WILLEMSTAD – Escalating geopolitical tensions in the Middle East could pose serious risks to Curaçao’s economy, primarily through rising oil prices, the Centrale Bank van Curaçao en Sint Maarten (CBCS) warns .
Disruptions in global oil supply—particularly around the Strait of Hormuz—have already increased energy prices and transportation costs. A prolonged crisis could lead to higher inflation, reduced purchasing power, and weaker economic growth.
The CBCS outlines that in a moderate oil shock scenario, economic growth in Curaçao could drop significantly, while inflation could rise sharply. A more severe scenario could have even deeper economic consequences.
The bank stresses the importance of reducing dependence on imported energy and investing in renewable alternatives to strengthen economic resilience.