WILLEMSTAD – Curaçao closed the first nine months of 2025 with a provisional budget surplus of XCG 238 million, a strong performance that reflects continued economic stability and stronger-than-expected government revenues. But despite the positive result, the Committee Financial Supervision (Cft) is warning that the island’s financial foundation remains fragile.
According to the Cft’s half-year report, the government expected to end 2025 with a final surplus of XCG 75 million, equivalent to about one percent of gross domestic product. That would keep Curaçao in compliance with financial supervision rules requiring a balanced budget.
The financial watchdog noted that Curaçao took an important step in 2025 by approving its amended budget, which allowed the government to access financing for capital investments. The Cft described this as a positive development because it has repeatedly urged Curaçao to invest in economically productive projects instead of focusing only on operational spending.
Curaçao Ministry of Finance
Still, the watchdog warned that the outlook for 2026 is far less comfortable.
For next year, Curaçao is projecting only a XCG 5 million surplus, a margin the Cft describes as dangerously thin. The watchdog believes there is a significant risk that even small setbacks in revenue or higher-than-expected spending could turn that projected surplus into a deficit.
The report says Curaçao has been advised to prepare a contingency plan to absorb possible economic shocks or budget setbacks.
The concern comes at a time when Curaçao’s economy continues to grow. The report notes that the island’s economy has expanded steadily since 2021, while inflation remained relatively moderate at 2.4 percent in 2025 and unemployment stood at 7.6 percent.
But the Cft stressed that budget balance alone is not enough.
It said the quality of Curaçao’s financial management remains a major weakness, with incomplete documentation, insufficiently organized budget structures and missing integrated accountability reports.
That means that despite the surplus, financial supervisors still cannot fully verify whether the island meets all legal budget requirements.
For Curaçao, the message from the watchdog is clear: the numbers may look healthy, but the system behind them still needs repair.