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Implementing sustainability is the requirement for the aid from the Dutch government for Curacao.

As part of a new financial bailout deal with Dutch authorities, look for an overhaul of Curacao's iGaming sector with a tightening of controls.

New Regime

The development establishes a timeline for the installation of a regulatory authority in the Dutch Caribbean island's government move towards independent jurisdiction of March 2021.

Greater Relief Package

The new controls come as part a greater economic agreement for mainland relief recently concluded between the Dutch government and Curacao necessitated by the pandemic financial crisis.

Payments

With Covid having struck down the bulk of Curacao's tourist traffic and receipts, Dutch authorities agreed to a relief package. The liquidity support consists of two installments already arrived since April, with a third one due before the end of 2020.

Conditions

To receive the aid, Curacao is required to restructure its jurisdiction by adapting administrative as well as economic measures designed to build resistance to more economic hardships and disruptions—as an extension of the Dutch authorities quest for tangible changes to hedge against more losses.

The New Economy

The resulting belt-tightening measures will reduce the Curacao economy by some 30% in exchange for the Landspakket pact for short-term recovery, with many of the reforms encompassing Curacao's previously expanding iGaming sector—culminating in the installation of a new gambling regulator circa March of next year.

Scaling Down Activity

This will scale down popular Curacao sportsbook and casino activity, where the island has developed a reputation for hosting flamboyant wagers.

Implementing More Structure

The new regime will have until September 2021 to enforce licensing guidelines—a task which appears prodigious at first glance with most operators in Curacao having limited licensing permits at best, hampering their ability to expand their product offerings.

The new more rigid guidelines are offered in an environment with a reputation for relatively lax standards in its approach to licensing.

The New Authority

Curacao will introduce a series of mechanisms that request contributions from registered businesses, with the Curacao Gaming Control Board (GCB) taking responsibility for Curacao's iGaming industry.

Outlook

Just like anywhere, actively implementing and enforcing consumer protection guidelines should turn out to positively impact the Curacao market over the long term and increase sustainability after the growing pains of integration.

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