WILLEMSTAD - The Dutch loans to Curaçao and Aruba emphasize the importance of financial cooperation within the Kingdom. These loans have helped both islands maintain financial stability and prevent social unrest. This is stated in an evaluation report from the government to the House of Representatives.
The report covers the occasional loans provided by the Netherlands to Curaçao for the resolution of Girobank and to Aruba for debt refinancing. The loan to Curaçao amounted to 170 million guilders, provided at zero percent interest, with a term until 2037.
For Aruba, the Netherlands provided financing of 523 million florins at an interest rate of nearly 63 percent, aimed at reducing interest burdens.
Girobank
The loan from the Netherlands to Curaçao played a crucial role in the controlled resolution of Girobank. This prevented an uncontrolled bankruptcy that could have had significant economic and social repercussions.
Thanks to the loan, Girobank, which was responsible for a large part of the financial transactions on the island, was able to be closed in an orderly manner. This prevented fifteen percent of the population, who were customers of the bank, from suffering financial losses.
For Aruba, the Netherlands offered a loan aimed at reducing interest burdens. This financial aid saved Aruba 82 million florins in interest costs over seven years. It helped the island reduce financial pressure and stabilize the economy.
Prospects
According to the authors of the report, this evaluation confirms the strength of cooperation within the Kingdom and the importance of targeted financial strategies in times of crisis. The loans not only addressed the immediate problems but also contributed to the long-term stability of both Curaçao and Aruba.