative was further entrenched and advanced, which, together with the “Going Global” strategy and the BRI, facilitates China’s technological readiness and internationalisation of its companies as well as new markets for Chinese products.
• Technological Innovation as a growth driver: One of the perhaps unintended consequences of recent geopolitics, is the blossoming of technology in China with prioritised advancements in key sectors, such as artificial intelligence (AI), renewable energy, and digital infrastructure. For instance, China’s investment in AI is projected to reach approximately $150 billion USD in 2025, aiming to become a global leader in this field. This government support, driven by innovation by Chinese companies means the Chinese digital economy is projected to surpass $6 trillion in 2025, driven by widespread adoption of e-commerce and FinTech solutions.
Trump 2.0 presents a complex mix of challenges and opportunities for Asia’s economic and financial landscape.
China will aim to safeguard its national interest and counter any attempts by the U.S. to exert pressure through unilateral measures, with its own use of counter-tariffs and export controls, particularly to mitigate the impact of U.S. policies on its economy and maintain its position in the global arena.
Trump 2.0: An opportunity for Asia
The election of Donald Trump for a second term has the potential to create both challenges and opportunities in Asia. Here are some key areas where opportunities may arise:
• China’s Economic Recovery: China’s potential economic recovery, supported by policy measures and domestic demand, may present an uncorrelated opportunity as well as providing a significant tailwind for Asian emerging markets. The country’s focus on self-reliance and domestic consumption may shape the long-term investment opportunity in China and, in the near term, it may help mitigate the impact of any tariff increase.
• US M&A drives global deal flow: The U.S. mergers and acquisitions market is anticipated to be robust in 2025, driven by several key factors, including tax cuts, deregulation, and a favourable economic environment. A strong M&A market in the U.S. is often said to have a knock-on effect of driving strong global deal flow.
• Technology Investments: Countries like Taiwan and South Korea, which are integral to the global technology supply chain, may see continued capital investment from U.S. tech firms, particularly in sectors like AI enhancing their economic prospects.
• Structural Growth Drivers: Despite potential trade tensions, many Asian economies have strong structural growth drivers. For instance, India’s domestic consumption and infrastructure development are regarded by some managers as presenting significant investment opportunities, independent of U.S. trade policies.
Strategic Recommendations for Financial Institutions
To mitigate risks and capitalise on emerging opportunities, financial institutions should consider the following for Asia
• Diversification: Asia is not a homogeneous block, more than many regions it is a patchwork of extremely varied countries and jurisdictions. This presents a question on how to approach deal making and investment across the region - using offshore centres like the British Virgin Islands can facilitate diversification of investments into
various asset classes and geographies and tap into these growing economies. This can also facilitate financing opportunities notwithstanding the underlying asset and location.
• Technological investments: Leveraging innovations in AI, blockchain, and FinTech can enhance operational efficiency, improve customer engagement, and foster resilience in an increasingly digital financial ecosystem.
• Exit: Intentionally consider on entry to arrangement, what the exit may look like - using an offshore holding structure, like a British Virgin Islands company, will create wider options, flexibility and facilitate more future exit opportunities with greater access to international markets.
• Regulatory compliance: Stay updated on regulations, as requirements are rapidly changing for both local and international regulations, such as CRS and anti-money laundering laws.
• Adapting strategies to thrive amid geopolitical shifts: Businesses must closely monitor policy developments to manage potential impacts on investments or operations. Continuous analysis and adaptation (allied with structural flexibility, such as an offshore holding structure) are imperative for navigating the evolving geopolitical landscape. Given the potential complexity of geopolitics, companies need to regularly adjust their strategies to align with shifting policies and market conditions. This adaptability will be critical for businesses to capitalise on opportunities, manage risks, and maintain resilience amid ongoing geopolitical tensions.
Conclusion
Trump 2.0 administration presents a complex mix of challenges and opportunities for Asia’s economic and financial landscape. Businesses can navigate the complexities of this evolving landscape, and it is also important to bear in mind the possibility that at least some of Trump’s statements in 2024 may be electioneering rhetoric.
Given the uncertainties surrounding a second Trump administration, a cautious yet opportunistic approach seems fair. For businesses looking to transact in Asia, ensuring robust fundamentals exist in any transaction is key. Any arrangement should ensure sufficient flexibility to cope with the future corporate structure.
Ultimately, the region’s ability to turn challenges into opportunities and strategic foresight will determine its success in maintaining its pivotal role in the global economy. BB
Empowering economic growth through Constitutional evolution in the Virgin Islands
By Ingrid Moses-Scatliffe
Despite its regular features in glossy publications for its financial services and tourism, the Virgin Islands remains a relatively young society. Walking the streets of Road Town or Spanish Town, one can still encounter individuals—modern-day explorers—who left behind the comforts of larger societies and stumbled upon the Territory’s 59 square miles in search of something different.
Many of these adventurers discovered a set of sleepy islands with sandy roads, limited access to electricity and potable water, and an economy largely reliant on small-scale agriculture and trade with the neighbouring U.S. Virgin Islands. Yet, within 75 years, the Virgin Islands has undergone a remarkable transformation. Its young people are among the most educated in the Caribbean, its financial services sector is world-renowned, and strategic tourism policies and investments have created a superior tourism product. These industries, combined with a foundation of governance reforms, have redefined the Territory’s socio - economic and landscape.
This evolution did not occur by chance. It reflects the power of strategic governance and the critical role constitutional advancements play in enabling economic success. As the Virgin Islands embarks on its latest constitutional review, it is an opportune time to explore how governance reforms have shaped its economy—and how they can continue to do so in the future.
Laying the Groundwork for Change
In the early 20th century, the Virgin Islands operated under the Leeward Islands Federation, an administrative structure that left local voices unheard. The dissolution of the Virgin Islands Legislative Council in 1901 marked a low point for local governance, as decision-making moved entirely to distant colonial offices. This governance model ignored the social and economic realities of Virgin Islanders, exacerbating poverty and stagnation.
Frustrations eventually boiled over. By 1949, deteriorating conditions spurred Virgin Islanders into action. Led by Isaac “Glanny” Fonseca, Carlton de Castro, and Theodore Faulkner, residents marched to demand greater control over their affairs. Their efforts paved the way for the 1950 Constitution, which reinstated the Legislative Council. Though largely symbolic, this step set the stage for meaningful governance reforms.
The 1954 Constitution and Elections Act introduced universal adult suffrage, granting all citizens the right to vote for the first time. This expanded democratic participation, allowed Virgin Islanders to play a greater role in shaping the Territory’s future, and laid the foundation for further advancements.
The dissolution of the Leeward Islands Federation and the subsequent establishment of the West Indies Federation (1958–1962), encouraged the Virgin Islands to assert its independence in governance, as its newly elected local leaders opted not to be part of this new administrative block. A decision that would later prove pivotal in the Territory’s development.
The 1967 Constitution marked a watershed moment, establishing ministerial government and transferring significant administrative responsibilities to local leaders. For the first time, Virgin Islanders could elect officials to oversee key areas of governance. This accountability fostered a stronger sense of ownership and created the conditions for economic innovation and stewardship.
Leadership rooted in the local context has been equally vital. Virgin Islanders benefit from leaders who understand the Territory’s cultural, social, and economic realities. These leaders have guided the community through challenges such as natural disasters and economic fluctuations, ensuring resilience and continuity.
During the election year of 1967, the Virgin Islands also elected a lay preacher as Chief Minister. Hamilton Lavity Stoutt would go on to transform the Virgin Islands and symbolize what attuned local leadership can do for a young Territory.
The shift toward local governance coincided with the Territory’s first steps to diversify its economy. Led by Stoutt, the government recognized the need to move beyond agriculture, creating policies to promote tourism and financial services. These decisions laid the groundwork for the Territory’s transformation into a global economic hub.
Under the leadership of Chief Minister Willard Wheatley, in 1978, the Virgin Islands achieved financial self-sufficiency, just two years after the enactment of the 1976 Constitution. This milestone marked the end of reliance on British grant-in-aid and underscored the Territory’s capacity for self-management. It also catalyzed
new opportunities for local professional development, proving that Virgin Islanders possessed the talent and expertise to succeed on the global stage.
Such opportunities came to individuals like Cyril B. Romney, the Virgin Islands’ first local Financial Secretary, who would move on to become Chief Minister. Romney, a name now synonymous with the signing of the International Business Companies Act which accelerated the Territory’s economic success.
Under the leadership of Chief Minister Dr D. Orlando Smith, the 2007 Constitution Order represented a significant leap forward in governance. It expanded the Virgin Islands’ autonomy and strengthened its institutions, enabling the Territory to better address local challenges. Key features included:
• The Office of the Premier, which centralized executive leadership and enhanced decision-making.
• Financial management powers, allowing the Territory to allocate resources more effectively.
• The National Security Council fostered collaboration between the Governor and Premier on security issues.
• The Human Rights Charter enshrined fundamental rights and freedoms for all residents.
These reforms gave Virgin Islanders greater control over their affairs and bolstered their ability to navigate challenges unique to small island nations.
The current constitutional review, initiated in 2022, seeks to address lingering issues and further expand self-governance. It is interesting to note, that due to the lack of education provided to citizens following the 2007 review, many of the recommendations appear yet again in the 2022 review. Key recommendations include:
• Shifting the management of the public service to local control.
• Strengthening transparency through Freedom of Information laws.
• Expanding legislative representation to reflect population growth.
Each constitutional milestone has propelled the Virgin Islands toward greater economic autonomy and innovation. Despite these advancements, gaps remain in the governance framework, particularly in areas critical to economic stability. The
public service, managed under the Governor’s Office, continues to face challenges in efficiency and responsiveness to the modern-day Virgin Islands.
This is often manifested in the pull and tug of politicians who have successfully done the work of campaigning, and seeing and understanding the challenges of everyday residents and the urgent need for improved public policies, being forced to work within the constraints of an archaic public service. This has slowed infrastructural projects and hindered the Territory’s ability to adapt to global economic shifts.
Many of us still remember the 2007 constitution negotiations. The management of the public service was a key area that the government focused on at that time. Based on a series of local public meetings, it was widely understood that having a public service, managed by the democratic leadership would best serve the interests of the Virgin Islands.
Unfortunately, the Opposition at the time went against the people’s wishes when the phase of negotiations moved to the United Kingdom. The expressed consensus from the public meetings on the constitution and the government’s intentions, unravelled during this phase, leaving the public service in the hands of the United Kingdom’s appointed Governor.
Given the Territory’s success across different government administrations in managing greater constitutional responsibilities, many of us wonder how the public service of the Territory, and thus the basic administrative responsibilities of the Virgin Islands, might have evolved.
Additionally, the absence of functional oversight bodies, such as the Human Rights Commission and a fully resourced Complaints Commission, undermines accountability and public trust. These institutions are essential for fostering a stable environment where businesses and citizens can thrive.
Constitutional Reform as an Economic Driver
Constitutional reform has historically been a catalyst for economic growth in the Virgin Islands. The 1967 Constitution enabled the development of tourism and financial services, which now form the backbone of the Territory’s economy.
The establishment of the Financial Services Commission (FSC), exemplifies the positive impact of governance reform. By maintaining the Territory’s reputation as a world-class financial jurisdiction, the FSC has played a critical role in sustaining government revenue and creating opportunities for Virgin Islanders. The Territory now boasts an annual budget of over $450M; 60 percent of which comes directly from the financial services industry.
This industry has faced unprecedented regulatory changes in recent years. The Foreign Account Tax Compliance Act (FATCA) of 2010 and the Economic Substance requirements introduced in 2019 demonstrate how external pressures can reshape the Territory’s business environment. While the Territory skill-fully implemented these requirements, the process highlighted both strengths and limitations in our current governance structure.
The current constitutional framework creates a complex regulatory compliance pathway that impacts our competitive advantage in the global financial services sector. When implementing international requirements, such as those from the European Union, we are required to operate through layers of regulatory dialogue: first
between the Virgin Islands and UK authorities, then from the UK to the EU, and back through the same channels for any required modifications. This multi-layer approval process has tangible implications for our financial services sector’s agility.
Competing jurisdictions like Singapore and Dubai could engage directly with the EU to align their regulatory frameworks, but the Territory’s response required additional layers of consultation through the UK government. This extended timeline affects not just regulatory compliance but has broader implications for our over 365,000 financial services clients that depend on our ability to quickly adapt to evolving global standards.
Enhanced constitutional authority over financial services regulation would enable the Territory to engage directly with international regulatory bodies, potentially accelerating our response to global initiatives, while maintaining the robust oversight that has made the Virgin Islands a premier financial services jurisdiction.
Despite this, the Territory’s response to these challenges showcases our jurisdiction’s adaptability - wholly due to its local leadership.
The Financial Services Commission established dedicated FATCA and Economic Substance units, demonstrating how enhanced local governance can effectively respond to global demands.
While our past accomplishments have been significant, it is critical that our leaders continuously look ahead. For the Virgin Islands to maintain its edge, our constitution must keep pace. Future reforms must address the following areas to bolster economic development:
1. Economic Diversification: While financial services and tourism remain dominant, there is an urgent need to diversify the economy. Constitutional reforms can support policies promoting emerging industries like renewable energy, blue economy initiatives, and digital finance. For instance, enabling local leaders to negotiate trade agreements or develop tax policies tailored to these industries, could unlock significant opportunities. Creating specialized economic zones and innovation hubs could attract new businesses and foster entrepreneurship, particularly in technology and sustainable development sectors and can see the Territory emerge as a leader in industries such as fintech and sustainable tourism.
2. Transparency and Efficiency: Introducing more robust Freedom of Information laws and strengthening the Auditor General’s Office could enhance governance transparency. Businesses and investors thrive in environments where accountability is prioritized. Implementing digital governance solutions and streamlining bureaucratic processes would reduce administrative burdens and create a more business-friendly environment. Regular public reporting mechanisms and independent oversight committees could further strengthen institutional accountability.
3. Inclusive Governance: Ensuring that constitutional reforms reflect the voices of all Virgin Islanders—including youth, elders, and diverse economic sectors—will create a framework that supports equitable development. This inclusivity builds resilience by ensuring policies are grounded in local realities. Establishing formal consultation mechanisms and community advisory boards could strengthen participatory democracy and ensure reforms address the needs of all stakeholders. Special attention should be given to empowering historically underrepresented groups in decision-making processes.
4. Sustainable Development: The Virgin Islands’ vulnerability to
The Virgin Islands has undergone a remarkable transformation— its young people are among the most educated in the Caribbean, and its financial services sector is world-renowned.
climate change underscores the need for policies protecting the environment, while fostering economic growth. Constitutional provisions for environmental stewardship could enable the Territory to lead in sustainable tourism and renewable energy. Implementing green building codes, developing climateresilient infrastructure, and creating marine protected areas would safeguard natural resources while creating new economic opportunities. Educational initiatives focusing on environmental conservation and sustainable practices could prepare the workforce for green economy jobs.
5. Infrastructure Development: Modern, resilient infrastructure is crucial for economic growth. Constitutional reforms should facilitate public-private partnerships for infrastructure projects, ensuring efficient delivery of essential services like transportation, telecommunications, and utilities. This includes developing smart city initiatives, upgrading port facilities, and expanding digital connectivity across the islands.
