The Minister of Finance, the Hon. Paula A. Cox, JP, MP, offered some strong words of reassurance to the business community and residents in the wake of the most recent announcements regarding XL and other Bermuda - based companies.

The Deputy Premier said today, “While yesterday’s developments in the business community are cause for close monitoring, it should be clearly articulated that the ebb and flow of a company’s operations has always been a cyclical trend.

“Many jurisdictions with similar qualities to Bermuda are vying for existing and new business in these uncertain times. Each jurisdiction will experience gains as well as losses. However, in Bermuda’s case, coming on the heels of recent successes in the negotiation of Tax Information Exchange Agreements with OECD Member countries, the forthcoming signing of an important Mutual Legal Assistance Treaty with the United States of America will add to Bermuda’s attraction as a premier jurisdiction for international business.

“That said, we are very cognisant of the challenges that lie ahead and to that end the Ministry has redoubled its multi-pronged efforts at economic diplomacy, the strengthening of strategic alliances and legislative reform to ensure that our jurisdiction maintains its position amongst leading business domiciles.

“The issue of legislative reform was clearly evidenced this week by the passage in the House of Assembly of the Insurance Accounts Amendment Regulations Act 2008, the Insurance Returns and Solvency Amendment Regulations Act 2008 and the Bermuda Monetary Authority Amendment (No.2) Act 2008. These amendments raise the standard of insurance supervision and regulation in Bermuda.”

Minister Cox also pointed out that while there are perceptions that other jurisdictions offer preferential tax treatment, the Bermuda model is still one that continues to maintain its position in the upper echelon of the world’s top reinsurance centres.

And she added that the Ministry will continue to aggressively market and promote Bermuda as a pinnacle destination in which to conduct business.

Minister Cox said, “Global companies continue to view Bermuda as a premier hub of operations. We are a proven, quality jurisdiction, with the assets of speed of execution, effective regulation coupled with a well known reputation for operational efficiency.

“Such depth and diversity provides for endurance and stability. And we expect that Bermuda will continue to be an inviting place as a premier domicile of choice.”