WILLEMSTAD – Government spending on subsidies and transfers rose sharply in 2025, exceeding projections by more than Cg 71 million, according to the Financial Management Report for the third quarter.
Subsidies and transfers totaled Cg 336 million by September, significantly above the forecast of Cg 264.3 million. The increase is partly explained by the one-time Bashi premium, which was paid in early 2025 to government and nonprofit institutions.
In addition, higher recurrent subsidies compared to previous years contributed to the overspending. These included increased support to semi-public institutions and social programs.
The Ministry of Finance notes that while some of the expenses were incidental, others highlight the growing structural dependency of institutions on government support, raising questions about long-term sustainability.