6. Human Capital Development: Investing in education and workforce development is essential for long-term economic success. Constitutional provisions supporting technical training programs, international educational partnerships, and professional development initiatives could help build a skilled workforce ready for emerging economic opportunities. Special emphasis should be placed on developing expertise in highgrowth sectors like digital technology, renewable energy, and sustainable tourism management.
These initiatives require a governance framework that supports long-term planning, transparency, and accountability. By aligning reforms with these economic priorities, the Virgin Islands can build a more resilient and sustainable economy.
Lessons from Global Examples
The Virgin Islands can draw inspiration from other jurisdictions that have leveraged governance models for economic success. By examining their path, we can identify practical solutions that combine autonomy with strategic partnerships. For instance:
• The Cook Islands operate under a free association with New Zealand, benefiting from defence and foreign affairs support while maintaining autonomy in domestic policies. This arrangement allows them to focus resources on economic growth rather than military expenses. The Cook Islands has used this flexibility to develop a robust tourism sector and diversify its economy through financial services.
• Bermuda’s model demonstrates how enhanced autonomy can attract international business while retaining ties to the UK for strategic advantages. Their success in insurance and reinsurance markets shows how regulatory independence, combined with the stability of British connections, can create a thriving financial centre.
• The Crown Dependencies of Jersey and Guernsey offer examples of tailored governance structures that balance local control with international engagement. These islands have built sophisticated financial services sectors, while maintaining their unique cultural identities and political autonomy. Their success stems from their ability to adapt quickly to global market changes while benefiting from the UK’s diplomatic and defence umbrella.
• Singapore’s transformation from a colonial port to a global financial hub provides lessons in how strategic autonomy can drive economic development. While not directly comparable, their experience shows the importance of strong institutions and a clear economic vision.
These models show that governance is not a binary choice between full independence and colonial rule. Intermediary frameworks can provide the autonomy needed to innovate while maintaining strategic alliances. The key lies in finding the right balance that allows for economic development, preserves cultural identity, and ensures long-term stability.
Success in these jurisdictions has often come from their ability to:
• Maintain flexible regulatory frameworks
• Develop specialized economic niches
• Build strong institutional capacity
• Foster international partnerships while protecting local interests
• Invest in education and workforce development
All key areas that the Virgin Islands has steadily worked towards.
In conclusion, our economic transformation over the past 75 years reflects the power of strategic governance. Without a doubt, constitutional reforms have enabled the Territory to innovate, attract investment, and build a prosperous future. However, the work is far from complete.
As the Virgin Islands navigates its next phase of constitutional and economic development, its leaders must remain focused on creating a governance framework that empowers its people, fosters innovation, and ensures sustainability. By addressing gaps in transparency, accountability, and public service management, the Territory can unlock its full potential and secure its position as a global economic leader.
For investors, policymakers, and citizens alike, the message is clear: governance matters. The decisions made today will shape the Virgin Islands of tomorrow—a resilient, innovative, and thriving community ready to meet the challenges and opportunities of the 21st century. BB
There is no place like home
By Lucienne Smith
However, 85% of the total number of transactions in the last three years were made by Belonger buyers.
The British Virgin Islands (BVI) has long been recognised as one of the Caribbeans most sought after destinations, renowned for its outstanding natural beauty, stable governance, and tax-neutrality. While there is established international interest in BVI real estate, with momentum coming from the Americas, Canada and Europe, ‘Belongers’, those individuals who have been granted status through birth, descent, or government recognition, play a vital and often undervalued role in shaping the territory’s real estate landscape.
Over the last three years (2022 – 2024) the total sales value in real estate sales transactions, has been circa $320 million. Overseas investors have made some high value acquisitions making their footprint significant, however, 85% of the total number of transactions in the last three years were made by Belonger buyers. The commercial landscape has been completely transformed over the last
five years, propelled by the vision and determination of Belonger private business owners. The recent construction of stateof-the-art offices on Wickhams Cay and at Port Purcell on Tortola and Nazel Point on Virgin Gorda, along with new world class medical facilities at B&F Medical and Bougainvillea Clinic is changing the skyline and redefining island living. Domestic investment in the BVI is thriving and there are a number of reasons why BVI Belonger buyers are motivated to invest locally.
Family Legacy & Generational Land Wealth
For many Belongers, investing in property is deeply personal, reflecting pride and a strong connection to the BVI community. Land ownership is a part of the BVI’s DNA. It is not uncommon for families to possess century-old parcels of land exceeding 20 acres, which are often kept within the family and never listed for sale. It is this tradition that ensures large swaths of valley and coastal land remain undeveloped.
Young BVI Belongers without inherited family land are keen to create roots for themselves, and their future family, and will in the first instance seek to secure a small parcel of land. Over the last twenty years, road access has allowed a number of large estates to be successfully subdivided for sale, which has enabled these first time Belonger buyers to secure 0.4+ acres at entry level price points.
In addition, we have seen, Belongers returning to the BVI after study and following a career path overseas, wanting to return home to create a new life in the BVIs or a second home for themselves to enjoy in retirement and to share with their children and grandchildren. If you are from the BVI, establishing a legacy and lasting connection to the community is compelling.
Investment Agility
Belonger buyers enjoy certain advantages in the BVI property market that can make investing highly attractive.
Belonger buyers:
• are not required to obtain a Land Holding License, enabling them and the sale to move with speed & agility
• benefit from a reduced stamp duty, 4% of the agreed sales price, compared to 12% for a non-Belonger, lowering the overall cost of acquisition
• have a right of first refusal clause. If a
Non Belonger is making a purchase, a Belonger buyer has the option to take on the purchase if they can match the terms of the existing sale
All these benefits contribute to giving the BVI belonger buyer a strong competitive advantage in the market, when negotiating with prospective sellers and deals can be made and sales closed quickly! If a mortgage is required, it may slow down the buying process. Many BVI banks require extensive documentation and may need to consult their Head Office before they can approve lending which can be time consuming. However, all the BVI banks offer financing and are actively expanding their lending portfolios. VP Bank, owned privately, can approve loans here in the BVI, so they can turn around applications quickly. Positively, the bank is proactively focussed on growing its BVI Belonger buyer portfolio.
Strategic Planning & Economic Stability
BVI Property ownership gives stability admist ongoing global economic uncertainty. With Superpowers negotiating over tariffs and share prices fluctuating wildly, BVI real estate offers Belonger buyers with a very safe and tangible asset. A deep familiarity with and understanding of each island and its respective community, within allows the Belonger buyers to identify where they want to invest and to wait for the right opportunity to present itself.
Strategic and patient purchasing is the hallmark of the BVI investor, and it is not unusual for one individual to own multiple properties and to have a mixed portfolio (residential and commercial). Portfolios are often a mix of acquisitions and new builds and on island talent in architecture, engineering, construction and interior design supports this. Entrepreneurial business owners often diversify from their core business and expand into real estate. Realising the opportunity to generate income, they build apartments on the hillside for long term rentals and purchase properties on the waterfront or close to beaches for short term rentals.
We have seen an organic shift in ownership in recent years, from Non Belonger to Belongers. As overseas second homeowners age, they may find travel more challenging, preferring to spend the winters at their primary residence, with their grandchildren rather than seasonly relocate to BVI. When these properties are listed,
we have seen some of the islands premiere homes transition to Belonger investors. The buyers have either made them family homes or operate them as successful luxury vacation rental options. St Bernards Hill House in Belmont, Surf Song on Beef Island and Mango Manor in Shannon are examples.
Belonger buyers are also keen to maximise on the emerging trend in tourism, for remote and unspoilt destinations, and we have seen increased interest and moment for emerging markets like Jost Van Dyke and Anegada
Belonger investors have the insight to enable them to sit back and observe the market and make their investments in a timely and strategic manner. They know that once acquired, these investments will generate revenue through residential rentals and commercial leasing, which is underpinned by the strong capital growth.
Supporting the BVI & Growth
Tourism accounts for almost 50% of the GDP and is a flourishing sector. The last season 2024/25 was the busiest we have seen in ten years. The direct daily flights from Miami, peaking to six flights a day during the high season, the anticipated airport expansion and the scheduled new ferry terminals will support increased visitor numbers. Accommodation & the commercial mix will be key success factors. Belongers are increasingly maximising on these opportunities by investing in properties that can deliver both affordable and luxurious villa rental options. Platforms like Airbnb, VRBO have opened new avenues for property-based income once a property has been acquired. The investment has not just been in residential stock. We have also seen significant growth in the commercial sector – retail, restaurant and office space can provide a steady and very credible revenue stream.
Forward Planning
For BVI Belongers, property investment is more than a financial decision, it is a commitment to heritage, a strategy for wealth creation, and a way to actively participate in the cultural, social and economic fabric of the territory. As the BVI continues to grow and attract investors from all over the globe, the Belongers’ role in shaping the future through strategic real estate investment will remain both vital and essential. BB
Tourism andregainedfreedoms
7 The CHICest LUXURY VILLAS at
Oil Nut Bay
7-Bedroom Estate Neighborhood
Perched on eleven acres in Oil Nut Bay’s Estate Neighborhood, Wings offers 180-degree ocean views and total privacy. This 9,513-square-foot estate, with an additional 14,159 square feet of outdoor living, features six luxurious free-standing bedroom suites, each with a plunge pool, outdoor shower, en-suite bathroom, sitting area, and kitchenette. The central hub, “The Nest,” includes a spacious great room, gourmet kitchen, dining room, and office, plus a separate chef’s kitchen and flex space. Outdoor highlights include “The Bird Bath” with an infinity pool and dining area, and “The Perch” patio with a fire pit. Ideal for weddings, retreats, and large gatherings.
The Beach House
6-Bedroom
Beach Neighborhood
The Beach House is a premier oceanfront villa in the British Virgin Islands, blending European sophistication with island charm. This luxurious retreat offers six stunning bedrooms, six full bathrooms, and 1 half bath. The gourmet kitchen, designed for culinary excellence, opens to indoor and outdoor dining for 12. Outside, a large infinity pool and fire pit create the perfect setting for evenings under the stars. Ideal for families, it features two primary suites with private courtyard showers and four guest rooms, each with en-suites. Spacious outdoor areas offer ample space for lounging, dining, and entertaining.
Quintessa 5-Bedroom
Boulders Neighborhood
Nestled in the hills of the Boulders neighborhood, this luxurious 5-bedroom villa offers stunning 180-degree views of cliffs, waves, and open ocean. Euro-wall sliders create a seamless indoor-outdoor living experience, with multiple spaces to lounge and entertain. The gourmet kitchen and outdoor kitchen provide modern conveniences for dining. The five lavish bedrooms feature private terraces, en-suite bathrooms, and outdoor showers. The separate Honeymoon Suite includes a private entrance, sitting room, wet bar, plunge pool, and more. Enjoy the infinity pool by day, and relax by the fire pit under the stars at night. The Honeymoon Suite is also available independently.
Water’s Edge
4-Bedroom
Ridge Neighborhood
Perched on the North Ridge, Water’s Edge Villa offers luxurious living with breathtaking ocean views. Its indoor and outdoor spaces feature clean lines, natural stone, and floor-to-ceiling glass doors. The primary suite includes walk-in closets, an outdoor shower, and a soaking tub, while three additional guest rooms each have ensuite bathrooms, private patios, and separate entrances. The villa boasts a vast infinity pool overlooking Oil Nut Bay’s beach and bay, with ample space for outdoor lounging, dining, and entertaining. This elegant villa seamlessly blends luxury and nature for an unforgettable BVI experience.
Amanzi
3-Bedroom
Deep Bay Neighborhood
Perched at the ocean’s edge, Amanzi at Oil Nut Bay is a masterful blend of luxurious indoor refinement and breathtaking outdoor living. Each of the three king-sized suites is designed for privacy and panoramic Caribbean views, with the primary suite offering direct access to a private terrace, a spacious bath, and an al fresco shower. The open-plan living area flows seamlessly from a gourmet kitchen to an expansive sun deck, perfect for entertaining. Just moments from the vibrant Marina Village and Beach Club, Amanzi offers a secluded, serene escape while keeping you connected to Oil Nut Bay’s world-class amenities.
Shanti
2-Bedroom
Marina Neighborhood
Shanti, meaning peace and tranquility, offers a serene escape perfect for two couples or small families. The lower level features two spacious suites with en-suite bathrooms and stunning sea views from every room. A full kitchen and an oversized terrace with ample lounging spaces provide the ideal setting for relaxing and enjoying sunsets over the water. Located within walking distance to the Marina and Marina Village’s boutique shops and overwater restaurant, Nova, Shanti, is also just a short drive from the resort center, including the Beach Club and other premier amenities at Oil Nut Bay.
The Cliff Penthouse
1-Bedroom
Atlantic Ridge Neighborhood
Cliff Penthouse epitomizes island chic and exclusivity. Its expansive floor plan flows effortlessly onto a wraparound terrace featuring a private infinity pool with breathtaking ocean views, making it one of the most coveted rentals in the BVI. Remotely controlled glass doors lead to the terrace, inviting the stunning sea views inside. The interior offers an open-plan design, complemented by a serene private bedroom with a luxurious en-suite bathroom, creating the perfect blend of indooroutdoor living in a truly idyllic setting. BB
Nanny Cay plans major expansion as marina eyes super yachts
By Rushton Skinner
Nanny Cay’s latest expansion project is before cabinet, according to General Manager Miles Pilch, marking another successful step in the marina’s $30-$40 million expansion.
The project which would add a 112-slip marina to the cay’s southwestern tip and replace the existing beach area with a new islet built nearby — is part of ongoing plans to accommodate larger yachts, Nanny Cay Chairman Cameron McColl said at a public meeting in October of 2024. The proposal drew mixed reactions, with some residents drilling Mr. McColl about possible effects on nearby Sea Cows Bay and others defending the expansion and lauding Nanny Cay’s previous successes. Four months later, Nanny Cay’s GM said that a decision from government is “imminent,” following a set of conditions being met from the Town and Country Planning Department.
Project
The project is part of Nanny Cay’s plans to expand further into the s uper-yacht industry.
Besides the new 112-slip marina, the expansion would facilitate repair and drydocking for such boats by adding a new boatyard and a 200-ton haul-out facility accommodating vessels as large as 120 by 43 feet. To help accommodate and shelter the new marina, a breakwater would be constructed, and the navigation channel into Hannah Bay would be realigned. This realignment is expected to be the only part of the project to require dredging, according to Mr. McColl. The project would create an additional 4.6 acres of land including 48 new parking spaces. For special events, the expanded dry dock storage yard would be able to accommodate as many as 180 vehicles when not occupied by vessels, according to the Environmental Impact Assessment. If government approves the expansion as Mr. Pilch expects, the project could create an estimated 91 new jobs.
The plans involve filling in the small beach area in front of Peg Leg’s Restaurant on the southwestern end of Nanny Cay. That beach, however, will be replaced with a newly constructed recreational islet to the north, which the community will be able to access via a wood bridge, according to the plans. Mr. McColl told meeting attendees in October that VI contractors will be used for all ground works.
Community meetings
In October 2024, government Chief Planner Greg Adams explained that a previous public meeting had been held on July 4, 2024. In July, he explained, community members were “dissatisfied” about a lack of attention paid to the project’s limited environmental impact assessment, which was completed in May 2024 by Econcerns Ltd. The expansion has already received conditional approval from government planners, and full approval will follow once the developers meet required conditions, according to Mr. Adams. Meanwhile, coral relocation has already been carried out to make room for reclaimed land and the new marina. This relocation started early, with permission from the Ministry of Environment, Natural Resources and Climate Change because it could not be done at the time of year when developers hope to start work on the expansion.
