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22 ENGLISH AWEMainta Diamars, 29 Augustus 2023

Aruba’s Fiscal Challenges:

The Impact of Rejecting RAft

ruba, a picturesque Caribbean par-

Aadise, is currently grappling with
significant fiscal decisions that will di-
rectly affect its residents. The Aruba
Trade & Industry Association (ATIA),

Aruba Hotel & Tourism Association
(AHATA), Comerciantenan Uni (CUA),
and Camara di Comercio (KVK) have
calculated the potential financial bur-

den on Aruban families if the govern-
ment and parliament reject RAft, a fis-
cal framework proposed by the King-
dom of the Netherlands.

Without RAft, the Aruban government
would need to borrow money at a
higher interest rate, which could cost

Aruba at least AFL 30 million annually.
Ultimately, it is the people of Aruba who
would bear this additional cost. Even
though Aruba already has a high tax

burden, this new debt would require
each family to contribute an additional
AFL 870 per year.

Meanwhile, the Aruban government
has already agreed to accept RAft
when borrowing money from the
Netherlands. Whether using LAft (local

law) or RAft (Kingdom law), the same
budgetary rules will apply. If Aruba
now refuses to adhere to these finan-
cial regulations within a RAft, each

Aruban family will still have to pay at
least AFL 870 more in taxes each year
to cover the consequences of this deci-
sion.

To prevent further financial strain on
Aruba’s already tax-burdened commu-
nity, our government and parliament

must make a practical decision rather finances remain secure without over- costs for its residents, while accepting
than an emotional one. It is crucial to burdening its citizens. it could provide stability and finan-
consider the long-term fiscal stability of cial security. Balancing the emotional
the island and its residents. Embracing In summary, Aruba faces a critical aspects of this decision with prac-

RAft might be the most responsible decision regarding its fiscal future. ticality is essential to safeguard the
path forward, ensuring that Aruba’s Rejecting RAft could lead to increased well-being of Aruba and its people