WILLEMSTAD - The Dutch government has reached an agreement on the Ennia issue, stipulating that Curaçao will need to repay 30 million guilders of corona debt annually starting from 2027. State Secretary for Kingdom Relations Alexandra van Huffelen (D66) announced this decision during a press conference on Friday.
Essentially, this solution means that Curaçao will be required to make smaller repayments on the loan obtained during the Covid period. This allows the island to retain credit for outstanding pensions held by the insurance company. While various scenarios have been considered since last year, reducing the Covid debt emerged as the most plausible option in recent months. However, it is worth noting that the interest on the loan will need to be reviewed periodically as it often fluctuates based on market conditions.
Earlier this month, the Financial Supervision Board (Cft) expressed concerns about the implications of this scenario on Curaçao's budget. The Cft doubts whether Curaçao can achieve its financial goals, especially considering its failure to do so in 2023. If Curaçao also foregoes 30 million guilders annually from 2027, it could significantly strain future budgets, according to the Cft.
"The solution endorsed by the governments of Curaçao and Sint Maarten, along with the Central Bank of Curaçao and Sint Maarten, is deemed solid and sustainable by the Dutch government," stated Van Huffelen. With these assurances, Van Huffelen confirmed that the outstanding pensions of many clients will be unaffected and will be disbursed as scheduled.
Van Huffelen expressed hope that this commitment will bring an end to the uncertainty faced by Ennia's clients. This development should come as a relief, particularly for those who have invested in pensions with the insurance company, Van Huffelen emphasized.