Community response
During the meeting in October 2024, some residents expressed concern about environmental impacts, especially in Sea Cows Bay. In response, Mr. McColl described Nanny Cay’s previous expansion in the early 2010s as evidence for likely success. That $75 million project — which also included coral transplanting — brought the total number of boat berths from 200 to 320 and added several new condo blocks, according to the EIA. While the EIA estimates Nanny Cay will
experience 10 percent more traffic, Mr. McColl reiterated in October that no new residential housing will be constructed that could increase traffic at odd hours. “No more real estate,” he said. “No more homes.”
Coral transplantingBesides outlining the likely environmental impacts of the project, the EIA proposes mitigation measures. “The proposed expansion plans should have no substantial impacts on coastal processes, such as currents or wave action, over a large area,” the EIA states. “Any construction in the sea may affect localised currents in the vicinity of the structure.”
The document also addresses the potential impacts of sedimentary runoff, which can kill coral and other marine life during construction. “Erosion on land is a risk and is a concern to this project,” the EIA states. “Care must be taken to prevent any land-based sediments from entering the sea.” To that end, the EIA advises installing turbidity curtains around the project’s perimeter during construction. With such mitigation efforts in place, the EIA states, “It is expected that habitat disturbance, beyond the obvious construction footprint, on land and in the marine environment, will be minimal and temporary.” The assessment adds that coral habitats around Nanny Cay and in other areas are already suffering. “Previous studies have shown that coral reefs near Nanny Cay, and along the entire coast of Tortola, have not fared well in recent years,” the EIA states.
The EIA does not say how much coral would be destroyed or displaced as a result of the construction, but it noted that the relocation project would help mitigate the project’s impact in this regard. “Natural habitat succession, especially in the marine environment, will begin once disturbance ceases. However, intervention can greatly accelerate the process and restore thriving marine communities more quickly,” the EIA states. “The coral relocation project has identified colonies in danger of damage during construction. Numerous colonies have been relocated to nearby suitable sites. Such mitigation is useful and should be encouraged.” BB
A TOURISM SERMON
Delivered by Clyde Lettsome
On the occasion
The world changed on November 5th, 2024. Donald Trump was re-elected president of the United States after a 4-year hiatus. Since then, I have been checking the news daily to read what Trump did that day or intended to do. I never engaged in such an activity when Joseph Biden was president.
As I watched the inauguration of the 47th President of the United States, I noticed something that I found curious. At least 4 tech CEOs and or billionaires, including the wealthiest man in the world were in the benches usually reserved for family, past presidents and special guests of the incoming president. The message was clear, money and power are close companions. Power cannot exist without money and money needs power to create an enabling environment that allows for the making of more money.
And that money made, better known as profits, is used to employ people, procure goods and services, pay taxes, invest and fuel economies. And the sum of all that economic activity, the economists would say, contributes to the GDP of a country or Territory. (For example, the GDP of BVI is, just over $1B) {Nominal GDP 2021-1,4B; Nominal GDP 2025 -1.8B}
And then, I reflected on a discussion at the World Economic Forum sometime last week that included Kristalina Georgieva, the MD of the IMF and the European Central Bank President, Christine Lagarde.
The IMF President said that: The world is changing rapidly. “Capital needs long legs to make a difference. Where did capital go? - to the US. The US has a culture of confidence. Europe has a culture of modesty. More confidence is needed in Europe. Believe in yourself and tell others that you do.” So, the expressed lack of confidence is costing Europe investments. (What about you fine folk here this morning? Are you confident in what you do?)
It is not strange that this is the level of discussion taking place in the fora that matter. The US is the greatest consumer on the planet and everyone wants to get into its markets. As far as our main industry goes, our largest market share comes from the US. That is not surprising and we do well to cultivate it.
But the US knows its worth. Its people demand service, ease of movement, all that is novel and beautiful, access, courtesy. Tell the truth. How easy is it to get to the BVI? The American flights help tremendously, but those flights, up to 6 per day, are usually oversold and people are bumped. I was one such person. And if the runway is wet, all bets are off. While we let our guests and snowbirds dictate to us that we do not need to extend the runway, they all have easy air access in their countries.) But let us glance away for a moment.----I promise to circle the wagon.
Who are we in the BVI?
SERMON
We are a resilient group of people with a heritage born out of slavery and the slave trade. But the BVI of yesterday is not the BVI of today. Since then, many have been grafted in and we have nationals from over 110 countries among us. BVI is a very complex place; one of the most cosmopolitan on the planet and we are dependent on service industries to keep us and our economy afloat. Tourism and Financial services are our industries, with tourism putting more people, by far, to work.
So, we cannot still be hung up on the question of service vs servitude. But we are. We still do not know how to treat each other. We do not know how to treat our guests. We hardly know
how to treat ourselves.
We feel that if we say; yes sir or thank you madam, it means we are a slave. We are not comfortable in giving service. But we must be if we are to excel in our chosen industries.
A running joke among the people of all levels who visit us is that the BVI treats everyone like shit! While that may be good for a laugh around the dinner table and at the bar, it cannot be acceptable because it is disgraceful for a Territory that depends upon tourism the way we do.
Remember Irma and Maria when the Territory was closed for tourism business? Remember the suffering? The absence of wages to buy our groceries, pay our car loans, rents and mortgages, send our children to school? Remember the difficulty we had with leaving the Territory by air unless you knew someone who owned a private jet? And how many such persons do you know? And remember how the private sector, notably the Virgin Gorda private sector, came to the rescue?
Investors paid their staff to work cleaning up the community. They brought in supplies; Food, water. They set up soup kitchens. They used their vessels and private jets to transport people out of the Territory for medical and other appointments. They rebuilt schools and helped with electricity.
Power did not bother to say; ‘Thank you.’ I know that first hand for through the Foundation that I run for ONB, we rebuilt the ROMPS in North Sound and all I asked for, several times, was a letter stating that we did so. I have yet to receive it.
Remember the Pandemic? It was a repeat performance, although on a smaller scale. Hospitality took another hit. Life became extremely difficult. Power was still in place, but money was wounded and the community hurt. But everything passes. Irma and Maria and Pandemic passed. And we were back in the game. Money reinvested and business returned. And yet, our front-line staff did not learn how to treat our guests. They hardly welcome them with smiles when they come to the Territory. They penalise them by holding them for hours on vessels, because captains may not have complied with the law in vogue. They threaten them with repatriation. They withhold service because they can. Yes, Power. Which is exactly what you represent.
In small communities, Power looms large, but it forgets that it and Money are companions.
I will give you an example of a good business ethos for the Tourism Ministry to adopt. Where I work at Oil Nut Bay, the Developer says to all of his staff; from the grounds keepers, to the restaurant workers, to the room attendants, to the maintenance team, to the marketing and sales
people, to the villa managers to the company Executives: He says to all of us: “You are in sales and everything you do, every interaction you may have with guests is an impression you leave, that will influence a sale. And if there are no sales, there is no revenue so none of us will have jobs.
Now, you see where I am going. For, often, just as the whole is greater than the sum of its parts, so, you, the Tourism Ministry; You must know that tourism is everyone’s business and it is for you to chart the course and manage the product. Not only are you in tourism; YOU ARE TOURISM!
What does that mean?
It means that from the minute you get up, until you return to bed, you are the face and voice of tourism. You must dress the part, talk the part, be the part. You must know how to interact with the front-line staff (some of you already do) for the benefit of your visitors. You must understand how to speak truth to power for the benefit of tourism. That means a workable infrastructure, good air access, good ground transportation, security; Training, Training, TRAINING!!! You cannot have enough of that.
You must understand how to represent your industry at home and abroad. You must be advocates for tourism and work with the various functionaries of government on behalf of your industry. You must be skilful in marketing the destination and collaborate with industry partners to stretch your dime.
Let me ask you; How many of you know the BVI tourism product. Have you visited most or all of your tourism infrastructure; the hotels and the pleasure boat brokers especially? Do you understand what the Money side of your equation needs to be successful. Do you know the owners and managers of the establishments? Can you pick up your phone and ask a question of them or solve a problem? That is all part of the job. YOU MUST VISIT THE PROPERTIES, ONE BY ONE.
So, you, the members of this newly minted Ministry of Tourism; You represent the industry that keeps us alive. It is up to you and your Minister to blaze the trail, chart the course, set the standards, do the marketing, train the people; build the infrastructure and ensure the safety of ourselves and our guests. You must also clean and beautify our surroundings, provide the plan, attract and incentivise private sector investments and to borrow from the economists, create the enabling environment that keeps the product refreshed and the industry profitable.
My experience from where I now sit, is that I spend most of my time begging government functionaries to provide us with the services that we need in a timely manner. Of course, I bow to power. I must, otherwise the business goes to shreds.
And you must not be satisfied that last week the UK Daily Telegraph named the BVI in the top 3 of the safest places to visit in the subregion. We must strive to be #1; The safest; for ourselves and our guests. That is what we were and if we allow the few to spoil it for the many, what future are we bequeathing our children?
So, your question must never be; Do you know who I am? We know! You are Power and that power must be used to serve, to help; Never to hurt; And definitely not to prop yourself up at the expense of the industry that you serve.Therefore, when you get up each day and go to work; you are actually going to ensure the survival of the Territory. You are helping countless to earn money to underwrite their responsibilities and realise their goals and aspirations. Your job is extremely important. The Territory is counting on you.
Decades ago, I sat where you are sitting and I want to believe that my Team and I did a credible job. At least, that was the feedback we got. Tourism was only a subject under the Premier’s portfolio at the time. We took the job seriously and so should you. We felt an ownership for tourism and all the matters associated with it. We had our finger on the tourism pulse of the Territory.
I met regularly with the Chairman of the Tourist Board and the Director in those days. I spoke to property owners and managers. I helped to organise training for taxi drivers and front-line workers. And we strategised to increase the BVIs market share of voice and tourism. We knew that the overnight guest was our bread and butter but we also encouraged cruise for many of our people were buying into that business and making heavy investments.
My baton was passed in 2007, then ultimately in 2010. And now it is your job to carry on the legacy. But you need some tools to be effective.
For starters, you need a plan. We have been without one for years. But I feel confident that with the leadership now in the room, we will get one. For it is your duty now, to set the tone and direction for all to follow. If it’s tourism related it is the ministry’s business. At the weeds level –and as stated, there is a need for a clear tourism policy to guide the sector, coupled with a detailed strategic plan. We must not end 2025 without these being completed and handed off to the Minister for implementation.
And you need to understand how important marketing is. You, at the Ministry, cannot adopt a hands-off approach. People will feel that the Territory is not open for business if our name is absent from the marketing environment.
It is almost criminal that the Territory’s marketing budget has been static for more than a decade. That tells me we are not serious about the business we are in. Power is letting the side down.
When I worked in the Premier’s Office, I often remarked to my staff that we were on the flag ship of the Government. And now, in addition, you are in the ‘lead ministry’ that touches the lives of ordinary BVI residents, investors, the business community, everyone. You are the pacesetters for BVI tourism.
Certainly you will need to carry out fact finding missions and have attachments to Ministries of Tourism in other Caribbean destinations that are successful. It is imperative that you develop relationships with CTO, CARPHA, OECS from a research and development and training perspective.
Even an attachment to the World Travel and Tourism Council can prove beneficial. They are strong in statistics gathering. And it is statistics that will help to show you where you should be going and what you should be doing. Certainly it will say what you have achieved.
You also need collaboration with your industry; And a meaningful partnership with the BVI Yachting, Hotel and Tourism Association. I happen to be the interim Chairman of that Board at the moment. The BVIYHTA is not your enemy. We are your partners and we want to help and we need your help. You have yet to give us a seat on your Board although you have indicated that the way has been cleared to do so. We have, long ago, given you a seat on ours.
Collaboration goes both ways.
Tourism isn’t just the business of the Tourist Board and the Ministry of Tourism; It is everybody’s business. So do not be afraid of constructive criticism. That is what makes us strong. That is what makes us strive to be better.
Let me leave you with the message communicated in a book I read years ago by Ayn Rand, called Atlas shrugged. It is a story of Money and Power. Power wanted to control Money, instead of working with it. So, Money halted its investments, packed up and left the scene and you can guess the end result: Poverty, crime, idleness. The community fell apart.
There is room for both Power and Money at the table.
You get to choose whether you will be collaborative and inclusive or shun and illtreat your private sector, which seems to be a national sport for the Territory.
Yes, we are Beautiful AND we can still be the BEST, but that depends on each of you under the sound of my voice this morning.
Choose wisely.
Thank you for listening. BB
Reflections on the Virgin Islands Tourism Summit
Natasha J. Chalwell
As the newly appointed Deputy Director of Tourism, attending the Virgin Islands Tourism Summit was both a privilege and a defining moment in my journey within this industry. The timing of this summit could not have been more crucial, serving as a platform for stakeholders to gather, deliberate, and chart a course for the sustainable future of our tourism sector. The discussions, insights, and call for collaboration that emerged from this gathering, will undoubtedly shape the trajectory of our industry for years to come.
This summit also highlighted the undeniable need for cooperation across all sectors—government, private enterprise, and the local community. We must recognise that the Virgin Islands’ tourism future will not be defined by any one entity, but by how we work together in a collaborative manner. This is an opportunity for all stakeholders to contribute to a shared vision, one that ensures sustainable growth, protects our cultural heritage, and creates long-term benefits for the people of these Virgin Islands. The commitment to working collectively toward these goals is essential if we are to truly capitalise on the immense potential our islands hold.
Reflecting on the event, I was inspired by the wealth of expertise present, the shared commitment to progress, and the unyielding passion for the Virgin Islands. The Premier, Dr. the Honourable Natalio D. Wheatley, articulated the Government’s Tourism Vision, emphasising sustainability, economic empowerment, cultural integration, and investment in infrastructure. He reinforced that tourism is indeed everyone’s business and highlighted the importance of collaboration between public and private sector stakeholders, in bringing this vision to life. It was clear that this vision must be a shared one—an inclusive and collective
approach that engages all sectors of society, from government and business to the local community. Tourism is more than just attracting visitors; it is about ensuring long-term benefits for our people and our economy, and that can only be achieved when we are all working towards the same goal.
Mrs. Delma Maduro, Chairperson of the BVI Tourist Board & Film Commission spoke of the crucial role that tourism plays in shaping the Territory’s economy and identity. She emphasised the importance of balancing growth with sustainability and unlocking new investment avenues. Her call for dynamic discussions on visitor management and the enhancement of the guest experience resonated deeply with attendees. These sentiments were echoed in discussions throughout the summit, including the panel on “Balancing Growth and Sustainability in Tourism,” which brought together local experts to discuss how we can manage the impacts of tourism on our environment, while still fostering growth in the sector.
A personal highlight of the summit for me was the participation of four former Directors of Tourism, whose collective
experience and invaluable insights enriched the discussions. It is noteworthy that I have had the privilege of working with all these distinguished tourism professionals! Their engagement emphasised the importance of drawing lessons from the past, to build a more resilient and prosperous future for the Virgin Islands’ tourism sector. I affectionately refer to this group as ‘the Directors Club,’ and I truly believe that this could evolve into an ongoing and highly beneficial forum for sharing expertise and shaping the future of our industry.
