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BRITISH VIRGIN ISLANDS DEVELOPMENT PROFILE


Flag from FOTW Flags Of The World website
Population:22,643
Land area:153 square Km
Capital:Road Town Tortola
Language(s):English
Local Currency:US dollar
Exchange:
UNDP Human Development Rank:Not ranked
     Life Expectancy:
     Adult Literacy rate:
Official Government website:http://www.bvi.gov.vg
Map of BRITISH VIRGIN ISLANDS
GOVERNMENT   Top
  • Governor - David PEAREY
  • Deputy Govenor - Dencia PENN-SMITH
  • Chief Minister - Orlando SMITH
  • Min. of Communication and Works - J.Alvin CHRISTOPHER
  • Min. of Education and Culture - Lloyd BLACK
  • Min. of finance - Ronnie SKELTON
  • Min. of Natural Resources and Labor - Eileene PARSONS
  • Permanent Secretary - Clyde LETTSOME

    • Public Holidays: 1 January, New Years Day; 1 March, H. Lavity Stoutt's Birthday; 8 March, Commonwealth Day; Good Friday; Easter Monday; 31 May, Whit Monday; 12 June, Sovereign's Birthday; 1 July, Territory Day; first Monday, Tuesday, Wednesday in August: Festival Monday, Festival Tuesday, Festival Wednesday; 21 October, St. Ursula's Day; 25 December, Christmas Day; 26 December, Boxing Day


    ECONOMIC DEVELOPMENT   Top
    Economic Survey of the Caribbean 2005-2006

    This survey examines the macroeconomic performance of selected countries of the Caribbean Development and Cooperation Committee (CDCC) for 2005 and their outlook for 2006.

    Throughout the region, countries adopted a conservative monetary stance in order to defend the parity of their currency. Rising interest rates on international capital markets,increasing fiscal deficits in some cases and the effects of rising oil prices on the current account and on inflation prompted the authorities to adopt this policy. The current account position deteriorated for all economies (-9% and –17% of GDP in 2004 and 2005) with the exception of Belize, Saint Lucia and Trinidad and Tobago. The latter was also the only country to record a surplus in its external accounts. The behaviour of the current account responded to the significant increase in the energy bill, higher food prices and the rise in the demand for construction materials.


    SOCIAL DEVELOPMENT   Top
    Social Development Report 2005/06

    Statistics indicate that the overall poverty conditions of the BVI were relatively adequate, yet poverty among the immigrant population, single parent families and senior citizens is beginning to emerge. As an immediate concern, the government needs an adequate policy framework that focuses on the speicfic areas of poverty, as mentioned above.

    In a Social Welfare Policy report,The Development Planning Unit of the government of BVI gives a comprehensive analysis of the social services provided for the less fortunate and senior members of the society. Social services for (Vulnerable groups) Women, Children and Youth, The Elderly and People with disability are particualrly addressed for policy reform by the government.

    The first group assessed was the welfare of women, where the association called 'The Women Desk'(establihed by the national women's group) serves as part of the government machinery and works closely with NGO's, churches and other Support groups in order to maintain the development of women in the BVI. Implementation of a integrated approach among NGO's, stakeholders and all public and private institutions are stated by the governemnt as vital to the future development of women.

    In approaching the needs for Children and Youth (following the 1990 World Summit for Children), the government of BVI has taken pervasive measures in:

    • Reduction of infant and under five-child mortality rate.
    • Reduction of maternal mortality rate by half.
    • Reduction of severe and moderate malnutrition among under five children.
    • Universal access to safe drinking water.
    • Universal access to sanitary means of excreta disposal.
    • Universal access to basic education and completion of primary education.
    • Reduction of adult illiteracy rate.
    • Improved protection of children in especially difficult circumstances.

    Strategic policies recommended to help guide a positive direction for the full development of children and youth will be undertaken by the government, a few mentioned were;

    • Put in place a National Youth Policy, which identify the needs of the youth and strategies on how to achieve their needs. This is in pursuit of optimum development in preparation for fulfillment of their role and function in the national community specifically and in society in general.
    • Establish a National Youth Council as a focal point of central representation for individuals and groups. This will provide greater participation in decision making and national politics.

    Social needs of the Elderly are also addressed by the government. Statistics indicate that the rate of life expectancy and entry of women in the labour force has been increasing, which means the expansion of social services including higher national insurance payments and special recreation should be targeted at an aging population.

