The Central Bank of Curaçao and Sint Maarten published its December 2025 Economic Bulletin, reporting strong economic activity in 2025 driven by tourism and continued growth prospects for Curaçao and Sint Maarten, while stressing that both economies remain highly vulnerable to external shocks, commodity price swings and climate-related disruptions. The Bulletin highlights that these vulnerabilities are being amplified by rising geopolitical tensions between the United States and Venezuela, and calls for decisive policy action to reinforce resilience and support sustainable long-term growth. The CBCS outlines how escalating regional tensions could transmit through higher transport and insurance costs, weaker investor confidence, softer tourism demand and renewed migration pressures for Curaçao, with more severe scenarios potentially leading to sharper declines in tourism exports, weaker external financing and falling official reserves. Priority actions set out include strengthening fiscal frameworks by building buffers and safeguarding debt sustainability, adopting credible medium-term fiscal frameworks with realistic revenue projections and multi-year expenditure ceilings, and incorporating macroeconomic projections into budget preparation, with the CBCS offering analytical support. The Bulletin also points to improving execution of multi-annual public investment programmes by strengthening project preparation, procurement and implementation capacity, and advancing reforms to secure the long-term sustainability of health care and social insurance systems, alongside efforts to diversify and deepen regional trade links such as a partial scope trade agreement between Curaçao and Trinidad and Tobago.
Central Bank of Sint Maarten & Curacao 2025-12-16
Central Bank of Curaçao and Sint Maarten warns of US-Venezuela shock risks and urges fiscal and structural reforms to bolster resilience
The Central Bank of Curaçao and Sint Maarten, in its December 2025 Economic Bulletin, reports strong tourism-led growth in 2025 and positive prospects for both economies, while underscoring high vulnerability to external shocks, commodity price volatility and climate-related disruptions, amplified by rising United States–Venezuela tensions. It details potential transmission channels from escalating regional tensions and calls for stronger fiscal frameworks and buffers, better execution of multi-annual public investment, long-term sustainability of health care and social insurance systems, and diversification of regional trade links, including a partial scope trade agreement between Curaçao and Trinidad and Tobago.