We were also fortunate to hear from industry leaders who have made significant contributions to tourism across the Caribbean region. Dona Regis-Prosper, Secretary General and CEO of the Caribbean Tourism Organisation (CTO), shared invaluable insights into regional tourism trends and strategic partnerships for sustainable tourism. Her decades of experience, working with diverse stakeholders provided a framework for us to build stronger alliances, increase cooperation, and enhance the visibility of the Virgin Islands within the broader Caribbean tourism ecosystem. I was particularly struck by the insights shared by Dona, she emphasised that while the Caribbean’s natural beauty is a major draw, it alone is not enough to sustain the region’s tourism industry. Her speech highlighted the importance of strategic partnerships in building a resilient and regenerative tourism sector. By fostering collaboration between governments, private enterprises, and local communities, we can ensure that tourism growth is both sustainable and beneficial to all stakeholders. This approach aligns with the five P’s of Sustainable Tourism—Planet, Purpose, People, Partnership, and Prosperity— serving as a guiding framework for the future of Caribbean tourism.
Equally impactful was the remarks by Vincent Vanderpool-Wallace, a former Secretary General and CEO of the Caribbean Tourism Organisation (CTO),
and a former Minister and Director of Tourism in the Bahamas. His expertise in the regional tourism landscape and at all levels of his country’s government, offered an understanding of the challenges and opportunities we all face. His contributions to the topic of the role of Government in Creating and Enabling an Environment for the Growth and Diversification of Tourism, and his guidance on policies and strategies that can foster growth for Tourism in the Virgin Islands was both practical and inspiring.
The significance of this summit was further highlighted by the recent recognition of our destination on international platforms, all reaffirming that our islands remain a beacon of allure and excellence. However, Sharon Flax-Brutus, the Interim Director of the BVI Yachting, Hotel, and Tourism Association, (BVIYHTA) reminded us that accolades alone do not secure the future; strategic planning is essential, and action must follow. She emphasised that communication, inclusion, and collaboration are required to achieve the delicate balance necessary for the growth of all tourism sectors, all while maintaining the BVI’s unique selling proposition as a boutique luxury destination. I agree, we must embrace and highlight what sets us apart—our authenticity, personal touch, and unique experiences.
One of the key takeaways from the summit, was the recognition that while our tourism numbers are improving, we are not keeping pace with our regional competitors who are experiencing record-breaking growth. The lingering effects of the 2017 hurricanes and the pandemic are realities we acknowledge, but as the Premier indicated we must not allow them to define our future. Instead, we need to confront the challenges that hinder our progress head-on and develop solutions that will drive sustainable growth.
A critical area of discussion centred around infrastructure and accessibility. With our cruise sector expanding at an accelerated rate, are we adequately prepared to accommodate the increasing number of visitors? The discussions on “The Role of Government in Creating an Enabling Environment for the Growth and Diversification of Tourism in the Virgin Islands” highlighted the urgent need to address this issue. Our ports, transportation networks, and hospitality facilities must evolve in tandem with this growth, to ensure seamless and enjoyable visitor experiences.
It was clear throughout the summit, that for the Virgin Islands to reclaim its position as a top-tier destination, we must cultivate an environment where industry leaders, policymakers, and local businesses work cohesively to implement policies and projects that benefit all sectors of tourism. The “Public-Private Sector Partnership to Facilitate Ease and Efficiency of Doing Business” panel underscored the need for collaboration in navigating barriers to investment and improving regulations in the tourism industry.
Equally crucial is the focus on workforce development. Tourism is a people-driven industry, and the quality of service we deliver plays a pivotal role in shaping our reputation. Prioritising training programs that equip hospitality professionals with world-class skills is essential for enhancing visitor satisfaction and fostering repeat tourism. The “Exceeding Expectations: Elevating Customer Service in the BVI Tourism Experience” panel underscored the importance of outstanding customer service and highlighted that training should not be confined to the tourism industry alone but should be extended across the broader Virgin Islands workforce. Bill Freeman, Chairman and CEO of the Freeman Group, shared valuable insights on elevating customer service. His expertise in creating exceptional guest experiences provided us with food for thought as we work to raise service standards across all touch points in the Virgin Islands.
Sustainability and conservation were also major focal points. The natural beauty of the Virgin Islands is one of our most powerful selling points, but it is also a resource that must be fiercely protected. Sustainable tourism practices, stricter regulations on environmental preservation, and community engagement in conservation efforts were key themes explored in the summit. The “Balancing Growth and Sustainability” panel raised important questions about what environmental protection measures should be implemented to ensure that our tourism sector remains viable in the long term. As we continue to grow our tourism offerings, we must never lose sight of the need to protect our land, sea, and heritage.
The second day of the summit primarily focused on marketing and Julie Avery Cuesta, Vice President of MMGY, led a compelling presentation during the summit, focusing on innovative marketing strategies for destination success and the critical role of rebranding. She highlighted
strong travel intent among international visitors and the growing reliance on diverse information sources, such as online reviews, destination websites, and word-of-mouth recommendations. Summit attendees were particularly passionate about the need for a refreshed brand identity, with a strong emphasis on “Nature’s Little Secrets,” a theme that resonated deeply and echoed the overwhelmingly positive sentiments about the BVI experience. Cuesta also underscored the importance of data-driven marketing, AI integration, and edutainment strategies to enhance engagement and reinforce the BVI’s unique appeal.
Beyond the main discussions, one of the most promising aspects of the summit was the commitment to ongoing dialogue. The conversations initiated must not end within the confines of the gathering. We look forward to the upcoming smaller stakeholder engagements, where we can delve deeper into specific issues, identify actionable strategies, and establish accountability measures to ensure that progress continues.
As the Junior Minister of Tourism, Honourable Luce Hodge-Smith, so aptly wrapped up the event, reminding us of the importance of future engagement opportunities. She stressed that the discussions and ideas exchanged are just the beginning and there will be more opportunities for continued dialogue, where we can translate these conversations into action. The commitment to ongoing collaboration will ensure that the work we started at the summit will continue to evolve and build a sustainable tourism future.
Reflecting on the summit as a whole, I am filled with optimism for the future of the Virgin Islands’ tourism industry. The ideas exchanged, the commitments made, and the partnerships forged all signal a readiness to elevate our industry to new heights. However, the real measure of the summit’s success will be in the actions that follow. It is now our collective responsibility to ensure that the momentum generated translates into tangible advancements for our tourism sector.
If we can harness the energy and dedication displayed at this summit, there is no doubt that we will achieve a thriving, resilient and sustainable world-class tourism industry. This is our moment to shape the future of Tourism. Let’s seize it! BB
THE OUTLOOK
FOR REAL ESTATE
By Edward Childs
AAfter a marathon election campaign, Trump presidency 2.0 has begun to take shape. In an election short on policy but with plenty of personality, the passing of power from Democrat to Republican will long reverberate throughout the Caribbean. Will the US economy strengthen, as President Trump forecasts, or will his proposed programme of tariffs on the importation of foreign goods from global markets into the States have an inflationary impact on domestic prices as some predict? Whatever happens with the economy (and external factors will certainly play a role), the Trump presidency will redefine the US government and governments globally and bring a new approach to US foreign relations. We are in fr a wild ride ver the next four years (again).
2024 was a year of conflict, climate and elections. The war in Ukraine shows no sign of resolution while the proxy war in the Middle East still threatens to draw Israel and Iran into open conflict. The fall of Assad’s regime in Syria at the start of December has left a void in the power struggles in the Middle East, which regional players will want to control. Certainly, the international stage for President Trump is far more turbulent than the one he inherited in 2016. The alignment of Russia with North Korea and Iran, China’s expanding influence and investment in BRICS economies and more aggressive approach to Taiwan, plus the awakening of far-right political platforms in Europe, are all geo-political factors that even an inward-focused American president cannot ignore. Immigration, the economy and other domestic factors may have been high on the agenda for American voters, but America’s influence overseas will continue to be threatened as a new world order starts to coalesce away from western dominance. The return of President Trump to the White House has seen a return to transactional relationships rather than historic alliances. That worries America’s traditional partners in the West, but equally, some of America’s long-term foes will be unsure what will be next and their first glimpse of their relationship with the new administration may be seen first on Truth Social, or X.
After the turbulent years of the pandemic and economic shocks as the post pandemic rebound led to soaring inflation and increased interest rates, focus on climate impacts are once again topping the
agendas as countries grapple with increased weather-related impacts. At COP27, the prospect of a Trump presidency imposing a different political ideology on climate change, meant the Biden administration was unable to provide leadership in the climate negotiations. The prospect of tariffs on cheaper Chinese manufactured green technology, including electric vehicles, combined with a push for oil and gas exploration within the US as part of the “Drill, Baby, Drill!” philosophy, has climate experts concerned that the new president will turn back the clock on coal, oil and gas at the expense of green energy growth. There is hope, however, that investment in the green energy sector has potentially reached a point where it is better for a US administration to maintain the momentum rather than see this investment driven to other countries.
The APEC summit in Peru in mid-November 2024, followed by the G-20 summit in Brazil, was an opportunity for President Xi Jinping of China to expand China’s influence in Latin and South America. An important market for China as it secures agricultural products, minerals and metals in return for diplomatic support. The opening of the Chancay deepwater port in Peru, which was constructed, financed and is controlled by China, will create a major shipping hub between Asia and South America, eventually linking Brazil, on the Atlantic coast, to Chinese markets via a yet to be built rail connection. As part of its maritime Belt and Road Initiative, not only will this hub improve shipping links between China and South America, but it will also allow China to supplant the US as the major trading partner for the region, directing trade away from the US where Chinese goods will be subject to increased tariffs.
The Caribbean region will be watching to see how political changes will impact American hegemony in the region at a time when other influences, particularly Chinese investment, are providing alternative trade and investment options. After the Biden administration rolled out a series of Caribbean basin initiatives in 2022 and 2023, particularly PACC2030 (Partnership to Address Climate Change 2030) to advance climate adaptation and resilience plus clean energy cooperation, there are concerns that the Trump administration will stop supporting these initiatives and impose tariffs on Caribbean exports to the US. Equally, the impact of tariffs on foreign imports into the US will also impact Caribbean economies as so much is imported into the region from that market. The longterm risk is that changes in US policies,
which focus more on domestic issues, will push the Caribbean towards other partners perceived as more interested in long term alliances.
Despite the headwinds created by geopolitical tensions, the global economy remained broadly stable in 2024, following efforts to tackle inflation in 2023. The US Federal Reserve finally reduced interest rates in September 2024 by a higher than expected 0.5%, a move that was also reflected by European and UK central banks. Following a further rate reduction in December 2024, the Fed announced that further reductions would be limited in 2025, having a negative impact on the stock market, as inflation remained resistant to fiscal measures.
The US economy has outperformed many of the major economies, growing at an annualised rate of 2.8% in the three months to September. Despite this, the performance of the economy was seen as one of the major factors concerning voters in the run up to the election, along with immigration.
With a Republican president at the helm of the US economy combined with Republican control of both the House and the Senate, the US economy is predicted to outperform other leading economies in 2025. Indeed, most economists are forecasting that the US economy will remain buoyant throughout the year, but concerns remain about how two of President Trump’s key election pledges will impact the economy in the longer term. Firstly, while proposed lower taxes and deregulation are expected to add growth to the economy, the imposition of tariffs on the importation of goods from overseas, and particularly from China, could see the increased cost of goods falling on the domestic consumer as well as the foreign exporter, thus driving up consumer prices. Secondly, tackling illegal immigration by expelling undocumented workers, could lead to labour shortages at a time when the economy, (and the labour market in particular) is just beginning to settle in the post the pandemic years. Much will depend on how these policies are implemented by this administration.
A strong US economy is normally positive news for the Caribbean region. With falling interest rates, the election in the rear-view mirror and a generally positive outlook on the economy, the region will hopefully benefit in terms of increased tourist arrivals in 2025 and inward investment in regional residential markets from US investors. While the post pandemic bounce in 2022 in tourist arrivals has continued with both overnight and cruise ship arrivals continuing to increase, regional investment in real estate markets has noticeably slowed.
BRITISH VIRGIN ISLANDS OVERVIEW
OOver eighteen months after the last local election, there is a sense in the BVI that much needed improvements to infrastructure and the economy in general have stalled. The Premier, though, has responded by announcing a $470 million budget for 2025, which is a $22M increase over the previous year’s budget, with recurrent expenditure projected at $407M and a further $60.7M on capital projects. The budget has been boosted by a $100 million loan from CIBC Caribbean, finalised in October 2024, which is earmarked for critical infrastructure improvements to the Territory’s roads, work on the water and sewerage infrastructure, undertaking improvements to the arrivals and departures areas at the Terrance B. Lettsome International Airport and addressing issues in the education and health sectors. With the loan finalised, the Government has started with a 38 miles of road rehabilitation on Tortola.
Other major infrastructure projects the Government has planned are the reconstruction of the West End Ferry Terminal and the expansion of the Terrance B. Lettsome International Airport. These are both critical infrastructure projects impacting tourist arrivals into the BVI. Meanwhile delays have been experienced with both. Construction on the West End Ferry Terminal was scheduled to commence in early 2024, but the RDA (Recovery and Development Agency) which is administering the project, recently pushed back construction bids to January 2025. Construction is now expected to commence during 2025.
The expansion of the airport at Beef Island has been proposed now for over fifteen years with successive Governments reviewing options and seeking answers funding the project. The BVI Airport Authority appointed KPMG in February 2024 to undertake a comprehensive review for the expansion of the runway and airport facilities, adopting the strategic, economic,
commercial, financial and management cases as required under the Protocols for Effective Financial Management, an agreement signed in 2012 with the UK to promote responsible and transparent financial management. With the strategic case for the airport submitted by KPMG to Government, the outline business case is now being reviewed. The Airport Authority has commenced stakeholder participation and has held a number of public meetings on the expansion of the runway. The Government announced in July 2024 that the runway would be extended from the current “3C” designation to “4C”, which means the runway will be at least 1,800 meters (or 6,000 feet) in length. Although the Airport Authority has stated that no final decision has been made on the final runway length, the strategic review proposes a 7,000 ft runway to meet the requirements of major airlines.
While the Government continues its deliberations on the proposed runway extension, there have been welcome improvements to airlift into the BVI from regional centres. Following on from 2023’s announcement of direct flights to Miami with American Airlines, additional routes have opened up around the Caribbean with a number of new carriers. Caribbean Airlines commenced services to the BVI offering connections to Puerto Rico, Antigua and Barbados using ATR-72’s, a seventy seat plane. The four times per week service will help add more airlift to Antigua, which is a regional hub offering direct flights to the UK.
In December 2024, Sunrise Airways launched twice weekly flights connecting Antigua with the BVI and onwards to Santo Domingo in the Dominican Republic. Sunrise Airways also connects to other Caribbean destinations including Dominica, St Kitts and St Lucia as well as international destinations including Panama and Miami. LIAT has relaunched under a revised brand “LIAT20” with flights to a limited number of Caribbean destinations including Tortola. Flights from Tortola started in November to the islands of Dominica and Antigua with further destinations to be announced. The increase in regional airlift is welcome as options were previously restricted, and notoriously unreliable, after the pandemic. Existing carriers include WinAir and InterCaribbean for flights to Antigua and beyond, while airlift to Puerto Rico is well covered by Cape Air, Silver Airways, InterCaribbean as well as Tradewinds from Virgin Gorda.
