Curacao profile
Curacao, a small Caribbean island off the Venezuelan coast, is an oil refining and tourist centre.
Curacao, a small Caribbean island off the Venezuelan coast, is an oil refining and tourist centre.
It became an autonomous country within the Kingdom of the Netherlands in 2010 in a change of constitutional status that dissolved the Netherlands Antilles.
While Curacao, Aruba and Sint Maarten became autonomous countries, the less-populated islands of Bonaire, Sint Eustatius and Saba now have city status within the Netherlands.
The islands, once called the Dutch West Indies, were colonised in the 17th Century.
Formerly the centre of the slave trade, Curacao was hard hit by the abolition of slavery in 1863 but its prosperity returned in the early 20th Century with the construction of refineries to service the newly discovered Venezuelan oil fields.
COUNTRY OF CURACAO: FACTS
Capital: Willemstad
Area: 444 sq km
Population: 155,000
Languages: Papiamento, Dutch, English
Life expectancy: 74 years (men) 81 years (women)
LEADERS
Head of state: The King of the Netherlands, represented by a governor.
Prime minister: Gilmar Pisas
Gilmar Pisas has been prime minister since June 2021. It is his second term in office as he had previously served as prime minister between March and May 2017.
MEDIA
Curacao's media landscape is characterised by a substantial number of media outlets.
There are no fewer than 28 licensed radio stations, eight newspapers and at least three television stations, according to a 2016 report by Unesco.
Legislation does not currently distinguish between public, private and community radio. Curacao does not have any public service media. All of its media are commercial entities.
TIMELINE
Image caption,
Fort Beekenburg is one of a handful of surviving fortifications which helped defend the island against pirates
Key dates in the history of Curacao:
1499 - Spanish expedition under Alonso de Ojeda visits the island. Over the next decades, the Spanish enslave most of the Caquetios or Arawaks for forced labour on the colony on Hispaniola.
1515 - Most of the native population is transported to Hispaniola as slaves.
1527 - Spanish permanently settle on Curacao.
1634 - During the Eighty Years' War of independence between the Republic of the Netherlands and Spain, the Dutch West India Company under Admiral Johann van Walbeeck invades the island and defeats the Spanish.
1662 onwards - Dutch West India Company makes island a centre of the Atlantic slave trade, often bringing slaves from west Africa to the island before selling them elsewhere in the Caribbean.
1795 - Major slave revolt under the leaders Tula Rigaud, Louis Mercier, Bastian Karpata, and Pedro Wakao.
18th-early 19th Century - Periodic British attacks on the island to wrest control from the Dutch. Dutch rule returns in 1815 at the end of the Napoleonic wars.
1863 - Dutch abolish slavery in their empire.
1914 - Discovery of oil in nearby Venezuela transforms Curacao's economy, with oil firms setting up refineries on the island.
1954 - Curacao and other Dutch Caribbean colonies joined together to form the Netherlands Antilles.
1969 - Discontent with Curacao's seemingly subordinate relationship to the Netherlands, racial discrimination and rising unemployment owing to layoffs in the oil industry trigger a series of riots.
2010 - The Netherlands Antilles is dissolved, and Curacao becomes a country within the Kingdom of the Netherlands, like Aruba and Sint Maarten, with the kingdom retaining responsibility for defence and foreign policy.
Image caption,
Houses on the waterfront in Willemstad, Curacao
The BBC
Overview
Curaçao has a high-income economy, significantly reliant on tourism, financial services, and the port of Willemstad. The island's economy also benefits from shipping, international trade, and oil refining. While tourism is a major driver, sectors like maritime are facing some challenges. Recent economic growth has been supported by tourism recovery and private investment.
Here's a more detailed look:
Key Economic Sectors:
Tourism:
Curaçao is a popular destination, particularly for stayover tourism, which is expected to continue driving growth.
Financial Services:
The island has a well-developed financial sector.
Port of Willemstad:
Willemstad is a major port, contributing to shipping, trade, and the Free Trade Zone.
Oil Refining:
The Schottegat oil refinery historically played a significant role in the economy. While the Isla refinery has faced challenges, its resumption could support growth.
Other Industries:
The economy also includes a small agriculture sector, industry, and various other services.
Economic Performance:
Growth:
The economy has shown robust but uneven growth in 2021-22, with output growing 4.2% in 2021 and an estimated 6.5% in 2022.
Inflation:
While inflation was a concern in the past due to high import prices, it is projected to decline.
GDP:
Curaçao's GDP was estimated at $3.172 billion in 2019. In 2023, it was $3.28 billion.
GDP per capita:
The GDP per capita was $15,414 in 2019. In 2023, it was $22,192.4.
Unemployment:
Data on unemployment is limited, but some reports suggest a strong growth in total employment, potentially due to the informal sector.
Challenges:
Labor Shortages: Structural labor shortages could limit future economic growth.
Economic Diversification: The economy is somewhat reliant on tourism and other specific sectors, which can make it vulnerable to external shocks.
Inflation: While projected to decline, inflation remains a concern due to import prices.
Maritime Industry: Some sectors, such as the maritime industry, have been lagging.
Social and Political Stability: Ongoing developments in areas like fiscal policy, debt, and social spending pressures need to be monitored.
Looking Ahead:
The International Monetary Fund (IMF) projects moderate economic growth in the coming years, with the tourism sector playing a significant role.
Inflation is expected to moderate.
The current account deficit is expected to improve, but remain elevated.
Continued focus on economic diversification and addressing labor shortages will be important for sustainable growth.
Economy of Curaçao
The economy of Curaçao is a high income economy, as defined by the World Bank. The island has a well-developed infrastructure with strong tourism and financial services sectors. Shipping, international trade, oil refining, and other activities related to the port of Willemstad (like the Free Trade Zone) also make a significant contribution to the economy.
Economy of
Curaçao
Currency
Netherlands Antillean guilder (ANG)
Fiscal year
Calendar Year
Trade organisations
Trade Union Centre of Curaçao
Statistics
GDP
$3.172 billion (2019 est.)
GDP growth
4,2% (2021 est.)
GDP per capita
$15,414 (2019 est.)
Curaçao has one of the highest standards of living in the Caribbean, ranking 46th in the world in terms of GDP (PPP) per capita and 28th in the world in terms of nominal GDP per capita.
To achieve the government's aim to make its economy more diverse, efforts are being made to attract more foreign investment. This policy, called the 'Open Arms' policy, features a heavy focus on information technology companies.
Source: Wikipedia