Exempt companies are to be permitted to buy residential units on hotel properties, Government announced this evening.

Finance Minister Paula Cox said the idea behind the policy change was to enhance the development of the hotel sector.

She said the Companies Amendment (No. 2) Act 2010 would allow:

l hotel developers greater access to a wider pool of capital;

l local companies to broaden their investment in the tourism sector beyond the development stage;

l exempt companies to control housing costs thereby making Bermuda a more attractive place to do business.

Finance Minister Paula Cox said the move was expected to add to the Island’s appeal as a jurisdiction and generate additional private investment for investors here and abroad.

“I am committed to creating jobs and have approved this policy to advance economic recovery in the wake of the credit crisis. The new policy will better protect the Bermuda businesses community from rising costs, create more investment opportunities for all companies, and allow the hotel sector to continue to grow,” she said.

Read more in tomorrow’s Royal Gazette.