Aerospace: Bermuda Has The Right Stuff
A new report says although the Isle of Man consistently “punches above its weight” and has created a profitable niche market providing off-shore advisory, professional and financial services to the global aerospace industry, Bermuda is an emerging competitor in the field.
Released this week, the US Futron Corporation study on space competitiveness commissioned by the Isle of Man — which has pursued aerospace business as an economic priority in recent years — cited Bermuda as one of several comparator jurisdictions.
Bermuda, Gibraltar, Hong Kong, and Singapore were selected by Futron for comparative purposes due to their status, like the Isle of Man, as jurisdictions which have adopted a “non-traditional approach” to space investment focussed on specialised activities in space-related finance and business.
The report said Bermuda’s longterm objective in the field involves the commercialisation of orbital slots for satellites and development of Bermuda-based aerospace insurance business.
“In Bermuda, the focus of governmental space activities is largely on the satellite telecommunications and insurance sectors,” said the report. “Much like the Isle of Man, the government of Bermuda aims to leverage the country’s tax policy to attract space-related business. However, unlike in the Isle of the Man, the Bermudian government agency with responsibilities for this sector – the Telecommunications Division of the Ministry of Energy, Telecommunications and ECommerce – has a less clearly articulated mandate to support businesses’ development in the space sector than does the Manx government.
“[But] the government is giving attention to the development of a space-related insurance market in the country, including hosting a meeting in 2010 to brainstorm new business markets for the country’s insurance providers.”
Bermuda had budgeted $500,000 per year in 2009 and 2010 for the development and commercialisation of the country’s satellite assets — namely orbital slots.
