As of the end of the third quarter of 2025 approaches, the Government of the Virgin Islands is reporting that the total public sector debt is $145.95 million, consisting of fifteen (15) standard loans. Central Government debt accounts for twelve (12) of these loans, valued at $107.23 million (73.5%), while guaranteed debt represents three (3) loans totaling $38.72 million (26.5%). Photo: Government of the Virgin Islands

Premier Dr the Hon Natalio D. Wheatley (R7) is the country's Minister of Finance. Photo: Government of the Virgin Islands

The report further stated that debt servicing is expected to gradually increase over the next three years, driven by continued disbursements on the CIBC $100 million Infrastructure Loan facility and the CDB $65.29 million Rapid Response Loan (RRL). Photo:Internet

Central Government debt accounts for twelve (12) of these loans, valued at $107.23 million (73.5%), while guaranteed debt represents three (3) loans totalling $38.72 million (26.5%).

The Government’s domestic creditors include CIBC—Caribbean (Cayman Limited) (CIBC), Republic Bank, and the Social Security Board (SSB). The Government's external creditor is the Caribbean Development Bank (CDB).

Annual Comparison (2023–2025)

The outstanding public sector debt balance at the end of September 2025 shows:

• A 4.1% decline from June 2025, which was $152.23 million.
• A 4.9% decrease compared to September 2024.
• An 18.7% reduction compared to September 2023.

These reductions are primarily due to ongoing debt servicing, with no new disbursements recorded during the third quarter.

The third quarter of 2025 Public Sector Debt Report indicates that the domestic debt profile amounted to $67.66 million (46.6%) of the total public sector debt. This includes $22.07 million owed to SSB, $5.67 million to Republic Bank, and $39.92 million to CIBC. The external debt profile, which comprises the remaining $78.29 million (53.6%) of total public sector debt, is held exclusively by the CDB.

The report also highlights that, at the end of September 2025, the domestic debt totalling $67.66 million was distributed across the Construction, Health, Sewerage, Public Administration, Transportation, and Electricity sectors. This domestic debt consists of four (4) Central Government loans valued at $28.94 million and three (3) guaranteed loans totalling $38.72 million, held by the three creditors: SSB, CIBC, and Republic Bank. 

The Central Government's domestic debt, amounting to $28.94 million, is allocated among the Construction, Health, Sewerage, Public Administration, and Transportation sectors, with holdings from SSB ($8.07 million), Republic Bank ($5.67 million), and CIBC ($15.20 million).

The guaranteed domestic debt, totalling $38.72 million, is associated with the Transportation and Electricity sectors and is held by CIBC ($24.72 million) and SSB ($14.00 million).

$100M CIBC loan finalised 

In October 2024, the Government finalised a $100 million Infrastructure Loan facility with CIBC. While there were no additional disbursements by the end of September 2025, an extra $25 million is expected to be drawn by December.

Meanwhile, at the end of the third quarter of 2025, a significant 79.2% ($115.65 million) of the Government public sector debt portfolio consisted of loans with floating interest rates, supported by SSB ($8.07 million), CIBC ($29.92 million), and the CDB ($77.66 million). The remaining $30.31 million (20.8%) comprised loans with fixed interest rates held by Republic Bank ($5.67 million), CIBC ($10.00 million), SSB ($14.00 million), and CDB ($0.63 million).

The report further stated that debt servicing is expected to gradually increase over the next three years, driven by continued disbursements on the CIBC $100 million Infrastructure Loan facility and the CDB $65.29 million Rapid Response Loan (RRL).