Cifa for "Yes"

May 14, 2009 4:28 PM

The Curaçao International Financial Services Association (Cifa) calls on everyone to vote for "Yes" at the referendum on Friday. According to the interest association of the international services on this island the vote for Yes will bring numerous advantages for the island and the sector.

Cifa is of the opinion that partial debt reconstruction, as mentioned by "Yes", will create financial possibilities for implementation of the required investments on the island, enabling the country Curaçao to combat better with other jurisdictions for the favor of the foreign investors. Foreign investors investing substantial capitals in or through a jurisdiction are not taking any risks in the legal security field, regarding their possessions, according to Cifa. These foreign investors will transfer their possessions to other jurisdictions upon the slightest doubt of the stability of a jurisdiction, says Cifa.

According to Cifa, "Yes" is the best option, also for the required investments in the local economy. “Due to the interest payments and payments on the extensive government debt of approx. 5 billion guilders, the government was not capable of implementing the required investments in amongst others, education and infrastructure during the last years. The partial debt reconstruction with a "Yes"-vote will create financial possibilities to implement the necessary investments in our climate for establishment.”

At the moment, the government does not have sufficient funds to implement the required investments, as a substantial part of her revenues is used for interest payments and repayments on the government debts, according to Cifa. “Also in this respect, the debt reconstruction will provide for immediate advantages for the citizens of the country Curaçao, by voting for the "Yes"-option.” Cifa states it can agree with the current package on the table and is happy with the implementation of the additional supervision mechanisms preventing a repetition of the situation in the future.

(Source: National newspaper Amigoe)

May 14, 2009