The Bermuda current account recorded a surplus of $361 million in the third quarter of 2023, representing a $96 million increase year-over-year from the $265 million surplus in the third quarter of 2022.

The report on the Balance of Payments & International Investment Position for the third quarter of 2023, was released by the Ministry of Economy and Labour on Friday.

The report explained: “The increase in the surplus reflected an increase in receipts from non-residents which was larger than the rise in payments to non-residents.”

Contributing factors to the year-to-year current account balance include:

• The deficit on the goods account narrowed by $40 million to $272 million

• Service transactions realised a surplus of $137 million, up $23 million from a year ago

• Bermuda’s primary income account surplus expanded by $5 million year-over-year, climbing to $531 million in the third quarter of 2023

Jason Hayward, Minister of Economy and Labour, said: “Lower imports were associated mainly with the fuels, finished equipment, and basic materials and semi-manufactured goods commodity groups.”

He continued: “Services transactions realised a surplus of $137 million, widening by $23 million year-over-year. The increase in the surplus balance reflected primarily an increase in the export of services that was larger than the increase in imports.

“The surplus on Bermuda’s primary income account increased by $5 million to $531 million due mainly to an increase in employee compensation.”

He said: “Bermuda’s trade in financial assets and liabilities with the rest of the world resulted in a net international investment position of $4.6 billion at the end of the third quarter of 2023.

“This balance increased by $761 million over the second quarter of 2023 due to increased assets of portfolio investments.

“Two of the four institutional sectors recorded positive balances on their net international investment positions at the end of the third quarter. Specifically, financial corporations recorded a balance of $7.3 billion, and non-profit institutions recorded a balance of $33 million.

“In contrast, non-financial corporations recorded a deficit balance of $2.2 billion, and the government sector recorded a deficit balance of $506 million due to a larger negative net investment position due to a decrease in portfolio and other investment assets.”

• The 2023 Q3 Balance of Payments & International Investment Position publication can be seen in Related Media

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Balance of Payments 3rd Quarter - 2023.pdf