London Daily

Focus on the big picture.
Wednesday, Oct 22, 2025

COVID-19 Xray Crystallographic Examination of VI Economic Ills

COVID-19 Xray Crystallographic Examination of VI Economic Ills

As the rest of the Caribbean region and in the spring of 2020, Coronavirus (COVID-19), a deadly global pandemic, struck the [British] Virgin Islands (VI), instilling fear among residents and changing lives, livelihoods, and circumstances.

The opportunistic and deadly virus infected thousands, prematurely snuffed out approximately 37 precious lives, slowed tourism, one-half of the economic twin pillars to a crawl; and other economic sectors, reduced gross domestic product (GDP), drove layoffs and increased unemployment, forced the government to provide economic stimulus to individuals and businesses, among other hardships.

In addition to the noted adverse impacts, COVID-19 has also revealed and exposed the fragility and weakness of VI's economic structure, especially its heavy dependence on the tourism sector. Tourism is one-half of the economic twin pillars; financial services, the other. Though financial services provide over 50 percent of government revenue, tourism generates more direct, indirect, and induced employment.

X-ray Crystallography


Scientists use x-ray crystallography technology that is supposedly stronger than powerful microscopes to take images of viruses' structures. Abhijit V. Banerjee and Esther Duflo, in Good Economics for Hard Times, noted that the method was employed to develop a vaccine for the RSV (Respiratory Syncytial Virus) that provided the template for creating the Moderna and Pfizer vaccines. Moreover, in addition to its devastating health, safety, and social challenges, COVID-19 also metaphorically provided an x-ray crystallographic examination of the VI's economic structure and ills.

Economic Sectors


The VI, a small (36 islands, 59 square miles) and resource-poor territory, lacked the natural resources, i.e., agriculture, forestry, fishing, mining, among other resources, to develop either a primary economy (extraction of resources) or a secondary economy, i.e., manufacturing resources extracted in the primary sector. Its primary economy is tertiary or service-based; tourism and financial services are the twin pillars of the economy.

At emancipation on August 1, 1834, and immediately after, the VI economy comprised mostly agriculture, a vulnerable economic sector. Then starting in the mid-60s, the territory started the transition from subsistence agriculture to tourism, another highly vulnerable economic industry. Though tourism generates more employment than its economic twin pillar, financial services, it is highly fragile and vulnerable, as COVID-19 demonstrated, laid bare and exposed. Vulnerabilities include climate change, natural disasters (hurricanes), epidemics, crime, external economic downturns, among other factors.

Other territorial vulnerabilities include small population, trade dependency, food price volatility, heavy imports, external shocks, lack of energy sustainability, remoteness from major markets, and limited economic diversity. Moreover, the government, by necessity, is a significant workforce employer.

Economic Diversification & Structural Transformation


COVID-19 x-ray crystallographic examination exposed the structural weakness and lack of diversity in the VI economy. Consequently, along with strengthening and deepening tourism and financial services, work on diversifying the economy is critical and needs to be urgently started. Economic diversification includes a) reduce vulnerability to external shocks, b) manage and provide the path for more equitable economic growth and development, c) increase the number of skillsets, jobs, and quality of jobs, d) build resiliency and sustainability into the economy, e) shift from single income stream to multiple streams from a range of sectors and markets, f) create more small business opportunities and so on.

The key to economic diversification is a full-throated embrace of technology and a highly educated and trained population/workforce. These requirements are critical and essential for leaping into the quaternary (intellectual or knowledge-based) and quinary sectors of the tertiary or service economy. Moreover, exploring the potentials of the 'Blue Economy' is a good start towards diversifying the economy.

