WILLEMSTAD – Curaçao's economy has recovered strongly since the COVID-19 pandemic, but the island remains heavily dependent on tourism and faces growing long-term risks related to energy, water security and climate change. Those are among the key conclusions of the United Nations' Annual Results Report for Aruba, Curaçao and Sint Maarten.
According to the report, Curaçao recorded economic growth of about 5 percent in 2024, driven largely by tourism and a rebound in construction. At the same time, unemployment fell significantly, dropping from 13.1 percent in 2022 to approximately 7.8 percent in 2024.
While describing the recovery as encouraging, the UN warns that the economy has become increasingly concentrated around tourism. The tourism sector's economic footprint has expanded from 14.9 percent of GDP in 2015 to 24.4 percent in 2022, making the island more vulnerable to global economic downturns and changes in international travel demand.
The report says Curaçao should accelerate investment in renewable energy to reduce its dependence on imported fossil fuels. Because the island relies almost entirely on desalination for drinking water, fluctuations in fuel prices directly affect both electricity and water costs.
The UN identifies renewable energy, climate financing, marine protection and digital infrastructure as key areas where investment could strengthen Curaçao's resilience while supporting more sustainable economic growth.
It also recommends moving tourism toward higher-value market segments while investing in workforce skills and institutional capacity to improve productivity and reduce dependence on lower-productivity service jobs.
According to the report, those measures would make the economy more resilient while advancing the Sustainable Development Goals and reducing long-term exposure to external shocks.