The BVI economy generally recovered well from the twin impacts of Hurricane Irma in 2017 and the pandemic, which first closed and then slowed tourist arrivals in 2020 and 2021, before the full re-opening of the Territory’s borders in July 2022. Concerns remain, though, about the future of financial services in the BVI as the downward trend in company incorporations, which is the backbone of Government revenues continued through 2024. Total incorporations have fallen by over 25% over the past ten years with incorporations averaging around 360,000 at the end of Q2 2024 compared to 480,000 in Q3 2013. While new incorporations increased slightly in the first two quarters of 2024 compared to the prior year, as shown in Figure 1 there is an overall downward trend in new incorporations as well. Net government revenues from financial services remained broadly stable in 2023, assisted by an increase in company registration fees on 1 January 2023.
BVI New Company Formations 12 month moving average Q2 2024
The BVI is emerging from three years of political turbulence, encompassing the pandemic, the UK Commission of Inquiry, the arrest and jailing of a former Premier, and the elections in 2023 which returned the Virgin Islands Party to power. For much of the first eighteen months of this election cycle, the focus has remained on the Commission of Inquiry (COI) reforms, a process that is being keenly watched by the UK’s new Labour Government. Substantial progress has been made to pass legislation required to implement to the COI reforms, with the Premier announcing in October 2024 that the last of the bills had been passed in the House of Assembly and awaits assent by the Governor.
Despite the progress in meeting targets set under the COI report, the visit by the UK’s Overseas Territories Minister in November 2024 did not result in the hoped for lifting of the Order in Council, that grants the Governor powers to suspend the constitution and implement direct rule from the UK. Following his visit, the Minister stated that while he has been encouraged by the implementation that has happened, the process being followed involves a final review by the Governor, a self-assessment by the VI government and a fact finding mission by UK officials before the implementation process will conclude and the Order in Council is suspended.
The JMC (Joint Ministerial Council) meeting of the Overseas Territories’ leaders in the UK in November 2024, was the first held under the new UK Labour government. Meetings were held with the Prime Minister and Foreign Secretary as well as the Foreign and Commonwealth Office. The relationship between the UK and the Overseas Territories is always sensitive at a time when there are increased calls for independence and the UK Prime Minister was keen to stress, when addressing the OT’s leaders,
BVI Total Company Formations Total registrations through Q2 2024
that the new Labour government is resetting its relationship with the Overseas Territories. Climate change remains an important focus for the OT’s, comprising mainly small islands in geographical locations that can make them prone to climate impacts including sea level rises and increased storm activity. COP27 finally set an agenda for leading economies to support developing nations with a pledge of $300BN per year by 2035, but the ability for the UK’s Overseas Territories to access climate funds is limited compared to some of the smaller, independent island nations. The BVI’s Premier Wheatley, who attended the talks, also highlighted the BVI’s need for UK support to tackle security issues, such as the smuggling of drugs, people and weapons, as well as governance reforms, climate resilience and the fight against illicit finance in the financial sector.
The Constitutional Review Commission report (Constitution Review Commission 2022-23 Report) was published in February 2024 highlighting a number of key areas of reform, following public consultation. The review was mandated to identify reforms to the Virgin Islands Constitution 2007 and provided a total of 57 recommendations. Some of the key recommendations centred around the current voting system, accountability in government,
transparency and the role of the Governor in the VI. The report also touched on self-determination and the need to educate the public on what this means. As the VI moves towards self-determination, and the role of the Governor reduces, so the need for greater accountability within the VI increases. The CRC report is due to be debated in the House of Assembly in 2025.
Recommendation 5.1 of the CRC Report is for a population policy, noting that 80% of population growth within the VI is from development-driven immigration that has placed a strain on the Territory’s infrastructure which has failed to keep up with population changes and demands.
The CRC recommendation is that “a population policy should be formulated in order to support informed and effective policy-making, provide a cornerstone for a ‘prosperous vibrant thriving and internationally competitive economy’, and as a mandatory step towards selfdetermination.”
One of the main challenges is that currently, no one knows how many people live in the BVI with all census data based on estimates rather than hard data. While the Government mandated a national census to be completed, the problem is that firstly, census information is notoriously late in being published (the 2001 census report was only published after the 2010 census was completed, with that report only being published in 2016) and secondly much of the population is reluctant to participate in the process.
The census in 2010 reported a population in the BVI of 28,054 people residing in 10,830 households. The estimated population in 2024 is anywhere between 30,000 to 40,000 depending on the data source. With such widely divergent population estimates for the Virgin Islands, it is essential that the National Census is completed. The census commenced in June 2023 but was beset by problems as enumerators were often unable to complete the required questionnaires due to a lack of co-operation from the population. With only 45% of the census completed by October 2024, the plan is to hire more enumerators and hope that the amendment to the Statistics Act, which imposes a fine of $3,000 on any person refusing to cooperate in the census, will encourage the general population to be more co-operative. Undertaking the census is just the first step in the process and unless the results of the census are available to the Government in a timely manner, then the process will have little impact on Government planning.
WWhen the Premier recently announced there was no reason why the Territory could not attract two million tourists a year (the total annual visitors is currently around one million), many people questioned his vision at a time when the Territory’s infrastructure is in a perilous state and incapable of supporting the existing tourism product let alone one twice the size. The recent emphasis on cruise ship visitor expansion combined with the BVI’s inability to tackle its infrastructure issues, resulted in the BVI entering the Fodor’s Travel “No” list for 2025, with the publication highlighting the lack of a strategic tourism plan as a major concern as well as a focus on mass cruise ship tourism.
While an increase in sustainable tourism will certainly benefit the BVI, the overnight visitor base is underpinned by the yacht charter industry which has struggled in recent years with Government regulation. Unfortunately, there are no accurate statistics available from the Government that provide a breakdown of the resort, villa and yacht charter industries and how they contribute to the BVI’s tourist economy. The post Irma and pandemic recovery in overnight and cruise ship arrivals to the BVI is shown in Figure 2 which shows the 12-month moving average since 2019.
The cruise ship industry has shown a significant recovery in arrivals, with the industry finally moving past the number of cruise ship arrivals prior to Hurricane Irma in 2017 when arrivals peaked at around 700,000. This is also replicated when looking at regional cruise ship arrivals as shown in Figure 3. This shows how the cruise ship industry has recovered with an upward trajectory in the BVI through 2023, ahead of many of the competitive destinations.
SOURCE: tourismanalytics.com
Overnight arrivals into the BVI have not recovered so quickly. The 12-month moving average to December 2024 is still 25% down on the peak of overnight tourist arrivals in 2016, prior to Hurricane Irma when overnight arrivals exceeded 400,000. The reopening of Peter Island Resort this season combined with improved air access to the BVI, is expected to improve overnight arrivals in the coming months and years.
In contrast to the cruise ship industry, the BVI’s overnight tourism figures are also trailing on a regional basis as shown in Figure 4 which compares overnight arrivals in select Eastern Caribbean Islands between 2019 and 2023. The overnight arrivals in the BVI have recovered more slowly than many regional arrivals and remain nearly 14% below prepandemic overnight arrivals.
SOURCE: tourismanalytics.com REGIONAL OVER NIGHT ARRIVALS
SOURCE: tourismanalytics.com
The Government estimates the total number of rooms in the BVI to be 1,600 which is considerably lower than the 2,300 rooms available prior to Hurricane Irma. Some resorts (Bitter End and Long Bay Beach Resort) have reopened with fewer rooms, while the hotel at Biras Creek Resort remains closed and Peter Island Resort only recently reopened.
The lack of investment in new hotels or resorts in the BVI, compared to many regional destinations, was highlighted in the National Sustainable Development Plan for the BVI published in March 2023. The report highlighted deteriorating public infrastructure, restrictions on airlift and the absence of a comprehensive long term tourism strategy, in addition to a lack of foreign direct investment into the BVI.
The CHTA (Caribbean Hotel and Tourism Association) published a Construction and Benchmarking Report in September 2024, which reported a pipeline of 50 new, active hotel projects adding 19,591 rooms across the Caribbean with a further 29,987 rooms in various stages of planning across the region. While many of these developments are in larger destinations such as the Dominican Republic and Jamaica, there are a number of luxury brand developments taking place in the Eastern Caribbean such as St Lucia, Antigua and Barbuda and Barbados.
The Premier has announced resort sector development projects in the BVI, with developments at Nanny Cay Resort and Marina, Prospect Reef and Norman Island, although only the expansion of marina facilities at Nanny Cay has proceeded to the planning phase. North Sound in Virgin Gorda has been the focus of development in the BVI over the past fifteen years, with significant development at Oil Nut Bay, Moskito Island plus the redevelopment of Bitter End Yacht Club and Saba Rock post Hurricane Irma. The owners of Biras Creek Resort, which closed to operations prior to Hurricane Irma, have developed a new marina centre and are in the process of selling lots associated with the marina development. Eustatia Island is also in the process of being redeveloped. However, most of this activity is located in existing resorts focusing on expansion or redevelopment, rather than new build resort development on greenfield sites.
The lack of significant development in the BVI over the past twenty years, can be partly explained by the simultaneous expansion of financial services in the Territory, which has provided a high standard of living for a small population
base and allowed successive Governments to avoid sometimes difficult decisions to expand the tourism product, which could lead to social impacts on the population. However, as headwinds continue to impact international finance centres, and pressure for public registries remains a focus, the long-term risk of this income stream to the Government needs to be understood and decisions made on how it could be replaced.
Looking at real estate activity on a regional basis, Figure 5 compares the real estate markets of the four UK Overseas Territories in the Caribbean, excluding Montserrat, between 2018 and the second quarter of 2024. The data demonstrates the different approaches taken by each island to investment, with the Cayman Islands and Turks & Caicos Islands (TCI) having few restrictions on foreign investment compared to the BVI and Anguilla, which both use landholding licences as control measures on foreign investment.
The four islands have very different economies based on demographics, proximity to the US and accessibility, with Grand Cayman and Providenciales (TCI) both having airports that can accommodate cross-Atlantic flights. This is also reflected in the respective real estate markets, with Cayman and the TCI being very active, based on substantial resort and condominium development over the past twenty years. In contrast, the BVI and Anguilla have more modest real estate industries. Anguilla has had some significant resort development over the past twenty years, compared to the BVI, with a range of high end resorts, golf courses and also a growing condominium market. The BVI has a substantial yachting industry, which the other islands do not, which helps balance the lack of landside resort development.
Table 1 sets out the requirements for foreign purchasers in each of the four UK Overseas Territories. Stamp duty is charged on the transfer of real property in all the jurisdictions, in the case of the TCI the amount of stamp duty is on a sliding scale, depending on the amount and specific location of the investment. Anguilla has a stamp duty of 12.5% on the landholding licence and a separate transfer fee of 5%. In an effort to attract foreign investment after the pandemic, the Government of Anguilla reduced the landholding licence fee to 5% (from 12.5%) for developed property and 6.25% on land, with the programme due to expire at the end of 2026. In contrast, the BVI Government had in place a similar stamp duty waiver programme, but only for Belonger purchasers.
Overseas Territories Property Purchasing Requirements For Foreign Purchasers
There is a significant difference between the BVI and Anguilla in the time it takes to process landholding licence applications. In Anguilla it can take up to three months to process landholding licences, although in most cases the process takes four to six weeks. This contrasts to the BVI where landholding licences now take between nine and twelve months to process on average.
The relative ease in purchasing property in Anguilla is evident in the number of annual real estate sales to foreign investors, compared to the BVI as shown in Figure 6. While both islands had to recover in the aftermath of Hurricane Irma in 2017, the post COVID real estate resurgence is reflected in increased sales to foreign investors in Anguilla, in line with other Caribbean markets, whereas the BVI shows a marginal increase in sales to foreign investors in 2022 and falling investment in 2023 and 2024. The real estate market in Anguilla has been consistently larger than the BVI despite having less than half the population to support it (a population of approximately 15,000 persons in Anguilla compared to approximately 38,000 in the BVI).
The appeal of a destination to foreign investors relates also to the immigration status granted to an overseas purchaser once a property is purchased. Since 2021 in the BVI, foreign property owners are now allowed to reside in the BVI for up to ten months in a year (up from six months) but must apply for annual residency status if they wish to reside in the BVI for a longer period. This requires an application and medical before this status is granted and needs to be renewed annually. The BVI
Anguilla British Virgin Islands
Government has just passed a new immigration act which sets out the regulations for obtaining permanent residency and, eventually, Belonger status in the BVI. The new act requires persons to have resided in the BVI for ten years before they can apply for permanent residency and a further ten years, having received permanent residency, before they can apply for Belonger status.
In contrast, the TCI, Cayman Islands and Anguilla all offer foreign investors options for permanent residency having made a qualifying purchase in the respective island. This does not just have to be a real estate investment but can be an investment in a development fund or setting up a business on the island. Anguilla also offers a tax residency option. Qualifying investments for permanent residency range from US$150,000 in Anguilla for an investment in the Government’s development fund or $750,000 in a real estate investment; a real estate investment of $300,000 to $1.0M in the TCI (depending on island) or a real estate investment of $1.2M in Cayman Islands for a 25 year residency certificate or $2.4M for permanent residency.
The BVI has looked at similar options, passing the BVI Investment Act in 2021 alongside the BVI Business Licensing Act in 2020, although each act requires the establishment of a Trade Commission in order to operate, which the Government has yet to do. While the policy relating to each act has yet to be developed, which includes the threshold of investment that is required for the Investment Act to be applicable, the main intent of each act is more about protecting the local investor, than encouraging foreign investment. There are no signs that the Government is considering establishing either the policy required, or the Trade Commission, that would bring both acts into reality.
Real estate investment in the Caribbean is dependent on many factors. The TCI and Cayman Islands both benefit from proximity to the American market and airlift from a range of North American
airport hubs and these are major considerations for foreign investors. Other regional factors driving investment include tax incentives for American investors in the Puerto Rican and USVI markets and Citizenship by Investment Programmes (CIP) in the southern Caribbean markets of Antigua, St Kitts and Nevis, St Lucia, Dominica and Grenada. The CIP will generally appeal to investors requiring a passport that enables visa free travel in countries like the US, Canada, the UK or Europe although most CIP programmes also have tax benefits when acquiring property.
For most foreign investors acquiring property in the Caribbean, the ability to enter a market with few restrictions is also important in the decision making process. The BVI real estate market has both entry and exit barriers, with a landholding licence required on entry and consent to sell from the Government at Cabinet level required on exit, which also impacts the level of foreign investment into the Territory. The Government reviewed the landholding licence process in 2023, taking on board comments from practitioners in the real estate industry, but has yet to indicate whether there will be a significant change in the approach to foreign investment.
The Government has, though, indicated its intention to formulate policy relating to the Investment Act (2021) and the Business Licence Act (2022), although it appears that the Trade Commission Act (2020) may not be part of the changes. Both the Investment Act and Business Licence Act have the potential to make significant changes to the investment climate in the BVI, particularly for foreign investors, but until revisions are made to each Act (to account for the fact it appears that the Trade Commission will not be established) and the policy developed, it is difficult to know what this impact will be. The existing versions of each Act appear to be aimed more at controlling foreign investment than encouraging it.
