WILLEMSTAD – Curaçao’s government expenditures will rise sharply in 2026, increasing the country’s vulnerability to economic shocks, the College financieel toezicht Curaçao and Sint Maarten (Cft) cautions.
Total government spending is expected to increase by 127 million guilders compared to 2025, a rise of 7 percent. Personnel costs alone will grow by 40 million guilders, driven largely by improved employment conditions for civil servants and related staff.
While the government argues that higher spending on goods and services is intended to modernize public administration and improve service delivery, the Cft warns that these structural increases make the budget more sensitive to downturns.
The risk is compounded by Curaçao’s growing dependence on tourism. In the event of an economic slowdown, government revenues could decline quickly while expenditures remain largely fixed.
The Cft advises restraint in implementing new policy intensifications until financial buffers and accountability mechanisms are strengthened.