2017 Gross Domestic Product Report Released

October 29, 2018

Real GDP grew 2.5% to $4.7 billion last year, according to the recently released 2017 annual Gross Domestic Product [GDP] report.

The Minister for the Cabinet Office with Responsibility for Government Reform Lovitta Foggo said, “The publication focuses on growth between the years 2016 and 2017, and provides highlights of Bermuda’s real economic growth by industry.”

Chart extracted from the report:

The Gross Domestic - Google Chrome 10292018 35604 PM

“The report highlights the impact of the 35th America’s Cup on the economy, noting that the strongest growth was registered by the hotel and restaurant industry and the real estate and renting industry, which grew by $46.6 million and $21.9 million, respectively,” the Ministry noted.

“Growth in the GDP led to a 4.1 per cent increase in gross national disposable income and an 8.9 per cent increase in national savings for Bermuda.”

Minister Foggo added, “Bermuda experienced a relatively positive year in 2017 in terms of our GDP. While the report highlights the economic impact of the America’s Cup, the reality is that this was a one off event which cost the public purse $103.1 million.

“This Government has been focused on implementing policies and making investments aimed at diversifying our economy and producing sustainable economic growth. The 2018 outlook indicates that the areas of construction and employment are exhibiting positive signs, and bodes that well for our community.”

The 16-page report is below [PDF here]

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Comments (22)

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  1. DeOnion says:

    This:
    “This Government has been focused on implementing policies and making investments aimed at diversifying our economy and producing sustainable economic growth. The 2018 outlook indicates that the areas of construction and employment are exhibiting positive signs, and bodes that well for our community.”

    The PLP just cannot say it, can they! That the AC was good for Bermuda! They have to peddle out inaccurate facts to try and make some cheap political point.
    Utterly pathetic.

    This: “Growth in the GDP led to a 4.1 per cent increase in gross national disposable income and an 8.9 per cent increase in national savings for Bermuda.” is what matters!

    • Double S says:

      They are a sad bunch aren’t they.

      Ms. Foggo would you say that the following stats produced by your Government coincide with your optimist outlook for 2018:

      - Fall in employment income of over $15mn
      - Negative GDP growth in Q118
      - Five months of contracting retail sales
      - A dead real estate market
      - Business confidence plummeting

      Please provide the facts that underpin your comments regarding employment and your optimism for 2018.

  2. Fact versus fiction says:

    Nice spin.

    2017 results are clear and those changes continue to be felt in a positive way.

    2018 as the Minister points to is anecdotal at this point.

    Thus a shameful attempt at spin.

    Let’s see what the GDP report looks like for 2018 then we can pop the champagne or whatever else seems to be the seinknof the day.

  3. question says:

    She just hates the fact that the AC was a success in boosting the economy. She absolutely hates it.

  4. Politricks says:

    On another note why does it take nearly a year for the Government to produce these stats? Most countries are able to get these out within the first quarter of the new year at worst.

  5. Onion says:

    Now we’re straight back into recession.

    Thanks PLP.

  6. Joe Bloggs says:

    “Minister Foggo added, “Bermuda experienced a relatively positive year in 2017 in terms of our GDP. While the report highlights the economic impact of the America’s Cup, the reality is that this was a one off event which cost the public purse $103.1 million.”

    Dear Minister Foggo, please will you tell us where you got the “cost the public purse $103.1 million” information from. According to the PWC report AC 35 was originally forecast to cost the island $77 million but ended coming in $12.9 million under budget. That me means it cost the public purse only $64.1 million, or 62% of your figure.

    Are you saying that PwC were wrong in their assessment? This is important, as the difference between your figures and the PwC figures is $39 million!

  7. Sandgrownan says:

    She has to peddle the 100m lie and she cannot stomach the fact that it was great for Bermuda and, perhaps more galling, that the PLP could NEVER have orchestrated anything on that scale.

    Another PLP failure.

    • Red rose says:

      The plp has repeated this lie so often that it has become fact despite every other comment disputing it. They use the mantra That if you tell a lie often enough it becomes fact

      • LaV says:

        The plp take their cues from Trump. They emulate him….but don’t recognise it. LOL

      • Vote for Me says:

        The $40m cost of Cross Island has to be added to the $77m, less advertisement revenue that was credited to the Government to get to the $100m total.

        The $40m Cross Island cost is currently being serviced by the Government, thru WEDCo.

        • Account for this says:

          PWC were our accountants until we saw what a farce they made of the AC report. How they could leave expenses like the build of Cross Island from the report as well as other expenses related to promotions and marketing was of major concern to us and we have chosen to not retain their services as a result. No one believed their results which then resulted in an OBA loss in the election.

        • Lol says:

          O how these OBA lot conveniently forgot to add that….that’s where the 100 mill comes from…the oba was famous for leaving out key points in there so called reports

        • sandgrownan says:

          Ah, but if she’s going the cherry pick that number, she also needs to talk to other direct investment in Bermuda as a result. She didn’t, so she needs to sit down.

          The other interesting thing about the PWC report on the AC, is that it talks to the opportunities resulting over the next few years. Perhaps Foggo could talk to how the PLP are capitalizing on those?

          But, of course, we know they aren’t.

  8. Cedar Stump says:

    Thank you OBA. The 2018 report will be very interesting to say the least.

  9. Incredibly disappointed says:

    It’s fascinating that a tiny community on a tiny island in the middle of the deep blue sea, with a long maritime tradition, has done so much to disparage and alienate the international yachting community. And the international yachting community knows it too. Talk about cutting off ones nose to spite ones face.

    • sandgrownan says:

      That’s because the PLP are morons. Ignorant, bigoted, clueless morons.

  10. Question says:

    I love how they compare the GDP of one year against the AC expenses, which ran over several years. PLP Doublespeak.

  11. Carlton says:

    cryptogovernment virtual money to line their pockets

  12. aceboy says:

    103.1M?

    That seems to be a little bit too accurate, almost as if she is pretending she has some back up for where she got that number.

    Can Ms. Foggo please break down the 103.1 million for us please? Can she also acknowledge the revenue side of the equation for our economy? If not, why not?

    • sandgrownan says:

      Even if you took her at her word, which you can’t, it’s still a staggering return on investment.

      They really are grasping at straws because they know how much of a whole they dug themselves.

      Same old fiscally incompetent PLP.