WILLEMSTAD – Curaçao should use its current period of economic growth to reduce its dependence on imported fuel by accelerating investments in renewable energy, according to the Central Bank of Curaçao and Sint Maarten (CBCS).
In its June 2026 Economic Bulletin, the central bank argues that the island remains highly vulnerable to external shocks because of its reliance on imported oil and other foreign goods. Recent spikes in fuel prices following tensions in the Middle East underscore the importance of strengthening the country's long-term energy security.
CBCS President Richard Doornbosch said broad reductions in fuel taxes may appear attractive as a way to provide immediate relief, but warned that such measures weaken public finances and tend to benefit higher-income households more than those most in need.
Instead, the central bank recommends targeted financial assistance for vulnerable households while continuing investments in renewable energy generation, battery storage, modernization of the electricity grid, and energy efficiency measures.
According to the CBCS, these investments would reduce Curaçao's exposure to future oil price shocks while creating a more resilient and sustainable economy.
The report also stresses the importance of improving the investment climate, reducing administrative burdens for businesses, expanding access to financing, and ensuring that education and workforce training better match labor market demands.
The central bank further points to Curaçao's participation in the 2026 FIFA World Cup as a unique opportunity to strengthen the island's international image and convert global exposure into long-term tourism growth. However, it warns that tourism expansion must remain aligned with the island's carrying capacity and sustainability goals.
"The challenge is not only to withstand the next shock, but to use the current period of growth to build economies that are more inclusive and resilient," Doornbosch concluded.