    With their Social Security insurance program, the government already provides financial security for insured elderly persons. However, social security was only established in 1980, and many elderly still suffer from from lack of benefits. Civil servants working for 25 consecutive years are entitled to recieve a monthly pension.Development strategies were henced designed to improve and review the Pension plan and legal framework to include persons who served but were never covered under the Pension Act.

    Finally, the disabled group was shown to be 4.4% of the total population of BVI, moreover, only 41.4% of the active group (15-64 years) of disabled persons participated in formally employed positions. In order to tackle this situation, the BVI government has progames such as "Social Security Invalidity Benefits" designed to financially assist persons who has become permanently incapable of work and has become medically certified as being likely to remain incapacitated.



    Coat of Arms from FOTW Flags Of The World website
    ENVIRONMENT   Top

    Solid Waste Management


    STATISTICS   Top
    Selected statistics indicators for BRITISH VIRGIN ISLANDS
    UN Statistics Division for BRITISH VIRGIN ISLANDS
    Caribbean Social Statistics Database
    Caribbean Trade Statistical Database
    KEY DOCUMENTS   Top
    1. British Virgin Islands 2007 Budget Address (1/1/2007)
      In the budget address, the Prime Minister states: 'at maintaining stability and growth in these troubled and turbulent times begins first and foremost with responsible and careful management of the people’s money.'

    2. Hemispheric Trade and Tariff Database (IADB, 1/1/2006)
      The information in the Hemispheric Trade and Tariff Data Base for Market Access consists of: National Customs Tariff based on the Harmonized System (HS) at the most detailed tariff line level with corresponding product description. For each tariff line, the following information is available, as applicable: MFN Applied Tariff Rates; Preferential Tariff Rates and the countries to which they apply; Tariff lines for which Agricultural Tariff Rate Quotas (TRQs) may apply; and Agricultural exports for which Export Subsidies may apply. Import and Export Statistics by partner country, in value and volume, at the most detailed level of the National Custom Tariff.

    3. An Appropriate regional Goverance Framework for Promoting Growth and Balanced Development in the Caribbean in the Twenty-First Century. (Caribbean Forum for Development, 5/6/2005)
      Author: Dr. Ralph E. Gonsalves
      The twenty-first century finds the Caribbean facing huge challenges arising from modern globalisation, trade liberalisation, the rising cost of imported fuel, and the revolution in information technology. The economic and social fall-out from these epoch-making phenomena has been repeatedly chronicled and analysed. Taken together they require responses grounded in enhanced competitiveness, economic restructuring and repositioning which go beyond mere ritual economic diversification, a many-sided education revolution appropriate for living and production in these challenging times, deepening regional integration, sustained and sustainable economic growth, fiscal prudence and social justice (including poverty-reduction) in a period of external shocks, cultural reclamation and adjustment, and an efficacious framework of governance nationally and regionally fit for the circumstances.

    4. A Time to Choose: Caribbean Development in the 21st Century (4/27/2005)
      Author: World Bank
      According to this flagship 15 country report, A Time to Choose: Caribbean Development in the 21st Century the region needs to move beyond decades of reliance on traditional markets and trade preferences to swiftly adapt to diversify into new sources of growth, exploiting its natural advantages of location, environment, political stability and democratic traditions. Citing the examples of Ireland and Singapore, the report argues that small economies, despite their size, can be competitive in many sectors, particularly in niche marketing

    5. Financial Services in the B.V.I. (Government of Belize and Office of the Prime Minister, 1/1/2005)
      The British Virgin Islands are one of the world’s best-known offshore financial centres, but it is not a financial centre for everyone. Our national slogan to market tourism says, "Yes, we are different," which is certainly so for our financial service sector.

    6. British Virgin Islands (www.offshore-manual.com, 1/1/2005)
      The BVI government recognizes the importance of its offshore business. Following the termination of the income tax treaty with the U.S. in 1982, the International Business Ordinance was introduced in 1984. This provides for the incorporation of companies exempt from BVI taxes. The success of the financial sector in the British Virgin Islands (BVI) is due almost exclusively to its role as the world's leading jurisdiction for international business companies (IBCs).


