WILLEMSTAD - “Attempting to address a highly complex subject in a dangerously inaccurate manner is very disappointing. It is inappropriate to try to instill fear among the voters you are supposed to represent.”
Minister of Finance Javier Silvania in a reaction to the statements of the Member of Parliament Steven Croes says that he stand behind all the work that has gone into the Landsverordening Online Kansspelen (LOK) because it will provide unprecedented value and opportunities for Curaçao’s economy as a whole, not just for the few large trust companies that have been the exclusive beneficiaries for the past 30 years.
Silvania says he want to address the fees and rates under the new regime. “We cannot continue to have the same inaccurate and misleading conversation repeatedly. Therefore, I want to set the record straight once and for all.”
“Let me be clear: there is no drastic increase, there are no exorbitant prices, and there is no unaffordable hike. Suggesting anything other than that is nothing more than fearmongering, says the minister.”
Currently, Master License holders pay ANG 120,000 per year with a maximum of 40 domains per license. New applicants for a direct license pay under the current law ANG 120,000 per year with a maximum of 40 domains per license. No change whatsoever.
While the Landsverordening Online Kansspelen (LOK) is still in the draft phase, and therefore the fees cannot yet be definitively confirmed, here is the current status. Gambling providers pay an annual license fee of ANG 45,000, an annual gambling contribution of ANG 48,000, plus ANG 500 per website domain.
Here are some examples:
40 domains CURRENT PRICES 120,000 POST-LOK PRICES 113,000
50 domains CURRENT PRICES 240,000 POST-LOK PRICES 118,000
100 domains CURRENT PRICES 360,000 POST-LOK PRICES 143,000
The level of fees is not the real issue that MP Croes is raising. The real issue is that once the LOK comes into effect, the fees will be owed to the government and the public—not to the private trust sector. “I do not apologize for that. I will never apologize for improving the economy for the benefit of each and every one of us, says Silvania in his reaction.”
Silvania indicates that the Member of Parliament is correct when he states that Curaçao is one of the largest jurisdictions globally, but it is still the jurisdiction where the public benefits the least. The MP mentioned that the LOK would lead to Curaçao being in direct competition with other jurisdictions like Malta and the Isle of Man. “In this matter, he is mistaken, as we have already been competing with them since around 2004—but in those countries, unlike in Curaçao, the economy and the population have indeed benefited. Thousands (not hundreds) of people are employed in both countries.”
“As mentioned in my speech during the SiGMA fair, direct fees to the regulator (MGA) in Malta last year amounted to over 82 million euros. For the same period, our regulator (GCB) received 250,000 euros.
Furthermore, on the Isle of Man and in Malta, which are very similar island jurisdictions to Curaçao (with a strong reliance on sectors like tourism and finance), indirect contributions to the economy amount to approximately EUR 1 billion / GBP 1 billion.
So far, Curaçao could only dream of such benefits; the LOK will make it a reality.
With this, I hope you realize that the LOK affects all of us and benefits all of us, not just a few of us,” says this minister in his reaction.