Curacao Seeks To Halve Budget Deficit

by Amanda Banks, Tax-News.com, London

12 October 2005

Curacao's Commissioner of Finance, Renfred Rojer, has stated his intention to halve the island's budget deficit from its present level of over 98 million guilders by the end of the year.

Speaking at the weekly press conference of the Government Council, the Commissioner stated that while the budget deficit will not be totally eradicated, "at least it will no longer be 98.3 million."

With the government's finances under pressure from a variety of directions, Rojer indicated that expenditure will be have to be cut.

“Some of the foundations that have petitioned for subsidies can still count on the reserves they accumulated. The annual reports of these foundations should be able to offer a solution," he stated.

The Government Council also faces a 45 million shortfall in tax and offshore revenues.

Furthermore, the Commissioner warned that the move towards autonomy by Curacao could lead to a drop in revenues for the government, while the drive to reduce poverty among the island population will put an additional "price tag" on the budget.

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