Economic Performance Reviewed By Council
The Financial Policy Council recently held its 30th meeting, marking ten years of activity, to review Bermuda’s economic performance, Corporate Income Tax implementation, and strategies for financial resilience.
A Government spokesperson said, “The Financial Policy Council [FPC] held its thirtieth meeting on 4 December 2025. With this meeting, FPC reached its 10th year of activity. FPC welcomed Mr John Hele, who joined as a new Council member. The meeting was hosted by the Bermuda Monetary Authority.
“The FPC reviewed the performance of Bermuda’s economy. Materials reviewed included the 2025 assessment carried out by the Fiscal Responsibility Panel as well as GDP, Balance of Payments, jobs, and employment income data, including the contributions of the various industry sectors. The sound performance of the economy was analysed, noting the prominence of the international business sector as a key driver of the economy. Members also discussed the work underway in relation to implementing the Corporate Income Tax [CIT] in Bermuda. All three Fiscal Responsibility Panel members joined FPC discussions on these matters.
“FPC members continued discussing the island-wide impact of the current geopolitical environment, with specific focus on potential financial stability risks faced by Bermuda, and importantly, on strategies to strengthen the overall island’s resilience.
“As has been the case for the past years, FPC Members discussed market, regulatory, and supervisory developments in Bermuda’s international life [re]insurance sector. Members welcomed the findings of the sector-wide stress test exercise carried out by the BMA and published in September. The study provided robust evidence of the resilience of the sector to a shock of the magnitude of the 2008 Global Financial Crisis. Members examined the role played by Bermuda-based long-term insurers in contributing to addressing the protection gap brought about by demographic and socio-economic developments, as well as the risks faced by the sector in the current environment of enhanced uncertainty.
“FPC Members also assessed work underway in Bermuda in respect to strengthening the island’s crisis management, recovery, and resolution for the banking and insurance sectors. Members discussed and provided advice on strengthening collaboration and coordination among key stakeholders in the domestic financial safety net, i.e. Ministry of Finance, BMA, and Bermuda Deposit Insurance Corporation [BDIC]. FPC members’ advice concentrated on ensuring timely and effective preparedness to move quickly to contain a crisis.
“FPC Members reviewed key risks to Bermuda’s financial stability. They discussed a wide range of issues, in particular preparations underway in relation to the planned island-wide AML/CFT assessment by the Caribbean Financial Action Task Force [CFATF].
“The next formal meeting of the FPC, its 31st one, is scheduled to take place on Thursday, 30th April 2026.”
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