US Virgin Islands in crisis

The governor of the US Virgin Islands has told lawmakers that global economic trends have left the territory in a desperate situation.



In his State of the Territory address, Governor John de Jongh called for a consolidation of government agencies, increased taxes and greater promotion of public-private capital projects.



He also says he wants to cancel the $31 million recently approved in salary increases for government workers.



Instead, the Governor wants to impose a two-year freeze on salaries and cut the number of paid holidays.



Governor de Jongh is insisting that the government cannot survive if it continues on its present track.