The Cabinet of the Virgin Islands has approved an increase in the procurement threshold for government contracts, a move aimed at expediting smaller projects and streamlining the procurement process.
Under the updated policy, the threshold for contracts requiring a public tender process has risen from $100,000 to $250,000. Minister for Communication and Works, Hon. Kye Rymer, announced the changes during a recent House of Assembly session, highlighting the benefits of this adjustment.
In addition to the increased public tender threshold, the Cabinet has raised the limit for restrictive tenders from $10,000 to $25,000. Restrictive tenders are typically used for specialized services or projects involving a smaller pool of qualified bidders.
Rymer emphasized that the new thresholds are designed to address delays often associated with the lengthy tendering process. By allowing more contracts to bypass the public tender process, the government hopes to expedite the completion of critical projects throughout the territory.
The updated procurement thresholds are expected to facilitate faster delivery of goods, services, and construction works while maintaining oversight and accountability. It is also anticipated that the changes will support local businesses by simplifying access to government contracts.
The Cabinet’s decision represents a significant step toward modernizing the Virgin Islands’ procurement framework and addressing bottlenecks that have hampered progress in the past.