“Our celebrations must be tempered by acknowledgment of the structural hurdles”

𝐅𝐞𝐥𝐥𝐨𝐰 𝐒𝐭. 𝐌𝐚𝐚𝐫𝐭𝐞𝐧𝐞𝐫𝐬, 𝐑𝐞𝐬𝐢𝐝𝐞𝐧𝐭𝐬 𝐨𝐟 𝐨𝐮𝐫 𝐛𝐞𝐥𝐨𝐯𝐞𝐝 𝐒𝐭. 𝐌𝐚𝐚𝐫𝐭𝐞𝐧, 𝐋𝐚𝐝𝐢𝐞𝐬 𝐚𝐧𝐝 𝐠𝐞𝐧𝐭𝐥𝐞𝐦𝐞𝐧

Fifteen years in the life of a nation is like a fleeting second. Yet, the progress of a country is not measured in how old it is but in how much it has accomplished and how well its citizens have shared in its success. Today we celebrate the very fact that we have made it this far together as a people.

St. Maarten was not expected to survive. Nobody gave us a chance to make it. Nobody believed in us. Nobody bet on us. But here we are, 15 years later, standing tall. We believed in ourselves. We have proven that we can indeed stand on our own.

Fifteen years ago, we solemnly embarked on this journey of shaping our own destiny. We adopted a Constitution that prioritizes the welfare of all our people. As we honor our past and shape our future, the theme of this anniversary, I speak to you not just as your Minister of Finance, but as a fellow citizen, reflecting on the extraordinary economic and fiscal voyage we have navigated since 10-10-10.

When we became an autonomous country within the Kingdom of the Netherlands, we were filled with high hopes, yet we knew the path to nationhood would be fraught with the challenges of building new institutions from the ground up. Over these 15 years, our resilience has been tested by forces no emerging country could easily weather, namely, the catastrophic impact of Hurricane Irma in 2017 and the global paralysis of the COVID-19 pandemic of 2020.

Yet, we stand today not defeated, but revitalized; not cowed, but rejuvenated. Our economic foundation, built largely on the bedrock of tourism, has demonstrated a remarkable capacity for recovery. We have seen our real Gross Domestic Product (GDP) rebound significantly, now projected to maintain strong growth momentum, supported by a vibrant private sector and critical foreign investment.

From a fiscal standpoint, our efforts toward sound governance are yielding fruit. We have worked diligently to comply with Kingdom obligations, focusing on strengthening financial management, which has been central to maintaining stability. We are now projecting a return to a current budget surplus for 2025.

Furthermore, through careful management and the growth of our nominal GDP, our public debt-to-GDP ratio is on a manageable downward trajectory. This is a crucial achievement, it demonstrates that we are not just spending, but investing responsibly in our long-term stability.

A key marker of our progress is the substantial capital invested in our core infrastructure and social fabric, much of it facilitated by the Sint Maarten Trust Fund managed by the World Bank. The reconstruction of the Princess Juliana International Airport terminal, the investments in the power sector, and the ongoing construction of the St. Maarten Medical Centre (SMMC) have not only been physical acts of rebuilding but strategic economic investments.

Our work on strengthening our financial architecture goes beyond balancing books; it is about building the systems that ensure transparency, accountability, and opportunity for future generations. We have engaged in critical, albeit difficult, structural reforms under the Country Package. This is an essential step toward diversifying our economy and unlocking the full potential of our local entrepreneurs. We are actively working toward achieving an unqualified budget audit, which is paramount for reinforcing public trust and international credibility.

As we look ahead, we must be honest about the serious challenges that still lie ahead of us. Our celebrations must be tempered by a sober acknowledgment of the structural hurdles we must overcome:

1. Debt Burden: The substantial loans incurred, particularly the repayment obligations to the Netherlands, continue to exert heavy pressure on our annual budget. This repayment structure limits our ability to make critical domestic investments in education and infrastructure. Reducing this debt load and restructuring for sustainability remains a priority.

2. Social System Solvency: The financial sustainability of our social and health insurance funds (SZV) is a growing concern. We must implement equitable and sustainable solutions to stabilize these funds, ensuring that healthcare and pensions remain accessible and reliable for all residents, particularly our most vulnerable populations.

3. Economic Resilience and Capacity: Our economy remains highly vulnerable to external shocks, whether they be global trade disruptions, external inflation, or the ever-present threat of powerful hurricanes. To build true resilience, we must accelerate our shift from quantity to value-added tourism. This requires smart, targeted investments to enhance the quality of our product, while simultaneously addressing infrastructure capacity limits (roads, waste management, utilities) before they bind our growth. Furthermore, we must strengthen our institutional capacity for project planning and execution to ensure public funds are deployed efficiently and effectively.

4. Tax Reform: Comprehensive tax reform is long overdue. A modern, efficient, and equitable tax system is the engine required to fund our national aspirations and reduce our external dependency.

It goes without saying that our constitutional autonomy would not be worth much unless we achieve financial autonomy. That is why our focus is on seeking ways to increase our revenue and reduce expenditure. To achieve this we must simplify our tax regime, improve our tax collection system, expand our tax base and streamline our tax administration.

The Constitution we celebrate today is more than a legal document; it is a solemn compact that binds us to a shared purpose. The journey of the last 15 years proves that when faced with adversity, the people of Sint Maarten possess an unbreakable spirit. As your Minister of Finance, I commit myself to pursuing structural reform with renewed urgency, securing fiscal stability, and investing in a future where our children would inherit a Sint Maarten that is not only financially and economically sustainable but also socially just.

This is our collective responsibility. Let us move forward with unity, discipline, and a deep sense of purpose, ensuring that for the next 15 years St. Maarten would continue to shine even brighter than during the last.

𝐆𝐨𝐝 𝐛𝐥𝐞𝐬𝐬 𝐲𝐨𝐮 𝐚𝐧𝐝 𝐆𝐨𝐝 𝐛𝐥𝐞𝐬𝐬 𝐒𝐢𝐧𝐭 𝐌𝐚𝐚𝐫𝐭𝐞𝐧 𝐚𝐧𝐝 𝐡𝐞𝐫 𝐩𝐞𝐨𝐩𝐥𝐞.

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