Democracy Bermuda-Style

Premier of Bermuda, The Hon. David Burt, JP, MP

Bermuda remains a British colony but it is self-governing in almost all significant respects, with a Parliamentary system modeled after that of the UK. Although we are nominally under the responsibility of a Governor who is appointed by the Queen, the House of Assembly – the so-called “lower house” of Parliament – is where the big decisions are made.

The House has 36 elected members representing all areas of the island. At the most recent election held in July 2017, the Progressive Labour Party regained power, winning 24 seats. The remaining seats were all won by the One Bermuda Alliance, who had governed the Island since December 2012.

The Progressive Labour Party previously held power for 14 years, winning three consecutive elections. Prior to that the United Bermuda Party formed the Government since party politics began in the 1960’s. The party officially ceased operations in 2011 after the majority of its members joined the OBA.

The Premier is chosen by the majority party from its elected members to lead the Government and therefore the country.

THE BRIEF Bermuda monetary authority

The Bermuda Monetary Authority is the regulator of Bermuda’s financial services industry. Established by statute in 1969, the Authority has changed significantly over the past nearly five decades to adapt to changing needs of the financial sector - and global regulatory requirements. Today it supervises, regulates and inspects financial institutions operating on the island. Additional responsibilities include issuing Bermuda’s national currency, managing exchange control transactions, assisting other agencies with the detection and prevention of financial crime, and advising the Government on banking, financial and monetary matters. Bermuda’s success in international business development has resulted in robust economic growth. The island hosts one of the largest reinsurance markets in the world and is the world’s largest captive insurance domicile. Bermuda has also emerged as the premier jurisdiction for issuing insurance-linked securities, a method of alternative risk transfer typically utilised by capital market investors for weather-related events, longevity risk or life insurance mortality. Bermuda’s financial industry, according to latest available figures, consists of a banking sector with total assets of $21 billion, an investment funds sector with an aggregate Net Asset Value of $145 billion, and an insurance sector comprising more than 1,100 companies with capital of $298 billion, total assets of $764 billion and writing $133 billion in net premiums. To maintain its competitiveness and to protect its reputation as a quality international financial centre, it has been essential for Bermuda to keep pace with international standards in financial regulation and anti-money laundering/ anti-terrorist financing provisions. The Authority develops risk-based financial regulations that it applies to the supervision of Bermuda’s banks, trust companies, investment businesses, investment funds, fund administrators, money services businesses, corporate service providers, digital asset businesses and insurance companies. It also regulates the Bermuda Stock Exchange and the Credit Union.

BMA House