Tourism blueprint could inspire economic development plan

FRIDAY, JULY 6: If we take a look back at the previous decade, we will find that from 2002-2008, Bermuda experienced an economic boom.  Bermuda’s Gross Domestic Product (GDP) grew from $3.9 billion to $6.1 billion.  The international business sector’s contribution to GDP increased from $0.7 billion to $1.5 billion during the same period. Additionally, the number of jobs filled rose from 37,815 in 2002 to 40,213 in 2008. 

 In contrast, from 2008 to present, Bermuda’s economic growth has abated. Bermuda’s GDP decreased in 2009 and 2010. There have been major reductions in the level of jobs filled from 40,213 in 2008 to 37,399 in 2011 and many businesses and residents are struggling.

Economists will say that the economic downturn is a normal part of an economic business cycle. After a peak period there is a recession, which is described as a contraction in the economy. 

Most will agree that the current state of the economy is of grave concern. However, instead of arguing over whom or what is responsible for the economic downturn, we should be focusing on how we can move forward. I believe that Bermuda needs an economic development plan that will set a realistic path for the island to follow over the next decade.

Well-being

An economic development plan should form part of a larger framework used to measure progress and improve the well-being of Bermudians.

This plan should aim to raise the nation’s living standard and move us in a position of sustainable prosperity. More specifically, the development plan should consist of measures that will assist the island in achieving goals to:

• reduce the unemployment rate;

• stimulate economic growth

• create more income-earning opportunities;

• increase the level of foreign investment;

• rectify long standing-economic inequalities;

• increase the quality of public services;

• preserve and promote culture.

A key element to the plan is the citizens of Bermuda. We should be both the beneficiaries of economic growth and a major productive resource in the form of labour. 

If the economy lacks the experienced or qualified labour resources to carry out the plan, then the gaps should be filled by guest workers until the local talent is trained to fill the gaps. 

We need to get the unemployed back to work and a realistic economic plan with a thorough implementation strategy should be able to remedy some of the hardship both businesses and residents are facing.

Strategic objectives

After reviewing elements of the Bermuda National Tourism Master Plan it is evident that the plan addresses many of the critical areas that an economic development plan seeks to address. The tourism plan’s eight strategic objectives aim to:

• build pride in tourism sector;

• stimulate business opportunities and engage entrepreneurs;

• create an attractive investment climate;

• protect and preserve; cultural and natural assets;

• create jobs;

• increase government revenue.

I believe that whichever side on the political aisle one stands on, if individuals take a critical review of the tourism plan they will agree that the pros of the plan outweigh the cons. I also believe that individuals will agree that this is by far the best plan that Bermuda has been presented with that truly seeks to revitalize our economy.

However, for this plan to be successful, Bermudians must fully understand how they can benefit from such a plan, what role they can play to make this plan successful and how this plan will benefit Bermuda as a whole to secure a brighter future for the younger generation.

This election has divided Bermudians; however a sound economic plan with realistic achievable goals that aims to revitalize our economy can bring us back together.

• Jason Hayward is first vice-president, BPSU.