making an even larger contribution to the Bermuda economy than previously thought.

Now Government plans to revise key economic estimates on the heels of a report released on the impact of international economies on the local economy.

On the eve of the reconvening of Parliament, Finance Minister, Dr. Grant Gibbons, said: "It is expected that these healthy figures will cause some significant upward revisions to our estimates for the size of the balance of payments current account surplus and our gross domestic product (GDP) for fiscal year 1995/96.'' Dr. Gibbons said the report demonstrated strong growth in the international companies sector, and a continued confidence in Bermuda by international business "in the face of strong competition from other jurisdictions''.

International Companies 1995: Their Impact on the Economy of Bermuda was produced by Dr. Brian Archer for the Ministry of Finance. Key findings include: International companies spent $527 million in Bermuda in 1995, a more than 22 percent increase on the $431 million recorded in 1994. That includes about $100 million paid to Bermudian employees out of the $225.7 million in paid salaries; $143.7 million spent on professional and bank fees to Bermudian companies; and, $133 million paid to other firms within Bermuda.

Total employment in international companies exceeded 2,271 at the end of 1995, nearly 60 percent of which were filled by Bermudians (1,349) and 40.4 percent by non-Bermudians (922). The report said nearly 12,800 jobs depended on international company expenditure.

Companies based here accounted for 84 percent of the expenditure, even though they numbered just 274, -- 3.1 percent of the total number of companies.

The industry generated about $750 million locally, with a net impact on the balance of payments of $90.5 million.

More than $46 million was paid by these entities as taxes, duties and other levies to the public purse. Total government revenue generated by re-spending of income by households and businesses was $200 million, nearly 50 percent of total government revenue.

Some 17,000 business travellers, accompanied by 14,000 friends and relatives, visited international companies, and spent some $25 million.

Dr. Gibbons noted: "These figures represent the strongest on record and demonstrate the importance and vitality of this essential sector of the economy.

"I am particularly encouraged to see that companies which maintain a physical presence in Bermuda continue to prosper and expand, thereby increasing their contribution to our local economy.''