Virgin Islands tourism surges with record 2.6 million visitors and historic low unemployment

Under the bright lights of the Virgin Islands Legislature, a sense of optimism filled the air as leaders gathered to discuss the State of the Territory Address on January 27, 2025. The meeting highlighted a remarkable resurgence in the territory's economy, primarily driven by a booming tourism sector that welcomed 2.6 million visitors, marking a 10% increase from the previous year. This surge not only set records for December but also underscored the Virgin Islands' recovery from past challenges, surpassing pre-pandemic visitor levels.

The economic impact of this growth is profound, with the shared economy contributing $3.69 billion and traditional accommodations adding another $4.62 billion. The Virgin Islands has firmly established itself as a premier destination in the Caribbean, a fact celebrated by local leaders who emphasized the importance of storytelling and cultural pride in attracting visitors.

In a bid to sustain this momentum, the territory is making significant investments in infrastructure. The opening of the first phase of the Veil Gregory Transportation Center in April 2024 and the upcoming renovations at key seaports are set to enhance the travel experience for both visitors and residents. These upgrades are crucial as the territory prepares to accommodate an anticipated increase in cruise passengers, projected to reach 275,000 annually.

However, the address was not solely focused on tourism. Leaders acknowledged the pressing need for workforce development, as job postings continue to outpace applicants. The upcoming Virgin Islands Technical College, set to open in September 2025, aims to fill gaps in high-demand fields and provide residents with access to higher-paying careers. This initiative, along with a free tuition program for the University of the Virgin Islands, is designed to empower the local workforce and foster economic stability.

The meeting also touched on the implementation of the Virgin Islands Cannabis Use Act, which aims to create a regulated market for cannabis, ensuring safety and accessibility for residents. Additionally, a groundbreaking initiative to establish a local shipyard is expected to enhance the territory's competitiveness in the Caribbean boating repair industry.

Despite these advancements, challenges remain. Leaders addressed the urgent need for improvements in waste management infrastructure, acknowledging the ongoing crisis with aging systems and the necessity for decisive action. The Waste Management Authority has secured significant federal funding to address these issues, but leaders emphasized the importance of adequate resources and support for sustainable operations.

As the meeting concluded, a sense of determination resonated among the leaders. They recognized that while the Virgin Islands is experiencing unprecedented growth, the path forward requires continued collaboration, innovation, and a commitment to addressing the challenges that lie ahead. The future of the territory, they affirmed, is one of promise and opportunity, built on the foundation of resilience and community spirit.