Caribbean tourism sees major investment and cruise growth

The Bahamas is experiencing a significant surge in tourism investment, with an estimated $3.5 billion in active and announced projects. According to the Inter-American Development Bank, this pipeline includes $1.5 billion for cruise infrastructure in Grand Bahama, a $200 million development at Paradise Island, and over $1.3 billion in luxury resorts across Eleuthera, the Exumas, and Abaco. While visitor arrivals reached a record 12.5 million in 2025, the market remains heavily reliant on cruise passengers, who accounted for approximately 85% of arrivals. This reliance has sparked discussions regarding the economic impact of cruise tourism versus higher-value stopover tourism, as overnight arrivals saw a 2.6% decline.

In the British Virgin Islands (BVI), cruise tourism growth has also been notable. Data from the Caribbean Tourism Organization shows the BVI recorded the third-fastest cruise growth in the Caribbean during the first quarter of the year, with 493,397 passengers—a 29.3% increase year-over-year. Despite this growth, local critics have raised concerns regarding the territory's heavy dependence on cruise visitors and have urged the government to focus more on attracting overnight visitors to boost local spending.