THE World Bank this week released its World Development Indicators report for 2004, ranking Bermuda as number one in terms of Gross National Income ? but according to Minister of Finance Paula Cox, this world-beating ranking is perhaps deceptive.

"From my perspective, one cannot be overly simplistic and cite single statistics as a barometer of how well the people of Bermuda are doing," Ms Cox explained.

"Gross Domestic Product per capita may be seen as an indicator and indicative of trends if the GDP is improving."

In accordance with the opinions of Opposition Leader Grant Gibbons and Bermuda Industrial Union representative Calvin Smith , Ms Cox sees larger issues looming behind these statistics, including the housing crisis and falling standards of education.

"More relevant and critical to an assessment of how well or not Bermuda is doing overall is to look at other key economic indicators, such as rate of inflation, rate of unemployment, issues such as the numbers on the list for affordable housing, the persons who need financial assistance, the employment levels and education levels," Ms Cox said.

"This additional information when coupled with an analysis of the GDP figures helps to set the data in context and gives a better indication of our social condition and the disparity between those who have and those who wish to have more."

Like Dr. Gibbons and Mr. Smith, Ms Cox does not deny that Bermuda's top ranking is a reflection of success, both in the economic and social sectors.

"It should be noted that from an overview of both the 2003 Economic Review and of the 2000 Census data there is some cause for some cautious optimism when one looks at the numbers of persons who are obtaining post-secondary education, the increase of Bermudians in the international business sector, the projected increase in tourism revenues, and the number of new incorporations," she said.

"The Census data also shows that Bermudians are sharing in Bermuda's general prosperity. The high per capita GDP figure reflects the significant volume of goods and services generated in our economy and Bermuda's relatively small population.

"Everyone in the labour force and every business makes a contribution to the size of Bermuda's GDP. Therefore it cannot be said to represent only the top five or ten per cent of wage earners."

Ms Cox maintains that the World Bank ranking does not take into account social factors in Bermuda that contribute to the widening gap between rich and poor.

"Some of the explanatory factors underlying the differences can be pinpointed by a more detailed analysis of other information such as education levels, demographic characteristics, and occupation, for example."

Ms Cox remains optimistic about Bermuda's economic future, citing the success of the international business sector as a major contributing factor to the World Bank ranking.

"Turning back to the wider economy and the growth and size of Bermuda's GDP, the factors that stand out are the continued strength of Bermuda's international business sector, the sustained boom in the construction sector, the strengthening of the retail sector and the ongoing recovery in our hospitality sector.