WILLEMSTAD - The Council of Advice in Curaçao is deeply concerned about the declining prosperity on the island. In their advice on the budget for 2024, it is noted that the population of Curaçao decreased by 10,000 people between 2018 and 2021 due to the decline in prosperity.
The Council advises the government to engage in dialogue with social partners to take measures against the growing poverty and improve the quality of life.
The Council believes that factors such as unemployment, purchasing power, economic growth, education quality, and infrastructure contribute to the decline in prosperity on the island.
This leads to a negative spiral affecting families, which, in turn, has consequences for education and ultimately the attractiveness for foreign investments.
ENNIA
A major risk that, according to the Council, is not receiving sufficient attention in the 2024 budget is the situation concerning the insurance company ENNIA. The Council believes that the government should provide more clarity on this matter and make plans to prevent similar situations in the future. Additionally, the supervision of the Central Bank over financial institutions should be strengthened.
Despite the 2024 budget being of better quality than in previous years, there are still areas that require attention, according to the Council. They note a lack of concrete information about the government's goals and intentions. Furthermore, the same objectives are repeatedly mentioned in consecutive budgets without specifying the progress of their implementation.
Finally, the Council identifies another major risk for the 2024 budget: there is uncertainty about invoices that come due at the end of the year and still need to be paid. According to the Ministry of Finance, there were 90 million guilders in invoices at the end of 2022, with only 30 million guilders reserved for payment, which could result in a budget deficit. The Council of Advice calls for a solution to this situation to restore confidence in financial management.