The Government of the Virgin Islands has undertaken a Debt Management Self-Assessment to evaluate the various processes and institutions currently in place to guide public debt activities.

The Debt Management Self-Assessment was facilitated by the Commonwealth Secretariat’s Debt Management Unit from September 18 to 29 and spanned the full gamut of government debt management functions.

Acting Deputy Financial Secretary in the Ministry of Finance, Dr. Drexel Glasgow said the objective of the assessment was to identify core strengths and areas for improvement for further technical assistance over the next five years.

He said the programme of reforms will help strengthen capacity and institutions to help the Virgin Islands manage its public debt effectively and sustainably.

Dr. Glasgow said, “This assessment will not only be instrumental in evaluating the Territory’s debt management practices but also identifies areas for improvement along with other recommendations. The analysis from the report will be a core document guiding any reforms in debt management.”

“Following submission of the assessment, the Commonwealth Secretariat will develop a five-year programme to facilitate the implementation of the measures identified,” Dr. Glasgow added.

The Government of the Virgin Islands commenced an aggressive approach to reform informed by the recommendations in the British Virgin Islands Commission of Inquiry Report since 2022. It is in line with this Reform that the Government requested assistance from the Commonwealth Secretariat to undertake a Debt Management Performance Self-Assessment of the Territory.

Adviser and Acting Head of the Debt Management Unit of the Commonwealth Secretariat, Mr. Mac Banda said this public debt assessment forms part of a longstanding relationship with the Ministry of Finance of the Government of the Virgin Islands.

Mr. Banda said, “In recent past, our DMU has offered extensive technical assistance, capacity-building support, and advice on debt management systems to the BVI. This includes our flagship tool, Commonwealth Meridian, which the BVI has been using for public debt management. I am pleased that the Ministry of Finance has chosen to partner with the Commonwealth Secretariat on this new journey, which will undoubtedly impact not only the economy but the lives of people in the British Virgin Islands.”

The assessment was jointly led by Policy Analyst in the Macro-Fiscal Unit, Michele Richmond-Phillips and Debt Management Adviser at the Commonwealth Secretariat, assigned to the Caribbean, Delia Cox. Discussions were held with several departments and teams throughout central government, statutory bodies and the private sector, to ensure that the assessment captured the country’s unique context and to ensure that the programme of support is tailored and effective.

The team also met with Premier and Minister of Finance, Honourable Dr. Natalio Wheatley to discuss some preliminary findings of the assessment. The Premier expressed his gratitude to the Commonwealth Secretariat for their continued partnership and support, as the assessment comes at a critical time for the Virgin Islands.

About the Commonwealth Secretariat’s Debt Management Unit

The Commonwealth Secretariat’s Debt Management Unit (DMU), through its public debt management programme, has been supporting member countries’ efforts to effectively manage their debt portfolios for over forty years. In accordance with the mission of the Commonwealth Secretariat and the Sustainable Development Goals, the programme aims to strengthen the policy framework, institutional and legal arrangements, institutional capacity and management information systems to support prudent and effective debt management in member countries. The overall aim is to achieve sustainable debt, reduce long-term debt servicing costs, and manage the risk of contingent liabilities.

Delivery of the programme is through advisory support, capacity building and provision and support of public debt management systems including the new public debt management system, Commonwealth Meridian that incorporates advanced and improved functionalities to address emerging debt management requirements and takes advantage of the latest state-of-the-art technologies.