At first glance, the presentation of the Social Insurance Bank's (SVB) 2025 Annual Report appears to be good news. The SVB reported a combined positive result of NAf 40.3 million. That certainly sounds reassuring. However, this figure deserves closer examination. Behind this surplus lie developments that place the long-term sustainability of our social security system under serious pressure.
It is therefore important not only to focus on the final result but, more importantly, to examine the underlying figures.
The available information shows that the BVZ Fund (Basic Health Insurance Fund) actually ended the year with a deficit of more than NAf 14 million. This means that losses in the BVZ fund were offset by surpluses in other funds. The obvious question is: how structural is the reported overall surplus?
After all, a financial surplus does not automatically mean that all social insurance funds are financially healthy.
Even more concerning is the trend in healthcare spending. Total expenditures under the BVZ increased by tens of millions of guilders in a single year. The costs of Curaçao Medical Center (CMC) alone rose by more than NAf 31 million, representing an increase of nearly 20 percent. At the same time, premium revenues increased only modestly. When expenditures continue to grow faster than revenues year after year, a structural financing problem inevitably emerges.
It is also noteworthy that even an increased government contribution of nearly NAf 291 million was insufficient to keep the BVZ fund out of deficit. This raises the question of how much additional government funding will be required in the future if this trend continues. Ultimately, that money comes from taxpayers.
The SVB itself points to another fundamental challenge in its report: an aging population.
This is not a new phenomenon, but its consequences are becoming increasingly evident. Every year, the number of AOV pension beneficiaries grows, while the number of premium-paying workers increases at a much slower pace. This means that fewer working people are supporting a growing number of retirees. At the same time, an aging population also drives up demand for healthcare, placing additional pressure on the BVZ fund.
It is therefore remarkable that the public discussion has focused almost exclusively on the reported surplus, while paying little attention to the warnings issued by the SVB itself.
As of January 1, 2026, the AOV pension was increased to NAf 1,000. Without question, this represents a significant improvement for many senior citizens who have waited years for an increase in purchasing power. At the same time, however, this higher benefit also means higher expenditures for the AOV fund. The SVB itself acknowledges that additional measures will be necessary to ensure the long-term financial sustainability of the social insurance funds.
This makes transparency all the more important.
To date, the complete 2025 Annual Report—including the audited financial statements, actuarial analyses and multi-year financial projections—has not yet been made publicly available through the official SVB website. As a result, the public still lacks a complete picture of the financial condition of the individual funds.
It would be appropriate for both the government and the SVB to provide full transparency on these issues.
Among the questions that deserve answers are:
1. How exactly was the NAf 40.3 million surplus generated?
2. Which funds are operating with a surplus, and which are running deficits?
3. Why did the BVZ fund end the year with a deficit despite the increased government contribution?
4. What specific factors explain the sharp increase in CMC's healthcare costs?
5. What measures are being taken to slow the growth in healthcare expenditures?
6. Has a long-term financial analysis been conducted regarding the increase in AOV pension benefits?
7. How are the reserves of the AOV, BVZ and AVBZ funds expected to develop over the next five to ten years?
8. What reforms does the SVB consider necessary to ensure the long-term sustainability of the social insurance system?
These questions are not intended to create unnecessary concern. On the contrary, they are meant to encourage a public debate based on facts rather than on positive headline figures alone.
A social security system that is expected to provide security for generations requires transparency, realism and forward-looking policymaking. Precisely when the numbers appear positive is the time to critically examine the developments taking place beneath the surface.
Today's surplus should not become an excuse to ignore tomorrow's challenges. On the contrary, it should serve as a reason to make the necessary policy decisions now, so that the AOV, the BVZ and the other social insurance funds remain affordable and reliable for future generations. That is a responsibility shared by the government, the SVB and the political leadership.
drs. Luigi A. Faneyte, MSc, CFE, CICA, CCS
Politician | Economist | Financial Expert | Consultant | Auditor | Analyst | Researcher | Lecturer
Former Auditor, Curaçao Court of Audit
PAR Parliamentary Staff Member, Parliament of Curaçao