International business and financial intermediation in Bermuda have contributed substantially to the Caribbean country’s economy, according to the Government of Bermuda’s National Economic Report 2010.
Despite contracting by 27.5%, the financial intermediation sector was the second largest contributor to Bermuda’s economy accounting for $684.3m in output. This represents 12% of the country’s total GDP.
The Ministry of Finance stated that the decline was associated with reductions in licensing, supervisory and incorporation fees collected as a result of a decline in the number of international business entities registered in Bermuda.
There were 15,091 international companies registered in Bermuda at the end of 2010, a decline of 558 companies or 3.6% less than the total at the end of 2009.
But over the first nine months of 2010, foreign exchange earnings of the international companies grew by $79m to $1.6bn, representing an increase of 4.3%. (Credit: https://etoroopiniones.net/)
At the end of the third quarter of 2010, the total net asset value of collective investment schemes was $183.6bn, an increase of 18.9% year over year.
There were also signs of growth in the registration of special purpose insurers, which increased to eight in 2010 from three the previous year.
Senator Kim Wilson, minister of economy, trade and industry, praised the role of international companies in creating jobs for Bermudans.
“Even in tough economic times when jobs are being lost, it is clear that guest workers in international business and other sectors will continue to be vital to sustaining a large number of Bermudan jobs.”