BVI REAL ESTATE MARKET REVIEW 2024
TThe BVI property market, in common with the remainder of the Caribbean, had a post COVID resurgence, with investors acquiring property as they emerged from lockdown. Historically low interest rates combined with a lack of property inventory in the US market, led to investors seeking real estate opportunities in the Caribbean. Growth in the real estate market in the BVI was led by Belonger purchasers taking advantage of the stamp duty waiver, offered by the Government. This helped property sales, particularly of land.
Figure 7 shows the total real estate market in dollar volume of sales and the number of sales each year in the BVI from 2018 to 2024. The market peaked in 2021 with a total of 301 sales, although a single land sale at Oil Nut Bay in 2022 of $44.3M meant that the total volume of sales peaked in 2022 at $155.9M. The number of sales fell by 42% between 2021 and 2023, before increasing by 15% in 2024, with the real estate market falling back to pre-pandemic levels of activity. It is encouraging that there have been modest increases in real estate activity in 2024 with a 10% increase in total sale volume over 2024.
British Virgin Islands: Total Real Estate Sales 2018-2024 Total volume of sales ($M) $160.0M
Figure 8 shows the distribution of property sales in the BVI between Belongers and Non-Belongers in 2024. Over this period, there were 25 sales to Non-Belongers compared to 178 sales to Belongers, with Non-Belonger purchasers representing just 12% of the number of real estate transactions. This percentage is representative of the post Hurricane Irma period, where sales to Belonger purchasers have dominated the BVI real estate market. Since 2018, there have been on average just thirty sales a year to foreign investors across all property types with the market peaking in 2022 with a total of 38 transactions. Given the time taken to close sale transactions to foreign investors requiring landholding licences, this activity reflects sale contracts signed in 2021, at the peak of the post pandemic market. It is concerning that there have only been 25 transactions to foreign investors in 2024, although with the lengthy Government pipeline for landholding licence approvals, it is difficult to know if this is the result of a general downward trend or delays in Government processing times. This will become clear during 2025 as sales that were contracted in 2024 start to close.
British Virgin Islands: Total Market Sales Location of sales to Belongers and Non-Belongers for 2024 British
While Non-Belonger purchasers accounted for just 13% of the number of transactions between 2018 and 2024, Non Belonger investors accounted for 51% of the total dollar volume of sales during this same period. The average sale to a Belonger over this period was $262,000 compared to $1,885,000 to a Non-Belonger. Whereas the Belonger market is dominated by land sales, the Non-Belonger market is dominated by higher end villa sales. This impacts the income stream generated through stamp duty for Government, as the average sale to a Belonger will generate approximately $10,480 in stamp duty for Government compared to approximately $226,200 for a sale to a Non-Belonger.
The map in Figure 8 also shows that the market is more evenly split on Virgin Gorda, where there were eleven sale transactions to Belongers in 2024 compared to nine sale transactions to Non-Belongers. However, the market on Tortola is dominated by sales to Belongers. There has also been quite a lot of real estate activity on Anegada with a total of 25 transactions registered on the island in 2024.
The villa market has seen an increase in the number of sales post Hurricane Irma, boosted by the acquisition, mainly by Belongers, of houses damaged in the hurricane before the market reverted to more normal conditions from 2020/21 as the sale of damaged homes reduced. Between 2020 and 2023, there have been around 50 home sales a year, although this has fallen to 36 home sales in 2024.
The home market is dominated by sales under $1.0M, as shown in Figure 9 with 70% under this threshold between 2018 and 2024. Over the same time frame, the home market between $1.0M and $3.0M accounted for 23% of the market and homes over $3.0M just 7%. In total, there have been nineteen home sales over $3.0M between 2018 and 2024.
Unsurprisingly, since 2018 the home market over $3.0M has been dominated by foreign investors, who account for over 84% of home sales above this threshold, whereas the midrange market, between $1.0M to $3.0M, averages approximately 62% of sales to foreign investors. The market for homes under $1.0M is dominated by Belonger purchasers who account for 79% of this segment of the market.
The number of homes listed for sale within the BVI, has remained the same between December 2023 and December 2024 at 167 home listings in each month. Figure 10 is a summary of the home listings by price range and island. While the overall number of homes listed is similar, there are notable differences between each island. Home listings in the $1.0M - $3.0M range dominate the listings at around 44% of the total. In December 2024, 61% of the
British Virgin Islands: Home Sales 2018 - 2024
Number of home sales by price range
listings in the $1.0M to $3.0M price range were on Tortola, whereas 64% of the home listings over $3.0M were on Virgin Gorda, reflecting the higher value of homes on Virgin Gorda compared to Tortola.
by price range between 2018 and 2024. The graph shows that land sales peaked in 2021. Between 2018 and 2024 sales of lots in the $50,000 to $100,000 price range represent 47% of the market with lot sales above $100,000 at 29%. Approximately 80% of all lot sales during this period occurred on Tortola , where a number of new residential sub-divisions have opened up since Hurricane Irma
Total Number of Lot Sales by Price Range from 2018 to 2024
When listing a property for sale, vendors are concerned about how long it will take to sell and also what the asking price should be in relation to the expected sale price. Looking at home transaction data in 2023 and 2024, the list to sale ratio (the average difference between asking price and eventual sale price) averages 20%, based on the original listing price. The data indicates that home sales at the higher end of the market will typically stay on the market for longer and have a higher-than-average list to sale ratio.
The amount of time spent on the market, based on the same home sale data between 2023 and 2024, indicates that 40% of transactions are homes that remained on the market for over three years. 30% of home transactions closed within a year of being listed and 30% within one to three years of being listed. Where a NonBelonger seller contracts with a Belonger purchaser, the seller is still required to obtain consent to sell from Government, a process that can take over six months to complete.
The sale of residential lots has dominated the real estate market in the BVI, particularly within the Belonger market, which took advantage of the stamp duty waiver programme offered by Government, which ended in 2021, except for sales to first time Belonger purchasers where the waiver programme continued. Figure 11 sets out the residential lot sales in the BVI
British Virgin Islands: Home Listings by Island by Price Range between 2023 & 2024
Tortola Virgin Gorda Scrub Island Other Islands
British Virgin Islands: Residential Lot Sales
Information on residential building starts compiled by the Department of Planning, indicates a decline from 73 starts in 2022 to 34 starts in 2023. This trend looks set to continue in 2024 when there were 17 residential building starts through to August. The pipeline for construction is important for the economy and if construction starts to falter, the impact on construction companies and the labour force will be significant. While there is no evidence to explain why residential construction starts have fallen during this timeframe, the impact of inflation and the fiscal response of increased interest rates, has likely led to investors delaying construction of houses while interest rates remain high. Hopefully, as interest rates start to fall, the number of building starts will increase.
The BVI real estate market in 2024 followed a similar pattern to recent years with a market dominated by sales to Belongers and just a small number of foreign investors participating in the market. While the lack of airlift may be one of the reasons for the lack of foreign investment, there are other markets in the Caribbean, such as Mustique or St Barts,
which attract significant foreign investment without having the airlift of larger islands. Limited foreign investment in the BVI is more a reflection of the complexities of the transaction process combined with the timescale to buy and sell a property in the BVI. Investors in the real estate market are now far more cognisant of risk since the economic turmoil of 2008, with the ability to exit an investment being a major consideration in the equation.
While the BVI real estate market reflects a healthy appetite for property investment by local investors, this market is generally focused on land acquisition or the purchase of villas under $1.0M. Many foreign investors in the BVI have properties valued well in excess of this, which can be an issue when looking to exit from their investment. The lack of foreign investors in the BVI, compared to other jurisdictions, has maintained a “buyer’s market”, even after the pandemic when other islands experienced a surge in property investment. Sellers therefore have to be cognisant of market conditions if they wish to achieve a sale within a shorter timeframe.
The BVI Government has plenty of issues to address; the poor state of infrastructure on the island being amongst the most pressing. However, the real estate market could provide welcome additional income to the Government if the approach to foreign investment was reviewed, without disturbing the positive investment market for Belonger purchasers. The majority of acquisitions by foreign investors are of property already alienated, therefore the process of selling to a foreign investor should not be unnecessarily delayed. Similarly, when a Non-Belonger sells to a Belonger, it should not take six months or more to approve the consent to sell. The Government could also consider incentives for foreign investment to encourage participation in the BVI market rather than the current approach which can appear indifferent to foreign investment. In addition to the stamp duty levied at the point of sale, a foreign property owner will keep investing in the economy, contribute to local businesses and help employment. As other Caribbean islands have demonstrated, balancing foreign investment with local ownership can benefit the economy in many ways. BB
The BVI Construction Sector
By Marvin Flax
The overall assessment of 2024 in BVI construction, was a year that was affected by both global and internal forces. Forces such as: above average interest rates, inflation, the US elections and its related uncertainty, United States threatened tariffs, above average construction rates coupled with low land sales - all contributing their fair share to a stagnant year in the BVI construction sector.
US Elections Effect
Typically, in an US election year, the BVI economy is held hostage partly due to our close economic connections to the United States. As campaigning went into overdrive and candidates were selected, many large, locally based projects went on hold or were flat out cancelled. Higher net worth US residents, who tend to look outside the country for tax efficiency and building a second or third home analysed how a democrat or republican leader may impact their finances. Many of our current and potential property developers and investors are US based and hence we saw a slow down in spending and decision making until there is a winner on election night. 2024 was no different, but there were other factors impacting the local economy. With the election now behind us and as we enter deeper into Q4, the industry has yet to regain its footing.
If president Trump’s first term as president taught us anything, it is that he has an unconventional and unpredictable style of governance. On April 2nd, the Trump administration unveiled an unprecedented new tariff policy, by imposing increased import duty on most of the United States global trading partners. A standard 10% tariff was placed on most countries and steeper tariffs were handed down to countries like Mexico, Canada, EU countries and China. This was clearly aimed at ultimately bringing China to the negotiating table. The consumer will be the clear loser in this battle. with the cost of the tariffs will be added to all goods being imported. This will impact the consumer with the potential to increase construction material costs by at least 15% impacting an already slowed BVI construction economy.
After the announcement, global markets went into total disarray and Trump eventually backed down off some tariffs and reduced or delayed others. There was also legal action taken in the Court of International Trade by several small businesses that import goods from countries targeted by the tariffs. Several US State level governments also challenged the tariffs with legal action. The uncertainty surrounding the yet to be determined final outcome has shaken global consumer confidence.
How have these decisions impacted the local construction market? As of Q1 of 2025, the price structure for most construction-related materials has remained mostly unchanged. Per square foot costs have remained intact hovering between $250-$380. According to the 2023-2025 BVI Government Macro-economic Review and Outlook, in 2023, construction imports increased by 13% from $68.01 million to $77.07 million. While 2024 data is not yet available, the number of items and value of imported goods in 2023 does provide some measure of what was expected. The numbers reflect the high point of the post the Pandemic and 2017 hurricane recovery periods. The reality is, construction imports have reverted to normal pre 2018 and 2019 levels, however, the cost of certain items reflect current inflation levels.
With the tariffs executive order being challenged in the US court system, a judge has allowed the policy to remain in effect until a final decision has been made. The primary local retailers were also given a reprieve of sorts from the shipping point of view. Tropical Shipping which is the largest maritime transportation service provider in the Caribbean, was granted an exemption from the proposed US trade surcharge fee of $1 Million USD on Chinese built ships calling at US ports of entry. This could have equated to an additional cost of $3000 USD per 40-foot container. Needless to say, such an added cost would have been passed on to the importer and eventually the consumer. The on and off again tariffs create a climate of uncertainty, which further delays major investments like construction based projects.
Building Applications, Property and Retail Sales
We will continue our assessment of the construction economy from three other angles. The quantum of Town and Country Planning applications, property sales and construction retail sales.
According to information from the BVI Town and Country Planning Department, there were 249 approved development applications in 2024 and of those, 196 were residential applications. This marks a decrease of 20 applications from 2023, with residential applications identical, more than likely driven by first-time single-family home construction. This is encouraging, showing at a minimum some level of consistency in applications notwithstanding a general cautious approach, considering the cost of money and inflation levels. We looked at those numbers and expand upon them further. Of the 249 approved applications, 50 of them started construction. So about a 20% ratio of approvals moved to construction starts.
Commercial applications which moved the needle financially showed a decline of 9.4%, this could also be attributed to interest rates and diminished investment in the territory.
Taken from the very reliable Smiths Gore 2024 Property Review and the Land Registry, the overall real estate market in the territory slowed in 2023 and 2024. Total sales decreased from $156 million in 2022 to $102 million in 2024. In addition, land sales to BVI Belongers fell from $83 million in 2021 to $41 million in 2024. Sales to non-Belongers also declined from $116 million in 2022 to almost half to $61 million in 2024. Diminished land sales has had an immediate impact on the local construction economy. Less shipping of materials, less construction labor to employ, less materials being purchased, less government stamp duty and less capital circulating around the country.
Non-Belongers License & Interest Rates
Non-Belongers land holding license delays continue to plague the territory and by extension negatively impact the local economy. After a much-needed revision in the policy last year, there has been a regression in the turnaround time. The impact of the delays are felt across the territory, especially in the construction and real estate markets. Sellers and buyers get frustrated, and in some instances walk away. The realtors, lawyers, architects, contractors and even the government are unable to financially benefit from fees and or stamp duty, when licenses take over 12 months to process. I would like to hereby propose a more streamlined process that is an automatic 90 days or less for sales over $900K. Some resorts have negotiated this into their development agreements with the BVI Government which I highly encourage any aspiring developer to do.
Construction labor rates remain the same. A labourer can command $100 per day, a skilled mason can earn $120 per day and a foreman can easily command $150 per day. Skilled staff like finishers and carpenters can similarly command $150 per day. Jurisdictions like the Bahamas, and Cayman Islands have similar rates. In comparison, other islands in the Caribbean are able to keep their labor rates low. In Jamaica for example, a mason can earn $55 per day and in St. Vincent a mason can earn $25-$30 a day. Islands such as Dominica and St. Vincent and the Grenadines are seeing major investment injections based on increased airlift from new and expanded airports and hotels.
Local and regional bank interest rates are still hovering between 5.5% to 7.5%. These rates are following the US Federal Reserve advice on rates. Most of the local banks are offering introductory 5.5% rates that are fixed for three years and then go to an adjustable rate for the remainder of the loan. The reality is, for one to two years of that loan, the project will be under construction and only paying interest, but once construction is complete and transfers to a mortgage where one pay both the interest and the principal, then one will only enjoy a year at that low rate. As a comparison, just four years ago, in 2021 interest rates in the territory were at record low levels, fuelled by the pandemic, the average 30-year fixed rate was 3.3%. The almost doubling of interest rates has lead to many potential home builders re-evaluating if they should build or not once they go through the loan process. On a positive note, this year, inflation is expected to fall from 3.3% to 2.15%.
Construction Costs
Construction in the BVI is expensive. First and foremost, hire an experienced architect to guide the process. Many home builders get into trouble when they no longer keep the architect involved after securing a building permit. An architect can be a second pair of eyes and can monitor the process. There are some creative ways to keep costs lower. 1) Enter into a labour and installation only contract with the contractor. This means the homeowner will buy most of the materials. Create a supply list and itemise everything intended for purchase. This requires organisation, time and management of funds and being on top of the daily requests for materials from the contractor. 2) Break out the work into different trades, phases and contracts. Hire one contractor for the foundation and super structure (walls, slabs, columns, beams, roof, etc). Hire the excavator, plumber and electrician separately under separate contracts. They work for the developer and not the contractor. Upon arriving at the finishing stage, hire a finishing company, that specializes in that and similarly provide all the necessary finish materials needed. The savings is realized because a home builder will not be paying commissions and marked up rates that most contractors add on top of hiring sub-contractors and buying materials.
