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Concerns Rise Over Caribbean Guilder Transition Amid Financial Exclusion Fears

Local | By Correspondent February 25, 2025

WILLEMSTAD – As the transition to the Caribbean guilder approaches, concerns are growing among unbanked citizens and those who store cash at home. Many fear that the currency switch could lead to financial exclusion or difficulties in justifying their funds. 

The shift from the Antillean guilder to the Caribbean guilder presents an opportunity for Curaçao to modernize its monetary system and address economic challenges. 

However, according to local reports, Curaçao has a significant informal economy, with an estimated 16 percent of the population and businesses lacking access to the banking system. This financial exclusion results in lower tax revenues, as many transactions in sectors such as cleaning, construction, car sales, and informal trade are conducted in cash, making them difficult to regulate. 

In response, various industry groups are advocating for a temporary amnesty program, which would allow individuals to deposit their cash into the formal banking system without penalties. Such a measure could help financial institutions process large sums of money without imposing excessive administrative burdens. 

At the same time, concerns remain about the ability of Curaçao’s Financial Intelligence Unit (FIU) to monitor all financial transactions effectively, raising questions about economic transparency and regulatory oversight.

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