WILLEMSTAD – Retirees receiving pensions from the General Pension Fund of Curaçao (APC) could see an increase of just 0.75 percent in 2027, despite years of incomplete compensation for rising living costs and a projected improvement in the fund's financial position.
The figure appears in APC's 2027 budget, approved by its board on July 21 and submitted to the Curaçao Parliament on October 9, 2026.
The proposed 0.75 percent increase is currently a budgetary assumption rather than a final decision. The actual adjustment will depend on the applicable pension regulations and the fund's financial position.
Nevertheless, the modest percentage raises questions about when retired civil servants and other APC beneficiaries can expect to recover purchasing power lost during previous years.
According to earlier reporting by Curaçao.nu, APC pensioners went six years without regular pension indexation before receiving a partial catch-up adjustment of 0.51 percent in 2026.
That increase provided some compensation but did not eliminate the accumulated shortfall.
Previous calculations published by the news outlet indicated that approximately 4.69 percentage points of indexation remained outstanding after the 2026 adjustment.
If APC ultimately implements the projected 0.75 percent increase in 2027, it would represent another limited step toward addressing that shortfall, although the actual effect on purchasing power would also depend on inflation during the period.
For a pensioner receiving XCG 2,000 per month, a 0.75 percent increase would amount to an additional XCG 15 monthly, or XCG 180 annually.
A pensioner receiving XCG 3,000 per month would receive XCG 22.50 more each month, equivalent to XCG 270 per year.
These examples illustrate the relatively small financial impact of the projected adjustment for individual retirees.
At the same time, APC expects its financial position to improve.
The fund projects a funding ratio of 117.9 percent by the end of 2027, meaning it expects to hold approximately XCG 117.90 in assets for every XCG 100 in calculated pension liabilities.
It also anticipates a positive financial result of approximately XCG 67 million and an average investment return of 5.1 percent.
However, a higher funding ratio does not automatically mean that the fund can grant larger pension increases.
Indexation decisions are subject to financial requirements, the need to maintain adequate reserves, and the fund's long-term obligations to current and future pensioners.
APC must also account for growing pension expenditures as the number of retirees increases.
The fund expects to pay nearly XCG 262 million in pensions during 2027, compared with approximately XCG 243 million in 2025.
Despite the projected financial improvement, the 2027 budget does not establish a timetable for fully compensating pensioners for the indexation shortfall accumulated over previous years.
It also does not specify how much additional funding would be required to eliminate that shortfall.
For retirees, the central concern remains whether improvements in APC's financial performance will eventually translate into meaningful increases in their monthly pension payments.
Until a final indexation decision is announced, the 0.75 percent figure remains a projection rather than a guaranteed increase.