British Virgin Islands, Tortola

🇻🇬 The British Virgin Islands (BVI), officially the Virgin Islands, are a British Overseas Territory in the Caribbean, to the east of Puerto Rico and the U.S. Virgin Islands and north-west of Anguilla. The islands are geographically part of the Virgin Islands archipelago and are located in the Leeward Islands of the Lesser Antilles and part of the West Indies. The British Virgin Islands consist of the main islands of Tortola, Virgin Gorda, Anegada and Jost Van Dyke, along with more than 50 other smaller islands and cays. About 16 of the islands are inhabited. The capital, Road Town, is on Tortola, the largest island, which is about 20 km (12 mi) long and 5 km (3 mi) wide. British Virgin Islanders are British Overseas Territories citizens and since 2002 are British citizens as well.

Etymology The islands were named "Santa Úrsula y las Once Mil Vírgenes" by Christopher Columbus in 1493 after the legend of Saint Ursula and the 11,000 virgins. The name was later shortened to "the Virgin Islands".

The official name of the territory is still simply the "Virgin Islands", but the prefix "British" is often used. This is commonly believed to distinguish it from the neighbouring American territory which changed its name from the "Danish West Indies" to "Virgin Islands of the United States" in 1917. However, local historians have disputed this, pointing to a variety of publications and public records dating from between 21 February 1857 and 12 September 1919 where the territory is referred to as the British Virgin Islands. British Virgin Islands government publications continue to begin with the name "The territory of the Virgin Islands", and the territory's passports simply refer to the "Virgin Islands", and all laws begin with the words "Virgin Islands". Moreover, the territory's Constitutional Commission has expressed the view that "every effort should be made" to encourage the use of the name "Virgin Islands". But various public and quasi-public bodies continue to use the name "British Virgin Islands" or "BVI", including BVI Finance, BVI Electricity Corporation, BVI Tourist Board, BVI Athletic Association, BVI Bar Association and others.

In 1968 the British Government issued a memorandum requiring that the postage stamps in the territory should say "British Virgin Islands" (whereas previously they had simply stated "Virgin Islands"), a practice which is still followed today. This was likely to prevent confusion following on from the adoption of US currency in the territory in 1959, and the references to US currency on the stamps of the territory.

History It is generally thought that the Virgin Islands were first settled by the Arawak from South America around 100 BC to AD 200, though there is some evidence of Amerindian presence on the islands as far back as 1500 BC. The Arawaks inhabited the islands until the 15th century when they were displaced by the Kalinago (Island Caribs), a tribe from the Lesser Antilles islands.

The first European sighting of the Virgin Islands was by the Spanish expedition of Christopher Columbus in 1493 on his second voyage to the Americas, who gave the islands their modern name.

The Spanish Empire claimed the islands by discovery in the early 16th century, but never settled them, and subsequent years saw the English, Dutch, French, Spanish, and Danish all jostling for control of the region, which became a notorious haunt for pirates. There is no record of any native Amerindian population in the British Virgin Islands during this period; it is thought that they either fled to safer islands or were killed.

The Dutch established a permanent settlement on the island of Tortola by 1648, frequently clashing with the Spanish who were based on nearby Puerto Rico. In 1672, the English captured Tortola from the Dutch, and the English annexation of Anegada and Virgin Gorda followed in 1680. Meanwhile, over the period 1672–1733, the Danish gained control of the nearby islands of Saint Thomas, Saint John and Saint Croix (i.e. the modern US Virgin Islands).

The British islands were considered principally a strategic possession. The British introduced sugar cane which was to become the main crop and source of foreign trade, and large numbers of slaves were forcibly brought from Africa to work on the sugar cane plantations. The islands prospered economically until the middle of the nineteenth century, when a combination of the abolition of slavery in the British Empire in 1834, a series of disastrous hurricanes, and the growth in the sugar beet crop in Europe and the United States significantly reduced sugar cane production and led to a period of economic decline.

In 1917, the United States purchased the Danish Virgin Islands for US$25 million, renaming them the United States Virgin Islands. Economic linkages with the US islands prompted the British Virgin Islands to adopt the US dollar as its currency in 1959.

