VI companies support 2.3M jobs & generate US$14B in tax revenues globally- Report
![The [British] Virgin Islands’ (VI’s) positive role in the global economy has been underscored in a new independent report launched today, March 29, 2023: ‘Beyond globalisation: The British Virgin Islands contribution to global prosperity in an uncertain world’. Photo: bvi.gov.vg](https://www.virginislandsnewsonline.com/cache/images/800x_p_pragmatix_report_2023_beyond_globalisation.png)
The report, based on quantitative and qualitative research of firms operating in the VI, shows that the territory is home to a globally respected international business and finance centre facilitating an estimated $1.4 trillion in cross-border trade and investment.
According to a Government Information Services (GIS) press release on the report, there are currently just over 375,000 active VI Business Companies, roughly 57 per cent originating in Asia and 16 per cent from Europe and North America. Investment mediated by VI Business Companies supports around 2.3 million jobs globally and generates an extra US$14bn each year in taxes for governments worldwide.
In the UK, VI companies hold an estimated US$153bn in assets, with 134,000 jobs created by investment mediated through the BVI and US$3.5bn of tax revenues generated for the UK government.
Boosting the global economy
Commenting on the report, Elise Donovan, CEO, BVI Finance, said, “This report provides clear evidence of the role the BVI plays in facilitating investment, stimulating economic growth, creating jobs and providing governments with much-needed tax revenues. With this research, we can continue to break down some of the myths and educate more people on true role the BVI plays as a respected and valued international financial and business centre and a key intermediary in the global economy.”
She said, “Whatever form the next evolution of globalisation takes, international financial centres like the BVI will remain vital cogs in boosting the global economy by enabling investment, facilitating sophisticated transactions, and enabling a more efficient global marketplace.”
'Need will remain for expert, neutral & innovative centres' like VI’s
The ‘Beyond Globalisation’ report identifies three scenarios for the future of globalisation and the opportunities for the VI. In the first scenario – ‘Weaker internationalism’- pre-pandemic globalisation trends continue, albeit more slowly and with plenty of political obstacles to navigate. In ‘the bloc economy,’ economic and regulatory integration between countries continues within geopolitical blocs, but these different groups diverge. Lastly, ‘new economic nationalism’ is a partial reversal of globalisation with increased protectionism, less porous borders and more erratic politics.
Mark Pragnell, Director, Pragmatix Advisory, added, “Looking into an uncertain future and beyond the globalisation of recent decades, there are many different scenarios for geopolitics and economics, but the need will remain for expert, neutral and innovative centres, like the British Virgin Islands’, to support cross-border trade, investment and mobility.”
The full Beyond Globalisation report can be viewed here
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11 Responses to “VI companies support 2.3M jobs & generate US$14B in tax revenues globally- Report”
The VI is are providing a international service at the government level, yet people find it hard to believe we can have such a thing as a universal income, funding for private entrepreneurs, funding for bachelors, masters, & phd graduates upon return to the territory, and regularized territory wide grant$.
As the previous commenter wrote "$163B in assets in the U K, along with 134K jobs, and $3.5B in tax revenue"
Yet between 30,000 people, our government is looking for hand outs!! Insane & degrading considering government can mandate we the 30,000 of the VI get a tiny tiny tiny piece of that $163,000,000,000 billion with a B.
Paired with tourism taxes why are we asking for hand outs?! Other countries want to tax our residents, requst tax information from us & expect the VI not to tax them too.
I say it again we should be sitting back eating popcorn and voting together as a territory about who in the world we should send aid and funding to because we have it that good.
We are disappointing our ancestors way of life before slavery & colonialization of Africa, by screwing it up, not pushing for a surpluses of self sufficiency, sucking up to the enemy for no gain and not leveraging our assets in order for the whole territory to continually live better than they who were enslaved and barely survived.
Make no mistake anyone who tries to oppress you is not you friend. Why do they want to take away financial services when they know we depend on it?
I guess its Ok for them to have favorable tax laws but not us. They've given themselves the advantage by exempting themselves without protecting the VI.
Think hard if a friend would do that.