Bermuda's reputation as a global economic powerhouse has been given the Royal seal of approval.

The Duke of York, addressing business chiefs at a Chamber of Commerce lunch on Friday, said it was an "awesome achievement" the Island was so competitive ? particularly in the tough offshore financial sector ? despite having a small labour pool and very few natural resources.

"This is undoubtedly one of the most successful economies in the world," he told an audience of about 150 trade leaders.

Prince Andrew said if Bermuda had found the "philosopher's stone" that transforms a small island into a major global player, then, in his role as globetrotting UK trade cheerleader, he wanted it.

In a well received, 20-minute speech at the Fairmont Hamilton Princess, the Duke of York also apparently alluded to the controversial Independence issue.

The Duke, who is the UK's special representative for international trade and investment, said Bermuda had a valuable relationship with "the mother country".

They had been through "thick and thin together", added the Prince, and Bermuda had been there for Britain "in some of its darkest hours".

He continued: "I know Bermuda particularly values its relationship with the British Crown ? that was evident enough from this morning's ceremony ? and I want to assure you that the Crown values its relationship with Bermuda, personal or otherwise."

After the speech, Peter Everson, president of the Bermuda Chamber of Commerce (BCC), said the Prince's words had to be read carefully.

Mr. Everson said the speech was referring to the fact that, even if Bermuda opted for independence, it would still have to decide whether the country remained part of the Commonwealth or became a republic.

"I think the Prince was saying the Royals would be supportive of continuing with Bermuda even if it went independent," said the BCC president.

"The Prince understands that the independence issue is Government to Government."

During his speech, Prince Andrew also told business leaders how globalisation kept every country, even small islands like Bermuda, on their toes over tourism.

He said the power of a computer mouse click can now see tourists compare prices, review hotels and read on-line crime reports in meaning standards had to be kept high.

"Successful tourist industries, these days, are the ones that deliver the best value for money, service, security and convenience," he added.

"From everything I have experienced so far in Bermuda ? and my programme doesn't allow me even to see your beaches or golf courses ? you have a wonderful product."

He said the country had built up an "enviable" workforce and was "as good as anywhere in the world" to do business.

"These factors will surely serve you well as you face up to the challenges of maintaining your competitive edge."

But he said as the country looked to maintain this edge, it had to ask whether "the pursuit of tangible wealth may be at the expense of intangible quality of life".

He said the debate about this was ongoing globally, not just in Bermuda, and added: "We need, as a global community, to come to a balance of harmony with our surroundings and environment, which allows sustained development and continued progress.

"Healthy debate is good, but debate for the sake of delay is missing the point."

After the speech the Prince left the hotel by a public ferry ? although only the Royal entourage were on board as the boat left for another engagement at Dockyard. As the ferry left, hotel staff waved as the VIP guest left.

The BCC said the Duke had personally volunteered to give the speech, attended by chamber members representing both local and international businesses.

Mr. Everson said the Royal, who also asked about race relations, social issues and the impact of natural disasters on the insurance industry during the lunch, had brought a "fresh perspective" to Bermuda.

"It was heartening to hear that he viewed the country as a success story," added the president.

"One of the purposes of the visit was to allow him to see Bermuda at first hand, to talk to some of the people in business and to see what the challenging issues are."