The British Virgin Islands were administered variously as part of the British Leeward Islands or with St. Kitts and Nevis, with an administrator representing the British Government on the islands. The islands gained separate colony status in 1960 and became autonomous in 1967 under the new post of Chief Minister. Since the 1960s, the islands have diversified away from their traditionally agriculture-based economy towards tourism and financial services, becoming one of the wealthiest areas in the Caribbean. The constitution of the islands was amended in 1977, 2004 and 2007, giving them greater local autonomy.

In 2017 Hurricane Irma struck the islands, causing four deaths and immense damage.

Geography The British Virgin Islands comprise around 60 tropical Caribbean islands, ranging in size from the largest, Tortola, being 20 km (12 mi) long and 5 km (3 mi) wide, to tiny uninhabited islets, altogether about 150 square km (58 square miles) in extent. They are located in the Virgin Islands archipelago, a few miles east of the US Virgin Islands, and about 95 km (59 mi) from the Puerto Rican mainland. About 150 km (93 mi) east south-east lies Anguilla. The North Atlantic Ocean lies to the east of the islands, and the Caribbean Sea lies to the west. Most of the islands are volcanic in origin and have a hilly, rugged terrain. The highest point is Mount Sage on Tortola at 521m. Anegada is geologically distinct from the rest of the group, being a flat island composed of limestone and coral. The British Virgin Islands contain the Leeward Islands moist forests and Leeward Islands xeric scrub terrestrial ecoregions. In the British Virgin Islands forest cover is around 24% of the total land area, equivalent to 3,620 hectares (ha) of forest in 2020, down from 3,710 hectares (ha) in 1990.

Economy The twin pillars of the economy are financial services and tourism. Politically, tourism is the more important of the two, as it employs a greater number of people within the territory, and a larger proportion of the businesses in the tourist industry are locally owned, as are a number of the highly tourism-dependent sole traders, for example, taxi drivers and street vendors. Financial services associated with the territory's status as an offshore financial centre are by far the more important. 51.8% of the Government's revenue comes directly from licence fees for offshore companies, and considerable further sums are raised directly or indirectly from payroll taxes relating to salaries paid within the trust industry sector, which tend to be higher on average than those paid in the tourism sector.

The official currency of the British Virgin Islands is the United States dollar (US$). Deemed by some to be a tax haven due to its opaque banking system, the British Virgin Islands enjoys one of the more prosperous economies of the Caribbean region.

Tourist Industry Tourism accounts for approximately 45% of national income. The islands are a popular destination for US citizens. Tourists frequent the numerous white sand beaches, visit The Baths on Virgin Gorda, snorkel the coral reefs near Anegada, or experience the well-known bars of Jost Van Dyke. The BVI are known as one of the world's greatest sailing destinations, and charter sailboats are a very popular way to visit less accessible islands. Established in 1972, the BVI hosts the BVI Spring Regatta and Sailing Festival. A substantial number of the tourists who visit the BVI are cruise ship passengers, and although they produce far lower revenue per head than charter boat tourists and hotel based tourists, they are nonetheless important to the substantial taxi driving community. Only Virgin Islanders are permitted to work as taxi drivers.

Financial services Financial services account for over half of the income of the territory. The majority of this revenue is generated by the licensing of offshore companies and related services. The British Virgin Islands is a significant global player in the offshore financial services industry. In 2000 KPMG reported in its survey of offshore jurisdictions for the United Kingdom government that over 45% of the world's offshore companies were formed in the British Virgin Islands. Since 2001, financial services in the British Virgin Islands have been regulated by the independent Financial Services Commission.

Citco, also known as the Citgo Group of Companies and the Curaçao International Trust Co., is a privately owned global hedge fund administrator headquartered in the British Virgin Islands, founded in 1948. It is the world's largest hedge fund administrator, managing over $1 trillion in assets under administration.

At the end of 2012 the banking sector of the British Virgin Islands comprised six commercial banks and one restricted bank, 12 authorised custodians, two licensed money services businesses and one licensed financing service provider.

