WILLEMSTAD - Curaçao's proposed tax treaty with Malta could potentially enhance trade between the two countries, leveraging Malta's expertise in the maritime sector, according to Minister of Foreign Affairs Wopke Hoekstra. He addressed the issue in response to questions from the Dutch Parliament's Finance Committee. 

Despite this potential, several parliamentary factions remain unconvinced about the treaty's benefits, citing minimal existing economic relations between Curaçao and Malta. Their primary concern revolves around the online gambling industry, a sector in which both countries hold significant global roles. Hoekstra conceded that gambling companies would indeed benefit from the treaty, stating, "The gambling industry, within Curaçao's legal framework, benefits like any other economic activity from the reduction of economic barriers. Investments in this sector will also have long-term fiscal certainty regarding the distribution of tax authorities between Curaçao and Malta, facilitating investment planning." 

At the end of 2022, Malta had 350 registered gaming companies, many of which are gambling firms. "The economic value of this industry in Malta is substantial. In 2022, the gross added value of the entire gaming sector was 9.6%. According to information obtained from the Chamber of Commerce of Curaçao, by the end of 2023, 1,807 'lottery & gaming' companies were registered in Curaçao. The gross added value of the entire gaming sector in Curaçao is unknown," Hoekstra explained. 

Hoekstra's detailed responses, which took nearly three months to compile, arrived just in time for the parliamentary debate on the treaty scheduled for Wednesday. The debate will include special delegates such as Parliament Chairman Charetti America and MPs Fergino Brownbill (MFK), Giselle McWilliam (MAN), and Gwendell Mercelina (PNP). Dutch Parliament representatives Idsinga (NSC), Van Eijk (VVD), and White (GroenLinks-PvdA) are also slated to participate.