International Business Driving Bermudian Economic Growth

by Amanda Banks, Tax-News.com, London

25 February 2004

An economic report issued alongside the Bermudian budget last week has revealed the increasing role being played by the international business sector in contributing towards the jurisdiction’s economic health.

According to figures contained in the 2003 Economic Review, the number of international companies registered in the jurisdiction last year increased by 1.4%, taking the total number of these firms to 13,509. The statistics also revealed a 6.5% increase in the amount spent by international companies between 2001 and 2002, to an estimated $1.05 billion. Meanwhile, the foreign earnings of international companies in the first six months of 2003 were reported as increasing by $49 million to $541 million.

Finance Minister Paula Cox also indicated that general economic growth remains at healthy levels, despite the havoc wreaked last year by Hurricane Fabian. The level of GDP in 2003 was estimated at $3.9 billion, against a level of $3.7 billion in 2002. The report observed that international business was the most significant contributor to this additional growth, and revealed that the sector also provided 15.8%, or $593 million, of the island’s output in 2002.

"There figures demonstrate that the international business sector is the pillar on which the Bermudian economy stands," noted the review.

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