In the April 2016 Panama Papers leak, the British Virgin Islands was the most commonly used tax haven by clients of Mossack Fonseca.

Foreign Account Tax Compliance Act On 30 June 2014, The British Virgin Islands was deemed to have an Inter- Governmental Agreement (IGA) with the United States of America with respect to the "Foreign Account Tax Compliance Act" of the United States of America.

Sanctions and Anti-Money Laundering Act Under the UK Sanctions and Anti-Money Laundering Act of 2018, beneficial ownership of companies in British overseas territories such as the British Virgin Islands must be publicly registered for disclosure by 31 December 2020. The Government of the British Virgin Islands plans to challenge this law, arguing that it violates the Constitutional sovereignty granted to the islands.

Agriculture and industry Agriculture and industry account for only a small proportion of the islands' GDP. Agricultural produce includes fruit, vegetables, sugar cane, livestock and poultry, and industries include rum distillation, construction and boat building. Commercial fishing is also practised in the islands' waters.

Transport There are 113 km (70 mi) of roads. The main airport, Terrance B. Lettsome International Airport, also known as Beef Island Airport, is located on Beef Island, which lies off the eastern tip of Tortola and is accessible by the Queen Elizabeth II Bridge. Cape Air, and Air Sunshine are among the airlines offering scheduled service. Virgin Gorda and Anegada have their own smaller airports. Private air charter services operated by Island Birds Air Charter fly directly to all three islands from any major airport in the Caribbean. Helicopters are used to get to islands with no runway facilities; Antilles Helicopter Services is the only helicopter service based in the country.

The main harbour is in Road Town. There are also ferries that operate within the British Virgin Islands and to the neighbouring United States Virgin Islands. Cars in the British Virgin Islands drive on the left just as they do in the United Kingdom and the United States Virgin Islands. However, most cars are left hand drive, because they are from the United States. The roads are often quite steep, narrow and winding, and ruts, mudslides and rockfall can be a problem when it rains.

Demographics As of the 2010 Census, the population of the territory was 28,054. Estimates put the population at 35,800 (July 2018) yet in 2022, it is thought to be much less than 30,000 post-Irma and with people having left during COVID lockdowns due to unemployment in the tourism industry. The majority of the population (76.9%) are Afro-Caribbean, descended from slaves brought to the islands by the British. Other large ethnic groups include Latinos (5.6%), those of European ancestry (5.4%), Mixed ancestry (5.4%) and Indian (2.1%).

The 2010 Census reports: • 76.9% African • 5.6% Hispanic • 5.4% European/Caucasian • 5.4% Mixed • 2.1% East Indian • 4.6% Others* *Includes Chinese, Carib/Amerindian, Filipinos and Arabs

The 2010 Census reports the main places of origin of residents as follows: • 39.1% local born (though many locals go to St. Thomas or the United States for maternity services) • 7.2% Guyana • 7.0% St. Vincent and the Grenadines • 6.0% Jamaica • 5.5% United States • 5.4% Dominican Republic • 5.3% United States Virgin Islands

The islands are heavily dependent upon migrant labour. In 2004, migrant workers accounted for 50% of the total population. 32% of workers employed in the British Virgin Islands work for the government. In the late 2000s the first Overseas Filipino Worker came to the British Virgin Islands, by 2020 total British Filipino population was about 800.

Unusually, the territory has one of the highest drowning mortality rates in the world, being higher than other high-risk countries such as China and India. 20% of deaths in the British Virgin Islands during 2012 were recorded as drownings, all of them being tourists. Despite this, the territory's most popular beach still has no lifeguard presence.

Religion Over 90% of the population who indicated a religious affiliation at the 2010 Census were Christian with the largest individual Christian denominations being Methodist (17.6%), Anglican (9.5%), Church of God (10.4%), Seventh-Day Adventists (9.0%) and Roman Catholic (8.9%). The largest non-Christian faiths in 2010 were Hinduism (1.9%) and Islam (0.9%). However Hindus and Muslims constitute each approximately 1.2% of the population according to Word Religion Database 2005.

The Constitution of the British Virgin Islands commences with a professed national belief in God.