Bermuda's inflation moderates.

Bermuda is a tiny but lucrative consumer market. The country's per capita income is nearly the same as that of the United States (US). The consumer base, according to the CIA's World Factbook is 65,365 as of July 2005. The country's macroeconomic statistics are not tracked by the International Monetary Fund (IMF), nor are its population projections maintained on the United Nation's (UN) World Population Database.

The Antigua Sun (St. John's) recently reported that Bermuda's inflation dropped to its lowest level in the past year. Consumer prices for goods and services had been rising until April 2005 when the inflation rate was recorded at 3.1 percent. Bermuda's peak inflation occurred just the month before in March 2005 and was 4.1 percent.

The Sun commented that even though the inflation rate fell, the main component of the drop was a moderating of healthcare costs - falling enough to offset increases in energy costs. For Bermuda's consumers, this meant that they would still continue to experience rising prices for most goods and services.

Bermuda's economy revolves around its financial sector and luxury tourism.