Capital Projects as Drivers of Construction
In October of 2024, the BVI Government announced that it secured a loan of $100 million USD through the Cayman CIBC First Caribbean Bank. The proceeds of this loan will be primarily allocated towards upgrading many of the territory’s ageing infrastructure. Some of these projects include reconstruction and improvement of the road network, construction of a VI School of Technical Studies building, water network infrastructure and a National Sewerage program in Cane Garden Bay and East End. These infrastructural works will likely be tendered using the new procurement guidelines, so some of this work may be tendered using the Central Tenders Board or with the Recovery and Development Agency (RDA). Contractors have these projects on their radar and are expecting to receive pre-tender invitations by the end of Q3 of 2025.
The opportunities below, have been lingering for years but are in varying stages of completion. Local and overseas contractors track these projects as they are large and would have a significant positive financial impact on the local construction economy.
The Prospect Reef development made some exciting advancements. At the beginning of the year, the Premier’s office issued an expression of interest (EOI) to the public and the aim is for the Premier’s office to weed out insufficient submissions and this is especially important due to a few false starts with this property in the past. Successful submissions will be prequalified for the next step. For an EOI, it was a robust document that requested detailed and time-consuming information, usually reserved for a request for proposal stage. While it was encouraging to see this document, respondents and developers to the EOI were requested to provide financial statements, current financial capacity, experience of building similar hotels in the past, alignment with an established brand, aligning with a local investor, a concept design outlining a macro sense of the proposed key count and locations, conference facility, retail, commercial, marina and branded residences. A concept design for a property of this size can range from $15K-$30K. Multiple submissions were submitted by the April deadline, some with vast gaps in detail and the Premiers office and Prospect Reef Board are currently reviewing them. The Board will invite the successful pre-qualified groups to submit a more detailed request for proposal (RFP). Movement on this longstanding priority project encouraging to see.
The West End Ferry Terminal project is a facility that we track
as a major opportunity for injecting capital into the construction market. Unfortunately it has stalled due to the receipt of two bids which were significantly higher than the allocated budget. The stated budget was $15 million USD. One bid by a joint venture of Metro Construction and James Todman Construction was submitted for $63 million. A Canadian firm, AECON Global Services submitted the other bid for $93 million. This is especially disappointing for the bidders as the tender document takes thousands of dollars to produce. The BVI Government has stated their commitment to the project, but it has to be reassessed and redesigned. An analysis should also needs to be completed on the need for a facility of an approximate 42,000 square foot size given the post Pandemic world, where traveling to the USVI is no longer competitive given the direct airlift to Miami.
The interiors of the R.T. O’Neal Central Administration Complex is moving along finally. Late last year two firms were pre-qualified to submit formal tenders, once the interior design and MEP drawings and pricing documents are complete. The aim of issuing the documents to the pre-qualified contractors is slated to be at the end of Q3 of this year. Expect to see a fully modern and attractive interior design with an enhanced HVAC system aimed at eliminating humidity which in the past led to significant mold issues.
The Althea Scatliffe Primary School is the biggest public school in the territory and is expected to garner a lot of attention from capable contractors and suppliers. In April of 2024, the school was demolished when potentially catastrophic structural deficiencies were identified. In January of 2024, a memorandum of understanding was signed between the BVI Government and the Unite BVI. While no dates are available on the estimated completion date, an architect has been retained and is actively working on the designs and aligning with a budget. The Minister of Education Youth Affairs and Sports, Honourable Sharie de Castro shared that “she is hopeful that we will be able to come to the public with the design and ultimately move towards construction later sometime this year.” BCQS has been retained by Unite BVI to lead the project.
Finally, the T.B. Lettsome International Airport business case has yet to be formally released to the public, but the reality remains that the runway needs to be extended. The BVI is still considered an attractive location for carriers and such there is increased activity and the apron and arrival hall and terminal are becoming overcrowded. The BVI Airport Authority is still reviewing runway expansion options, but no decision has been made. In late Q2, a formal RFP was issued for a spatial plan for a full renovation of the existing arrival hall. According to the RFP, the primary objective is to optimise the existing footprint of the TBLIA Arrival Hall by transforming it into a more functional and efficient space for passengers. The scope of work at this stage will include the provision of Architectural Design, Furniture, Fixtures and Equipment (FF&E) Design, Structural, Civil and MEP Engineering, and Quantity Surveying services for the arrival hall. This project has the potential to be have game changing implications given the AA direct flights from Miami.
In closing, above I have listed multiple forces that are negatively and positively impacting the local BVI construction sector. I believe that 2025 will continue to reflect a trend of slowed growth. The slowed growth is driven by high interest rates, prolonged land holding license processes, tariffs and with it higher prices and global uncertainty fuelled by global political animus. BB
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he British Virgin Islands an archipelago of small islands and cays located a few miles east of the US Virgin Islands and about 95 km (59 miles) east of Puerto Rico. It is part of the Leeward Islands in the Lesser Antilles. The North Atlantic Ocean lies to the east of the islands, and the Caribbean Sea lies to the west.
Tortola where the main airport and the capital Road Town are located is the largest island. Other main islands include Virgin Gorda, Anegada, and Jost Van Dyke which can be accessed from Tortola by ferry, private boat and airplane (with the exception of Jost Van Dyke).
There are three main ways to get to the British Virgin Islands. The first is to fly directly to Beef Island Airport on Tortola (daily flights from Miami, Puerto Rico and other Caribbean Islands). The second is to fly to Cyril E. King airport in St Thomas in the US Virgin Islands (with direct connections from the mainland United States) and then take the ferry to Tortola. There are other connections from North America and Europe via regional and local airlines out of St. Maarten, Antigua and Barbados. local airlines out of St. Maarten, Antigua and Barbados.
RAINFALL
43 in/1,105mm (Average annual)
TTEMPERATURE
28*C / 82*F(Average)
HIGHEST POINT
Mt. Sage (1,709 ft ASL)
he British Virgin Islands comprising of around 60 islands and with the exception of Anegada which is flat and composed of limestone and coral, most of the islands are volcanic in origin and have a hilly, rugged terrain. The highest point is Mount Sage at 521 metres (1,709 ft) above sea level located on Tortola.
The BVI has a tropical climate with year-round trade winds and average temperatures of about 28°C. Rainfall averages about 1,105 mm (43 in) per year with the wettest months on average September to November and the driest months on average are February and March. The islands are in the hurricane belt with the hurricane season running from June to November usually peaking in August, September, and October.
GOVERNMENT
Representative democracy Parliamentary system Constitutional monarchy
The BVI is self-governing overseas Territory of the United Kingdom with the King as the Head of State represented locally by the Governor. The Governor is responsible for external affairs, defence and internal security, the Public Service and administration of the Courts. The ministerial system of government is led by an elected Premier, a Cabinet of Ministers and the House of Assembly. The Cabinet consists of the Premier, four other Ministers and Attorney General as an exofficiomember. The Cabinet is responsible for formulating and implementing policy. The House of Assembly consists of 13 elected members of which nine are tied to electoral districts and four “at large” seats.
LEGAL SYSTEM
Combination of English Common Law and local statutes
The BVI has an independent legal and judicial system based on a combination of English Common Law and local statutes, orders and civil procedure rules.
Lower level disputes and petty crimes are resolved in the Magistrates’ Court. More serious matters are dealt with in the Supreme Court (officially known as the Eastern Caribbean Supreme Court of which the BVI is a member state). Appeals from the Supreme Court lie to the Eastern Caribbean Court of Appeal and the final appeal lies to the Privy Council.
The British Virgin Islands hosts the Commercial Court of the East Caribbean Supreme Court which serves the expanding needs of commercial litigation in the Territory and the Eastern Caribbean. The court officially opened on 30th October, 2009 (although it was in operation since May 2009) and specialises exclusively in domestic and cross-border commercial and insolvency matters. It hears such matters from nine Caribbean nations and territories, including Anguilla, Antigua and Barbuda, Dominica, Grenada, Montserrat, St. Kitts and Nevis, St Vincent, St Lucia and the BVI.
The BVI is a centre for the resolution of domestic and international disputes. The British Virgin Islands’ Arbitration Act 2013 came into force on October 1st, 2014 making provisions for a modern arbitration centre. The BVI International Arbitration Centre provides neutral, efficient and reliable dispute resolution services. The state-of-the-art facilities offers a variety rooms for hearings and meetings, video and audio conferencing, interpretation and translation services and concierge services.
TPOPULATION
31,53 (2023) EMPLOYED PERSONS
20,985
MINIMUM WAGE
$6 per hour
EDUCATION
he population of the British Virgin Islands is estimated at over 30,000 residents. The majority of persons are of Afro-Caribbean decent. Minority ethnicities include Caucasians, East Indians, Middle Eastern, and Asian. The major force driving population growth has been immigration mainly to meet the shortage in local labour supply. Approximately 70 percent of the employed are foreigners and the Government sector is the major employer followed by the tourism industry, the financial services sector and the construction sector. Labour relations in the BVI are governed by the Labour Code, 2010. This comprehensive piece of legislation provides for the framework for the settlement of disputes, health and welfare in the workplace, basic conditions of employment including pay, overtime, vacation and sick leave, benefits including the requirement retirement benefits. It also sets out the requirements for foreigner employment under the work permit regime.
Social Security is a compulsory insurance plan to which employers, employees, self-employed and voluntary contributors contribute. Benefits are paid out when certain contingencies arise including sickness, maternity, and employment injury. An age benefit is paid out from 65 once the minimum contributions have been made (10 years).
Trade unions are virtually non-existent and workdays lost through industrial action are infrequent. The government has set a minimum wage of $6 per hour.
Publicly provided education is free at the primary, secondary and now territory levels thereby facilitating access to all children. Education is compulsory up to the age of 16 and the Education Act, 2004 regulates all aspects of the Territory’s education system including Early Childhood Education.
The Government’s Ministry of Education operates 17 primary schools and four secondary schools, including a technical-vocational school and a school for disabled students. There are also several private primary and secondary schools; some parochial and some secular. The H. Lavity Stoutt Community College (HLSCC) is a two-year tertiary institution offering associate degrees in the areas of business, natural science, social services, hospitality, computer studies, marine studies and financial services. Through affiliations with other tertiary institutions HLSCC also offers degree and master’s programmes in various disciplines. The College also offers specialty courses based on the needs of the local labour market.
Currently, primary health care is provided by Dr. D. Orlando Smith Hospital (formally the Peebles Hospital) and community health centres/ clinics on Tortola and the outer islands – Virgin Gorda, Anegada and Jost Van Dyke. Access to full treatment at Dr. D. Orlando Smith Hospital from the outer islands can also be achieved when required via helicopter or ferry evacuation.
The new facilities of the Dr. D. Orlando Smith Hospital opened at the end of 2014 and offers apart from emergency care, haemodialysis, medical imaging, physiotherapy and laboratory services. Additional medical services as well as specialty treatments in dermatology, orthopaedics, plastic surgery, chiropractic care and dentistry are provided by a small private hospital and several private medical clinics. Patients requiring treatment services beyond the scope of the Dr. D. Orlando Smith Hospital are referred to Puerto Rico, the US Virgin Islands, Jamaica, Barbados and mainland United States.
The BVI Health Services Authority (BVIHSA) established under the BVI Health Services Authority Act, 2004 is responsible for managing the public health care service throughout the Territory including the general administration and functioning of the Dr. D. Orlando Smith Hospital and the recruitment and training of health care professionals. In September 2020, The BVIHSA achieved full accreditation with the accrediting body DNV-GL (Det Norske Veritas (Norway) and Germanischer Lloyd (Germany)).
The contributory National Health Insurance (NHI) Scheme provides universal affordable health care to all BVI residents.
ECONOMY
Teconomy is based on two distinct economic pillars, namely Tourism and Financial Services. Growth in the tourism and the financial services industries has resulted in expansion of the construction sector, both private (residential and commercial) and public, the real estate sector (residential and commercial) and the wholesale and retail sectors. The BVI’s economy is one of the strongest in the Caribbean.
The BVI’s principal trading partner is the United States. The majority of imported goods originate from the United States including Puerto Rico and the US Virgin Islands. The BVI is not a major exporter of goods but instead services in the form of tourism and financial services.
TOURISM
With its crystal-clear waters and white sand beaches, breath-taking scenery, intricate coral formations, tranquil atmosphere and warm people the BVI is a popular destination for sports enthusiasts as well as those who want a peaceful vacation. The majority of overnight tourists originate from the US mainland. With the rebound of global travel tourism arrivals post COVID-19 have started to rebound in the BVI.
The largest island Tortola is the starting point for discovering the other main islands – Virgin Gorda, Anegada and Jost Van Dyke. Major attractions include the nature trails at Sage Mountain National Park, the huge boulders at the Baths, the pristine waters of White Bay, the wreck of the Rhone and the flamingos at Nutmeg Point. Yearly scheduled activities which attract numerous visitors include: the Emancipation Festival in August, the Anegada Lobster Festival in November, the BVI Spring Regatta in April. Sailing is one of the most popular activities for tourists. The year-round trade winds and numerous islands, inlets and cays has given the BVI the title of the ‘sailing capital of the world’. Other water sports such as scuba diving, snorkelling, windsurfing, kite boarding, paddle boarding and kayaking are also popular.
The BVI is also a popular port of call for major cruiseships. The Cyril B. Romney Tortola Pier Park opened in 2016 and can accommodate larger cruiseships and the landside development includes shops (international brands and local treasures), restaurants and entertainment.
FINANCIAL SERVICES
The growth of the financial services sector in the BVI was mainly due to the success of the International Business Company (IBC) (now known as the BVI Business Company subsequent to the enactment of new incorporation legislation – BVI Business Company Act, 2004) first unveiled 40 years ago in 1984. In later years the BVI secured business that was redirected from Panama during the Noriega regime and from Hong Kong when it was handed back to China in 1997. The Asian market thus accounts for a large portion of company incorporations in the BVI.
Modern and innovative legislation, a robust regulatory framework, clever marketing, economic and political stability, quality technology and communication facilities and a full range of legal, banking and account services have contributed significantly to the continued growth of incorporations. Closely related sectors such as captive insurance, investment business (mutual funds), trust and estate formation, company management, corporate restructuring, securitisation, insolvency and shipping and trademarks have developed. The industry is regulated by the Financial Services Commission (FSC) which is an autonomous body responsible for the licensing, regulation, supervision and inspection of all financial services business.
Marketing and promotion of the products and services of the financial services sector is conducted by the BVI Finance.
The Financial Investigation Agency (FIA) which was launched in 2004 functions as a specialist investigative law enforcement arm of the government with the objective of curbing financial crime. Its primary focus is to investigate the BVI financial services industry and support the Virgin Islands mutual legal assistance regimes.
