This report does not constitute a rating action. Overview Institutional and economic profile Flexibility and performance profile Stable institutions and a wealthy economy support the ratings. Fiscal and external balance sheet strengths partially mitigate the absence of monetary policy flexibility. --Institutional stability and a track record of policy supporting sustainable public finances and economic growth. --Low fiscal deficits and sizable government assets underpin low net debt to GDP, although high interest costs, the share of debt denominated in foreign currency, and holdings by nonresidents present vulnerability. --Bermuda?s prosperity also reflects its prominent role in the global insurance industry. --Bermuda reports recurrent current account surpluses, spurred by service and net income balances, grounded by the insurance sector, and has an external
