Kingdom of the Netherland-Curaçao and Sint Maarten

Reaping the post-pandemic tourism boom, Curaçao’s and Sint Maarten’s economies have been expanding strongly, driven by stayover tourists and construction activity. Disinflation broadly continued, with some uptick in Sint Maarten throughout 2024. The Union’s current account deficit remained elevated as rising tourism receipts were offset by construction-related imports. In both countries, the fiscal position remained strong and in compliance with the fiscal rule, and macroeconomic policies are broadly in line with past IMF advice (Annex I). Progress on the landspakket, the structural reform package agreed with the Netherlands in 2020, has recently slowed, with notable exceptions around digitalizing permits.