Cft: “Curaçao has to take solid steps to get budget in order”

Despite meaningful steps Curaçao has taken to get the budget in order, the year 2019 will close again with a deficit. The Board of financial supervision Curaçao and Sint Maarten (Cft) has observed that so far too much emphasis has been placed on increasing income rather than reducing expenditures. Especially in combination with economic reforms, the reduction of expenditures can drive economic growth and improve the balance of payments. There is still a considerable task for the year 2020. For example, the operating costs of the new hospital are 81 million guilders higher than they were for the old hospital Sehos. Additionally, some tax revenues have been overestimated, whilst it should be taken into consideration that the budgeted dividends from CBCS and RdK will not be paid out. Furthermore, measures such as the zero line (‘nullijn’) for civil servants are delayed.