The Government of Bermuda welcomes the latest ratings action from S&P Global Ratings, which has improved Bermuda’s outlook to Positive from Stable and affirmed the Island’s A+ long-term sovereign credit rating and A-1 short-term rating. 

S&P said the positive outlook reflects its expectation that, over the next 12 to 24 months, “corporate income tax collections will remain strong” and that the Government will “pay down its debt and strengthen fiscal balances.”

Premier and Minister of Finance, the Hon. David Burt, JP, MP, said, “S&P’s decision to improve Bermuda’s outlook to Positive while affirming our A+ rating is an important signal of growing confidence in Bermuda’s fiscal management. Together with last week’s confirmation from KBRA, Bermuda now holds A+ ratings with Positive outlooks from two independent ratings agencies. This reflects the tangible impact of stronger revenues, disciplined debt reduction, and an economy that continues to perform well in a challenging global environment.”

In its report, S&P said it expects Bermuda’s finances “to continue to strengthen on the back of positive preliminary indications of the first full year of corporate income tax implementation.” The agency added that this, together with Bermuda’s strong economy and the “steady performance” of the Island’s key insurance industry, contributes to “an improving credit story.” S&P also said the new tax will allow the Government “to fully repay an upcoming debt maturity in January 2027,” helping to return Bermuda to “a net government creditor position.”

The agency further highlighted Bermuda’s “effective and predictable” policymaking, the continued strength of the international business sector, and the stability of Bermuda’s key industries as important supports for the country’s economic resilience. 

Premier Burt added, “Independent assessments like this matter because they confirm that Bermuda continues to move in the right direction and demonstrate that the Government’s disciplined financial management and a clear long-term strategy are delivering results. These results mean greater confidence in Bermuda's economy and a stronger position from which to deliver even more for Bermudians.”

S&P said the positive outlook also reflects its expectation of policy continuity and institutional stability over the next two years, alongside continued strength in Bermuda’s key industries.

The Premier concluded, “The Government of Bermuda will remain focused on responsible financial management, reducing debt, strengthening public finances, and building a fairer and more secure future for all Bermudians.