Financial Crime World

Netherlands Antilles Shows Signs of Recovery

Oranjestad, Netherlands Antilles - The Netherlands Antilles has reported a significant turnaround in its economy, with a 2% increase in cruise tourism over 2002 and an estimated additional 1% growth expected for 2003.

Economic Recovery

Despite facing challenges such as a prolonged recession and emigration of skilled labor to the Netherlands, the economy has shown signs of recovery. Key indicators include:

  • Decreased unemployment rates
  • Stabilized inflation
  • Increased private investment by 20%

The government’s efforts to implement structural reforms have also contributed to this growth. These reforms include:

  • Liberalization of air traffic
  • Abolition of production monopolies
  • Lifting of individual dismissal permits

Offshore Sector Recovery

The offshore sector has also shown signs of recovery, boosted by an increase in tourism inflows and growth in the Curaçao Free Zone.

Financial Sector Improvement

The financial sector has improved, with foreign reserves increasing to three months’ worth of imports. The Bank of the Netherlands Antilles (BNA) has implemented strict bank licensing policies, and authorities are developing new techniques and policies to combat money laundering and terrorist finance.

Increased Transparency

In a major shift, the business environment is moving towards greater transparency and disclosure. Company service providers are now subject to supervision by the Supervisory Board for Fiduciary Business, which requires them to apply Know Your Customer (KYC) rules and report unusual transactions to the authorities.

Compliance with International Standards

The Netherlands Antilles’ financial sector has been assessed as being in compliance with international standards on:

  • Banking supervision
  • Insurance supervision
  • Anti-money laundering/combating the financing of terrorism (AML/CFT)
  • Investment institution supervision

The country is also working to strengthen standards against terrorist finance, along with other parts of the Kingdom of the Netherlands.

Positive Outlook

The outlook for the Netherlands Antilles economy remains positive, with continued growth expected in:

  • Tourism
  • Private investment
  • Offshore sector

As the government continues to implement reforms and improve transparency, the country is poised for a strong recovery.