U.S. Virgin Islands GDP rose 2.8% in 2021, federal data showed

The U.S. Virgin Islands' gross domestic product increased 2.8% in 2021 after declining 1.9% in 2020, according to statistics released on May 24, 2023, by the U.S. Bureau of Economic Analysis.

The increase in real GDP reflected gains in exports and personal consumption expenditures, partly offset by declines in private inventory investment, private fixed investment and government spending. Imports, which are subtracted in the GDP calculation, also decreased.

Exports increased 94.9%, driven by higher exports of goods and services. The increase in goods exports primarily reflected higher exports of crude oil and petroleum products, while services exports rose as visitor spending increased.

Personal consumption expenditures increased 0.6%, reflecting higher spending on goods and services. The release said consumer spending was supported by government assistance payments to households through the CRRSA Act and the American Rescue Plan Act.

Private fixed investment fell 36.8%, reflecting declines in business spending on construction and equipment. Government spending decreased 1.2%, primarily because of lower federal spending after elevated 2020 spending tied to reconstruction of federal facilities damaged in the 2017 hurricanes Irma and Maria.

The statistics were developed under the Statistical Improvement Program funded by the Office of Insular Affairs at the U.S. Department of the Interior.

Official source: https://www.vi.gov/usvi-gross-domestic-product-rises-2-8-in-2021/