RG: Opinion

Bermuda does best when a rising economic tide lifts all boats, not just the yachts.

President Kennedy’s nautical-themed rule of thumb on shared prosperity seems particularly applicable in the wake of the recent Newport Bermuda classic.

The direct, indirect and induced benefits of having dozens of ocean-going yachts crowding Hamilton’s marinas and hundreds of yachtsmen, sailing enthusiasts and their friends and family members filling our hotel rooms were immediate, tangible and extremely welcome.

Businesses ranging from restaurants to retail outlets to taxis all enjoyed the custom of these free-spending visitors who tend to fall into the hospitality industry’s most sought-after demographic: affluent, educated and cosmopolitan.

Some merchants reported double- and even triple-digit year-on-year growth spurts as a direct consequence of the Newport race, as powerful affirmation as any of Bermuda tourism’s traditional policy of marketing the Island as a gilt-edged retreat for high-end vacationers.

The armada of Newport Bermuda competitors also provided Bermuda with a healthy foretaste of what benefits await should the America’s Cup challenger selection series or Oracle Team USA’s 2017 defence of the Auld Mug be held in local waters.

The Newport crews and their families and supporters spent just a week or so on the Island and provided an immediate and noticeable spike in Bermuda’s economic activity. There would be an orders-of-magnitude difference involved if the Island ends up hosting either America’s Cup preliminaries or the finals. When the multiplier effect is factored in, the direct economic boost the Island would receive in terms of everything from infrastructure investment to job creation by serving as a venue for dueling yacht-racing racing syndicates becomes almost incalculable. And the accompanying international fanfare in terms of global media exposure would generate its own spin-offs. Such an immeasurably heightened tourism profile would almost certainly produce a prolonged boost in visitor arrivals, one which would far outlast whatever events were staged here (the actual America’s Cup races are held over a relatively short period – sometimes just a matter of days – while the various competitions to select the challenger to the cup holder take place over a period of months).

The prospect of competing 72-foot catamarans racing – virtually flying -- over our turquoise waters at speeds of more than 50 miles per hour in pursuit of yachting’s most prestigious prize could represent a historic turning point in our recent fortunes.

There remains a lingering crisis of confidence in Bermuda about the prospects of economic revival. Early and unrealistic optimism that the 2012 change in government would lead to an immediate change in our financial position has given way to a dampening of expectations, waning morale and the sense that an end to our fiscal woes remains out of sight.

Now the world’s third largest international sporting event after the Olympics and the World Cup, acquiring even some of the hosting rights to the next America’s Cup would represent both a potentially momentous economic development for Bermuda as well as being a genuinely remarkable coup.

For many months those who initiated the Bermuda America’s Cup bid tended to be smiled at benevolently, patted on the head and patronised in a way that is all too familiar to anyone who has ever championed a highly ambitious (or entirely lost) cause. These days, of course, they are being fêted as visionaries and prophets. And with good reason.

For with an announcement on 2017 hosting rights imminent, it seems likely that Bermuda – which has navigated the early rounds of the elimination process unscathed – will end up with at least some of the events associated with the upcoming competition.

Securing either some of the early regattas or the races for the America’s Cup itself would provide not just a symbol of national renewal for the Island but a vehicle for attaining that end as very streamlined and speedy as the participating hyrdorfoil racing yachts themselves.

Those stewarding the Bermuda America’s Cup bid have sensibly avoided any premature declarations of imminent victory. It would be self-defeating to raise unrealistic hopes before any final confirmation has been announced.

But make no mistake about it, hosting either the America’s Cup or one or more of the challenger series leading up to the event would regalvanise Bermuda internally while simultaneously shining the global spotlight on the Island.

The resulting economic tide would most assuredly lift all boats.