    BIBLIOGRAPHY   Top

    1. Genderestanding mobile telephone: women men and their use of cellular phones in the Caribbean (IDRC, 1/1/2007)
      Author: Dunn, Hopeton and Leith
      Provides background information on usage of mobile telephony by men and women across varied age ranges in the region. The data suggests that telephoney has undergone dramatic transitions over the last five years

    2. Strategies in Tourism (Government of the British Virgin Islands, 1/1/2005)
      Tourism has been the lifeblood of the British Virgin Islands economic development since 1958, when a consultant encouraged Government to explore it as an alternative development strategy.

    3. Agriculture in the British Virgin Islands (Government of the British Virgin Islands, 1/1/2005)
      Of the 37,000 acres of land, it is estimated that 10,000 acres are not suitable for any form of agriculture, as they are too precipitous and rocky. Of the 27,000 acres suitable for agriculture, only 2% is flat land. The soils are derived from granite schists and shales, and can support as good a vegetative cover as the depth of soil, nutrient status and rainfall will allow.

    4. Social Activities in the British Virgin Islands (B.V.I.) (Government of the British Virgin Islands, 1/1/2005)
      A brief description of social life and a full database of social activities of all categories in the BVI

    5. International Affairs regarding the B.V.I. (Government of the British Virgin Islands, 1/1/2005)
      The ever-changing global economic forces shaping the environment in which the rapidly expanding economy of the British Virgin Islands operates, dictates that the BVI Government must continually develop its international relationships.

    6. General Information about the BVI (Government of the British Virgin Islands, 1/1/2005)
      The British Virgin Islands is comprised of 60 islands, cays and rocks, located 90 miles east of Puerto Rico in the Caribbean. Our temperate climate, white sand beaches, crystal clear waters, and oval-shaped layout help to make us one of the most desirable tourist destinations in the region. Almost 400,000 tourists visit our shores annually, for pleasure yacht sailing, snorkeling, and diving. The BVI is known as the sailing capital of the world.

    7. A Paradise Below (Jane Bakewell /Jim Scheiner/ B.V.I. Welcome Tourist Guide-Vol. 25 No.5 Aug/Sept 1996, 1/1/2005)
      Often when one conjures up a picture of paradise, the ingredients that form that image are remarkably similar. A white sand beach fringed with palm trees, pristine blue skies and matching waters, reclining beach chairs supporting an idyllic-looking couple gazing out to the horizon. Scenes such as these could easily grace any postcard of the British Virgin Islands, but there is more.

    8. SOCIAL WELFARE POLICY IN THE BRITISH VIRGIN ISLANDS (The Government of BVI, 1/1/2005)
      Social Welfare Policy can be defined as a clearly articulated statement of the government describing a course of action/s to be implemented in order to achieve set goals and objectives as far as social welfare is concerned. The aim of the Government of the British Virgin Islands is to build a socially cohesive, a thriving community through integrated social and economic policies which seek to strengthen community relations, minimize social tensions, strengthen families, and eradicate poverty.

    9. Survey of Caribbean tax systems (CARICOM, 7/1/2004)
      Author: Paulo dos Santos, Laurel Bain
      This survey has been prepared at the request of the CARICOM Secretariat. Its objective is to make available to member countries and tax specialists, updated information on the Caribbean tax systems in terms of tax structures and revenues. The survey is also aimed at making available some cross-country comparisons with a view to improving the use of best practices in taxation in the region

    10. Diagnosis of the erosion process in the Caribbean Sandy Beaches (UNEP, GPA ,Ministry of Science,Technology and Environment, Government of Cuba, 3/1/2003)
      According to the different factors that intervene in the erosion of a beach, the actions to mitigate it require not only of scientific investigations that explain the phenomenon appropriately, but also of the implementation of regulations and laws that assure the correct Coastal Zone management and of the appropriate engineering techniques to recover and protect the damaged sectors.

    11. The Impact of Globalization on the Caribbean Sugar and Banana Industries (The University of the West Indies, Mona Campus, Jamaica., 1/1/2001)
      Author: Belal Ahmed
      "Currently the challenge faced by the sugar and banana industries from globalization are a result of lack of increased production and productivity, absence of economies of scale of production, continued labour problems and its high cost, slow pace of crop diversification, few value added products developed, higher costs of inputs resulting from currency liberalization, low levels of technology used in the inadequate research and development support. The industries short-term survival strategy should aim at addressing the above concerns at the earliest possible time."