Newsletter

Related Articles

0:00
0:00
Close
Apple Challenges EU Digital Markets Act Crackdown in Landmark Court Battle
Nicolas Sarkozy begins five-year prison term at La Santé in Paris
Japan stocks surge to record as Sanae Takaichi becomes Prime Minister
This Is How the 'Heist of the Century' Was Carried Out at the Louvre in Seven Minutes: France Humiliated as Crown with 2,000 Diamonds Vanishes
China Warns UK of ‘Consequences’ After Delay to London Embassy Approval
France’s Wealthy Shift Billions to Luxembourg and Switzerland Amid Tax and Political Turmoil
"Sniper Position": Observation Post Targeting 'Air Force One' Found Before Trump’s Arrival in Florida
Shouting Match at the White House: 'Trump Cursed, Threw Maps, and Told Zelensky – "Putin Will Destroy You"'
Windows’ Own ‘Siri’ Has Arrived: You Can Now Talk to Your Computer
Thailand and Singapore Investigate Cambodian-Based Prince Group as U.S. and U.K. Sanctions Unfold
‘No Kings’ Protests Inflate Numbers — But History Shows Nations Collapse Without Strong Executive Power
Chinese Tech Giants Halt Stablecoin Launches After Beijing’s Regulatory Intervention
Manhattan Jury Holds BNP Paribas Liable for Enabling Sudanese Government Abuses
Trump Orders Immediate Release of Former Congressman George Santos After Commuting Prison Sentence
S&P Downgrades France’s Credit Rating, Citing Soaring Debt and Political Instability
Ofcom Rules BBC’s Gaza Documentary ‘Materially Misleading’ Over Narrator’s Hamas Ties
Diane Keaton’s Cause of Death Revealed as Pneumonia, Family Confirms
Former Lostprophets Frontman Ian Watkins Stabbed to Death in British Prison
"The Tsunami Is Coming, and It’s Massive": The World’s Richest Man Unveils a New AI Vision
Outsider, Heroine, Trailblazer: Diane Keaton Was Always a Little Strange — and Forever One of a Kind
Dramatic Development in the Death of 'Mango' Founder: Billionaire's Son Suspected of Murder
Two Years of Darkness: The Harrowing Testimonies of Israeli Hostages Emerging From Gaza Captivity
EU Moves to Use Frozen Russian Assets to Buy U.S. Weapons for Ukraine
Europe Emerges as the Biggest Casualty in U.S.-China Rare Earth Rivalry
HSBC Confronts Strategic Crossroads as NAB Seeks Only Retail Arm in Australia Exit
U.S. Chamber Sues Trump Over $100,000 H-1B Visa Fee
Shenzhen Expo Spotlights China’s Quantum Step in Semiconductor Self-Reliance
China Accelerates to the Forefront in Global Nuclear Fusion Race
Yachts, Private Jets, and a Picasso Painting: Exposed as 'One of the Largest Frauds in History'
Australia’s Wedgetail Spies Aid NATO Response as Russian MiGs Breach Estonian Airspace
McGowan Urges Chalmers to Cut Spending Over Tax Hike to Close $20 Billion Budget Gap
Victoria Orders Review of Transgender Prison Placement Amid Safety Concerns for Female Inmates
U.S. Treasury Mobilises New $20 Billion Debt Facility to Stabilise Argentina
French Business Leaders Decry Budget as Macron’s Pro-Enterprise Promise Undermined
Trump Claims Modi Pledged India Would End Russian Oil Imports Amid U.S. Tariff Pressure
Surging AI Startup Valuations Fuel Bubble Concerns Among Top Investors
Australian Punter Archie Wilson Tears Up During Nebraska Press Conference, Sparking Conversation on Male Vulnerability
Australia Confirms U.S. Access to Upgraded Submarine Shipyard Under AUKUS Deal
“Firepower” Promised for Ukraine as NATO Ministers Meet — But U.S. Tomahawks Remain Undecided
Brands Confront New Dilemma as Extremists Adopt Fashion Labels
The Sydney Sweeney and Jeans Storm: “The Outcome Surpassed Our Wildest Dreams”
Erika Kirk Delivers Moving Tribute at White House as Trump Awards Charlie Presidential Medal of Freedom
British Food Influencer ‘Big John’ Detained in Australia After Visa Dispute
ScamBodia: The Chinese Fraud Empire Shielded by Cambodia’s Ruling Elite
French PM Suspends Macron’s Pension Reform Until After 2027 in Bid to Stabilize Government
Orange, Bouygues and Free Make €17 Billion Bid for Drahi’s Altice France Telecom Assets
Dutch Government Seizes Chipmaker After U.S. Presses for Removal of Chinese CEO
Bessent Accuses China of Dragging Down Global Economy Amid New Trade Curbs
U.S. Revokes Visas of Foreign Nationals Who ‘Celebrated’ Charlie Kirk’s Assassination
AI and Cybersecurity at Forefront as GITEX Global 2025 Kicks Off in Dubai
×