criticise a "speculative'' editorial in Thursday's The Royal Gazette .

Speaking for Finance Minister the Hon. David Saul , Sir John said the editorial repeated "a rumour'' that Bermuda's balance of payments deficit may have reached $70 million.

"The statement is speculative and carries only the most general representation of the reality of the Bermuda economy,'' Sir John said. "It is not supported by detailed information and its broad generality is therefore significantly misleading.'' The balance of payments on current account measured expenditure on goods and services and broadly indicated income gained and lost in trade, he said. In the Bermuda context, it reflected income gained from tourism and international business against expenditures in importing goods and services.

Balance of payment figures for the first quarter of 1995 had not yet been calculated, but it was normal for the first quarter to be in deficit, because of the Island's seasonal tourism pattern, he said.

From 1991 to 1994, the first quarter deficit averaged $27 million, and "the Ministry of Finance has no reason to suppose that the pattern of first quarter deficits will be broken in 1995'', he said.

"It hardly seems relevant to attribute this pattern of expenditure to discussions on Independence which have been taking place over the past 18 months.'' The editorial's allegation that Bermuda had "a serious debt crisis'' was "clearly not true'', he said.

For 1994, the current account was in surplus by $32 million, and that figure could be revised upward, the Premier said.

A first quarter balance of payments deficit was not a "significant . ..

problem'', and for the Editor to suggest there was a problem "when he is not in possession of the relevant facts is clearly irresponsible''.