    12. Environmentally Sound Technologies for Wastewater and Stormwater Management - Financing (UNEP, 11/1/2000)
      In the Caribbean region , many of the islands main economy are tourism. But to sustain the attractiveness of the countries/Islands, there needs to be the consistence of a high standard of environmental conditions. In coastal areas, marine and inland areas, with the protection of health there must be good quality water supply, also good management and operation of wastewater and storm water, also the control and disposal of garbage. As a result of the need for environmental improvement in some areas and Islands, financial assistance generally sought form international agencies

    13. Environmentally Sound Technologies for Wastewater and Stormwater Management - SIDS (UNEP, 11/1/2000)
      Despite the slow pace of development, many countries/islands of the Caribbean area are major tourist destinations due to the attractions of the natural environment. There is a real danger that inadequate action and investment into managing wastewater and storm water will cause harm to the natural environment, eroding ecosystem health and function and associated tourist attractions.

    14. Review of Financial Regulation in the Caribbean Overseas Territories and Bermuda — The British Virgin Islands (www.archive.official-documents.co.uk, 10/27/2000)
      Financial services are the main element of the BVI economy and account for approximately half of government revenues. The financial services sector has been growing rapidly in recent years.

    15. Tourism demand and the nuisance of crime (National Centre for Development Studies, Australian National University and Reserve Bank of Fiji, 7/1/2000)
      Author: Theodore Levantis and Azmat Gani
      "The international tourism industry is booming, giving many developing nations unprecedented opportunity in trade. But for some developing nations, law and order problems appear to have obstructed growth in tourism. With little attention in the literature given to the influences of safety considerations for tourist demand, this paper investigates the deterrent effect of crime on tourism in developing island economies of the South Pacific and Caribbean. Using annual time-series data, a simple country-specific model is estimated. The empirical results confirm the importance of crime levels as a hindrance to the demand for tourism, the inference being that news of a deteriorating law and order situation in destination countries is being successfully disseminated to potential tourists in source countries despite the general inaccessibility of up-to-date crime statistics."

    16. BVI Offshore Business Sectors (www.Lowtax.net, 1/1/1999)
      The British Virgin Islands seem to have got as close to being a perfect "private" offshore international financial centre as can be imagined. For 25 years the Government has welcomed offshore business, and has created a world-standard regulatory structure to avoid money-laundering and other criminal activity.

    17. Collective Bargaining - Extract from: " Labour Relations in the Caribbean Region: Background Paper" by Dr. Zin Henry (ILO Caribbean Office, www.caribbeing.com, 1/1/1988)
      Except in the very small islands (such as Anguilla, Turks and Caicos, Cayman and the British Virgin Islands), collective bargaining is a widely established process through which terms and conditions of employment are determined in Caribbean countries. It is difficult to determine its extent precisely because there is no legal requirement in several of the countries for collective agreements to be registered; but an indication may be gleaned from the few countries where there is such a requirement. In Trinidad and Tobago, with a labour force of some 480,000, for example, employment terms and conditions of over 40% per cent (now in the twenties) of the employed workforce are directly regulated by approximately 450 collective agreements.

    18. Constitution of the British Virgin Islands (Government of the British Virgin Islands, 6/1/1977)
      This Order may be cited as the Virgin Islands (Constitution) Order 1976.

    19. The OECS 
      The Organisation of the Eastern Caribbean States, OECS, came into being on 18 June 1981, when seven Eastern Caribbean countries signed a treaty, agreeing to co-operate with each other and promote unity and solidarity among their Member States. This treaty became known as the Treaty of Basseterre, so named in honour of the capital city where it was signed. The member States of the OECS are Antigua and Barbuda, Dominica, Grenada Montserrat, St Kitts and Nevis, Saint Lucia and St Vincent and the Grenadines. The British Virgin Islands and Anguilla are associate members.

    20. POVERTY AND ITS ALLEVIATION IN THE CARIBBEAN 
      Poverty reduction is an almost universal objective. It finds expression in the strategies and programmes of multilateral institutions, national governments, bilateral aid agencies and regional and sub-regional development banks. It is the first of the eight Millennium Development Goals for improving human welfare enunciated by the United Nations General Assembly in 2000.

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