The government of the Virgin Islands reported projected revenue growth for fiscal year 2027 during Friday’s Spring Revenue Estimating Conference, according to a Government House press release.
Officials said overall revenues are expected to reach about $870.7 million in FY 2027, up from $866.4 million in FY 2026, reflecting continued economic activity and stable tax performance, the press release stated.
Lt. Gov. Tregenza A. Roach opened the conference by recognizing ongoing fiscal challenges and the need to manage limited resources. “I am grateful for the work that you do,” Roach said.
Gov. Albert Bryan Jr. pointed to continued investment across the territory. “The future is bright. You have to be the light that lights a thousand candles,” Bryan said.
According to projections from the Bureau of Economic Research, revenue growth has followed a pattern of gradual increases since FY 2022. Officials noted that gross receipts tax collections are expected to decline by about 15%, which the Internal Revenue Bureau attributed to the departure of high-net-worth individuals, the release stated.
At the same time, other revenue categories remain steady. Since 2019, more than $411 million in tax refunds has been issued, reflecting administrative improvements, according to the release.
Tourism continues to play a central role in the economy. Non-stop flights from the mainland are projected to increase by 16.5% in 2026, with St. Thomas expected to see a 21.6% rise in available seats. Cruise passenger numbers are projected at 1.9 million for both 2026 and 2027, the release stated.
Officials also highlighted the role of federal disaster recovery funding. The Office of Disaster Recovery reported that more than 40 major projects are expected to influence FY 2027 revenues and expenditures, with projected spending of about $733.9 million, the release stated.
Projects include hospital reconstruction, utility upgrades, school rebuilding, and public safety infrastructure, according to the release.
Property tax collections continue to increase, supported by enforcement tools and collection efforts, while the Economic Development Authority reported growth in program participation, with 110 beneficiaries and additional revenue expected in coming years, the release stated.
Officials said the territory’s fiscal outlook remains stable despite pressure in some revenue areas, supported by tourism activity, economic development, and ongoing recovery projects, it stated.