The BVI London Office and the BVI House Asia in Hong Kong were commissioned to establish a presence in Europe and Asia to take advantage of economic opportunities not only limited to financial services and tourism. TOURIST ARRIVALS 2016-2022
FINANCIAL SERVICES AT A GLANCE
TOURISM AT A GLANCE
BUSINESS COMPANIES. The BVI is one of the largest centres for the incorporation of business companies with around 1 million companies incorporated since the enactment of the International Business Companies (IBC) Act in 1984. Over 360,000 are still active as of end of 2022. Because of the flexibility of its use BVI business companies have been used in a plethora of business transactions and structures including structured finance and securitisation, succession planning, IPOs and listings on stock exchanges and joint ventures etc. The incorporation regime has changed somewhat with the introduction of new company legislation – the BVI Business Companies Act, 2004 which replaced the IBC Act repealed on January 1 2007. The core features of the IBC Act which made it a success remain along with improvements to ensure the longevity of the Virgin Island’s market share. The new Act for instance widens the range of corporate vehicles available for use, simplifies the statement of capital and the registration of charges.
Effective January 2018 the incorporation fee and annual fee payable to maintain a standard company authorised to issue up to 50,000 shares increased from US$350 to US$450, and for a company authorised to issue more than 50,000 shares, from US$1,100 to US$1,200.
INSURANCE (CAPTIVE). The BVI captive insurance market is one of the fastest growing and largest in the world with the majority of business originating from the United States. Other countries of origin include Guernsey, Taiwan, Switzerland, the Middle East and South America. In addition to this excellent geographic spread of business, there also has been a significant distribution of captives from an industry segment standpoint. The captives cover the following industries: finance and insurance, construction, health care and retail trade. The domestic insurance market is, however, smaller in comparison. The new Insurance Act, 2008 which replaced the 1994 provides a modern structure for licensing, supervision and administration of insurance business in the Virgin Islands while simultaneously meeting international insurance standards. The Insurance Regulations 2009 which replaced the 1995 regulations provides clarity on details relating to insurance business in and from within the BVI. Both came into force on February 1st, 2010. More recently the Insurance (Amendment) Act and Regulations 2015 provide greater flexibility for captive insurers with the introduction of two new categories for captive licences.
INVESTMENT BUSINESS. The BVI is one of the premier jurisdictions for fund domiciliation and is now is regulated by the Securities and Investment Business Act (SIBA) and Regulations which came into force on 17th May, 2010 replacing the Mutual Funds Act 1996 (as amended 1997). SIBA sets out the new legislative framework under which the Financial Services Commission (FSC) regulates individuals, mutual funds and other investment related entities conducting business in and from within the BVI. Persons such as investment advisers, those dealing in investments or arranging dealings in investments, managers, custodians, those providing administration services with respect to investments, and operators of investment exchanges are now required to be licensed. SIBA introduces the authorised representative regime where all BVI funds are required to appoint an authorised representative resident in the BVI and licensed by the FSC.
SIBA also provides a framework for dealing with insider trading and market abuses.
The BVI continues to update its regulatory regime to meet the needs of stakeholders. The Approved Managers Regime came into force the end of 2012 and creates a new regulatory environment for fund managers by reducing the regulatory burden under SIBA. The SIBA (Amendment), 2012 facilitates the new regulations for the Approved Managers Regime.
The most recent amendment to SIBA in 2019 and the corresponding regulations provide for the recognition and regulation of closed-ended funds by way of the Private Investment Fund. The new regime came into force on 31 December 2019.
Additionally, the FSC has created two new regulated fund categories – incubator fund and approved funds. They were created in order to provide more flexibility to smaller and start-up financial services businesses. Under the new fund categories, managers and principals of smaller, open-ended funds may be approved to conduct business within a lighter regulatory framework. The Securities and Investment Business (Incubator and Approved Funds) Regulations 2015 come into force on 1 June 2015.
BANKING. The Virgin Islands is characterised as a conservative banking jurisdiction. At the end of 2022 there were 7 banking institutions licensed to operate in and from within the BVI with total assets of approximately US$2.8 billion. The domestic market is serviced by the following commercial banks which offer a wide range of competitive services: Republic Bank BVI Limited (formerly Scotia Bank (BVI) Limited), First Caribbean International Bank, First Bank Virgin Islands, Banco Popular de Puerto Rico, VP Bank (BVI), the National Bank of the Virgin Islands and the Bank of Asia. The banking sector is regulated by the Financial Services Commission under the Banking and Trust Companies Act, 1990 and subsequent amendments.
FINANCING AND MONEY SERVICES.
Financing and money services businesses also fall under the regulatory remit of the FSC. The Financing and Money Services Act (2009) sets up the licensing and regulatory framework governing local businesses in the BVI conducting consumer financing, lending, and money payments and transfers. Subsequent legislative amendments in 2018 broaden the reach of the regime by expanding the range of licenses offered and including for more sophisticated financing arrangements utilising FinTech.
In 2020 the Government instituted a levy on money services Class A licensees that is those businesses providing money transmission services outside of the Virgin Islands (excluding banks). The 7% withholding tax applies to the gross amount being transmitted as provided for in the Financial and Money Services (Amendment) Act (2020).
INSOLVENCY. The Virgin Islands boasts a modern comprehensive insolvency regime that meets the needs of the growing incorporation, investment and financial services activities in the BVI. The governing legislation, the Insolvency Act 2003, makes provisions for the licensing and regulation of insolvency practitioners a wide range of liquidation and rehabilitation alternatives, a director’s
disqualification regime and the establishment of an Official Receiver’s office.
TRUST MANAGEMENT. Trust Management forms a major component of financial services activity in the Virgin Islands. Revised legislation, together with the highly flexible BVI Business Company, has opened up wider markets for the BVI trust.
Trusts are formed under the Trust Ordinance 1961 (based on the English Trustee Act 1925), as updated and amended by the Trustee Amendment Act 1993 and 2003. The amendment Acts considerably modernise and update the legislation, creating a more flexible regime for trusts.
The Virgin Islands Special Trusts Act, 2003 (VISTA) is another piece of legislation which updated the trust regime. VISTA trust, overcomes many problems associated with the “prudent man of business rule”, which typically made trusts unattractive vehicles to hold assets which settlers intended trustees to retain. The Act enables a shareholder to establish a trust of his company which disengages the trustee from management responsibility and permits the company and its business to be retained as long as the directors see fit.
The majority of Virgin Island trusts are exempt from all taxes provided there are no beneficiaries resident in the BVI, and that the trust does not conduct any business in the BVI or own any land in the jurisdiction.
There is a large and sophisticated community of professional advisers on trust matters in the Virgin Islands. Companies offering trust services must be licensed under the Banks and Trust Companies Act, 1990.
OTHER DEVELOPMENTS FINANCIAL SERVICES
Economic Substance Requirement. The British Virgin Islands passed the Economic Substance (Companies and Limited Partnerships) Act, 2018, and the Economic Substance (Companies and Limited Partnerships) (Amendment) Act 2021 (the Substance Legislation) which addresses the European Union’s concerns about entities in financial services jurisdictions like the BVI over their ability to demonstrate “economic substance”.
The Act outlines which entities need to comply and what are their obligations. Entities that conduct ‘relevant activities’ and ‘core income-generating activities’ are subject to the ‘economic substance’ requirements. Relevant activities include: Banking business; Insurance business; Shipping business; Fund management business; Finance and leasing business; Headquarters business; Holding business; Intellectual property business; and
Distribution and Service Centre Business. Section 8 of the Act identifies further economic substance requirements. The Act also introduces additional reporting obligations to ascertain ongoing compliance. The BVI International Tax Authority (ITA) is the ‘competent authority’ under the Act and is responsible for enforcing the economic substance requirements. Entities must be able to show that they have an adequate level of employees and expenditure in the BVI and appropriate physical offices or premises for the core income generating activity.
The Rules (and Explanatory Notes) on Economic Substance which contains explicit information on how the economic
substance requirements may be met and guidance on the interpretation of the legislation and the manner in which the ITA will carry out its obligations are now available. Additionally, the Economic Substance Portal went live on 12 June 2020 and facilitates the electronic filing of economic substance information by BVI registered agents on behalf of their clients.
ASHIPPING
TAX INFORMATION EXCHANGE AGREEMENTS
Fintech – Regulatory Sandbox. The BVI’s commitment to business innovation progressed with the passing of the Financial Services (Regulatory Sandbox) Regulations, 2020. This provides the licensing, operational and regulatory environment to support innovative FinTech business initiatives. The Sandbox provides 2 clear benefits: allows FinTech businesses to test their innovations for a defined time period while permitting the FSC to access possible legal and regulatory structures that may be needed to support new financial service products. On 31 August 2020 eligible businesses could apply to the FSC for admission to the sandbox regime.
s the sailing capital of the Caribbean and an esteemed corporate domicile, the Virgin Islands is also a popular jurisdiction for the registration of ships. As a Category One Register, within the Red Ensign Group, large vessels of unlimited tonnage and mega yachts of up to 3,000 gross tons can be registered in the Territory. In both instances, the owners must be a Virgin Islands citizen, British citizen, British Overseas Territories Citizen, British subject, a British national under the Hong Kong Order 1986, a national of a European Union member state, or a body corporate incorporated in a member state of the European Union or a British possession, including the Virgin Islands. If you do not meet the nationality requirement, you may register a company in the Virgin Islands in order to register a vessel.\.
Registration procedure also requires the de-registration of the vessel from its current registry, a survey of the vessel and the submission of ownership documents to the Registrar of Shipping. The registration fee is $550, and an annual fee of $100 is payable to maintain registration. In addition, there will be legal fees charged by the firm you choose to assist you with registration.
ATax Information Exchange Agreements (TIEAs) is a bilateral agreement that has been negotiated and signed between two countries to establish a formal regime for the exchange of information relating to civil and criminal tax matters. The purpose of TIEAs is to promote international co-operation in tax matters through exchange of information. TIEAs grew out of the work undertaken by the Organisation for Economic Cooperation and Development (OECD) to address the lack of effective exchange of information among financial centres. Information exchange is based on requests relating to specific criminal or civil tax matters that are under investigation.
The BVI has a long tradition of providing legal assistance to foreign regulatory and law enforcement authorities and continues to be committed to the OECD’s principles of transparency and effective exchange of information. Under the guidelines provided by the OECD and the new international tax standard emanating from the G-20 Summit in April 2009, jurisdictions are required to sign at least 12 TIEAs. To date the BVI has signed 28 TIEA’s.
The BVI has agreements with Ireland, the Netherlands, Curacao, St. Maarten, Aruba, the United States, the United Kingdom, Australia, New Zealand, France, the Faroe Islands, Greenland, China, India, Germany, Poland, Portugal, the Czech Republic, Guernsey, Isle of Man, Canada, Japan and South Korea and the Nordic group of countries Sweden, Norway, Finland, Denmark and Iceland.
The International Tax Authority (ITA), established under the Ministry of Finance, is the Competent Authority in respect of all matters relating to Tax Information exchange. It ensures that the BVI effectively exchanges tax information with other countries under the laws of the Virgin Islands and the relevant TIEAs.
Foreigners planning to purchase property in the British Virgin Islands require a Non-Belonger Land Holding License. Agreements to purchase property are therefore made contingent upon such a license being obtained by the purchaser.
Application for a Non-Belonger Land Holding License is made to the Government of the British Virgin Islands, Ministry of Environment, Natural Resources and Climate Change.
If the application for a license relates to undeveloped or partly developed land, the applicant will be required to make a commitment to the Government of the British Virgin Islands to expend a specified sum on development within a specified time period.
The purchase of property by all persons including citizens and foreigners is subject to a Government stamp duty subsequent to transference of the property. The rate of 12% of the purchase price or appraised value whichever is higher, is payable by any foreigner and citizens are required to pay a 4%. The stamp duty on leaseholds is lower. Other costs associated with the purchasing of property in the BVI include: legal fee (usually between 1.5% to 2% of the purchase price), bank fees, 10% deposit to the seller’s agent to be held in escrow on the signing of the purchase agreement, pending acceptance and completion.
There are no restrictions on an overseas investor re-selling a developed property. The property must however, be advertised for four weeks in the local press to give any local person the opportunity to purchase the property on the same terms.
Application for a Non-Belonger Land Holding License is made to the Government of the British Virgin Islands, Ministry of Environment, Natural Resources and Climate Change.
The Government introduced on 22 October 2020 the Financial Services Industry Expedited Work Permit Processing Initiative to assist in alleviating bottlenecks that existed as the BVI creates a more business friendly environment. The service is extended to businesses and their employees in the financial services industry including banks, auditing companies, insurance companies, registered agents, legal firms etc. Benefits include reduced processing timelines, online applications, remote payment of fees, and designated service for ancillary departments such as Immigration and Inland Revenue. An expedited fee of $150 is required in additional to the customary work permit processing charges.
2025 PUBLIC HOLIDAYS
1st January, Wednesday New Year’s Day
3rd March, Monday The Anniversary of the Birth of Hamilton Lavity Stoutt (In lieu of Friday, 7th March)
18th April, Friday Good Friday
21st April, Monday Easter Monday
9th June , Monday Whit Monday
13th June, Friday Sovereign’s Birthday
7th July, Monday Virgin Islands Day
4th August, Monday Emancipation Monday
5th August, Tuesday Emancipation Tuesday
6th August, Wednesday Emancipation Wednesday
20th October, Monday Heroes and Foreparents Day
24th November, Monday
The Commemoration of the Great March of 1949 and the Restoration of the Legislative Council
25th December, Thursday Christmas Day
26th December, Friday Boxing Day
GOVERNMENT LISTINGS
Government Ministries and Departments
Website: www.bvi.gov.vg
Due to the commencement of repairs to the Central Administrative Complex
Premier’s Office
Cutlass Tower, 3rd Floor
Road Town, Tortola
Tel: (284) 468-2152
E-mail: premieroffice@gov.vg
Ministry of Finance
RFG Building
Francis Drake Highway, Tortola
Tel: (284) 468-2144
Fax: (284) 468-3299
Email: finance@gov.vg
Ministry of Health & Social Development
Voronica’s House of Commerce
Long Bush, Road Town, Tortola
Tel: (284) 468-2272/2174
E-mail: ministryofhealth@gov.vg
Ministry of Communication and Works
Manuel Reef,
Pieces of Eight, Tortola
Tel: (284) 468-2183
Fax: (284) 468-3090
Email: mcw@gov.vg
Ministry of Environment, Natural Resources, and Climate Change
Pusser’s Building, 3rd Floor
Lower Estate, Tortola
Tel: (284) 468-2147
Email: nrl@gov.vg
Ministry of Education, Youth affairs, and Sports
Ward’s Building, 2nd Floor
Road Town, Tortola
Tel: (284) 468-2151
Email: mec@gov.vg
Ministry of Financial Services, Labour, and Trade
265 Waterfront Drive
Road Town, Tortola
Tel: (284) 468-2152
Email: mfslt@gov.vg
Ministry of Tourism, Culture and Sustainable Development
Los Angeles 6601 Center Drive Suite 500, Los Angeles, CA 90045 Tel: 213-304-2993
United Kingdom 15 Upper Grosvenor St., London W1K 7PJ Tel: + 44-207-355-9585 Fax: + 44-207-355-9587 E-mail: info@bvitourism.com
Emergency Numbers
Police &
PUBLISHER’S NOTE:
All of the information in this guide has been carefully collected and prepared, but it still remains subject to change and correction. Use these contents for general guidance only and seek extra assistance from a professional adviser with regards to any specific matters. Readers can contact the relevant authorities mentioned in this Fast Fact Guide.
