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International Monetary Fund. Western Hemisphere Dept.

PO Box 92780 • Washington, D.C. 20090 Telephone: (202) 623–7430 • Fax: (202) 623–7201 E-mail: Web: Price: $18.00 per printed copy International Monetary Fund Washington, D.C . © 2021 International Monetary Fund Title page KINGDOM OF THE NETHERLANDS CURAÇAO AND SINT MAARTEN SELECTED ISSUES July 15, 2021 Approved By Western Hemisphere Department Prepared By Tom Dowling, Dmitriy Kovtun and Atsushi Oshima Contents CURAÇAO AND SINT MAARTEN MONETARY UNION: CONSIDERATIONS ON

International Monetary Fund. Western Hemisphere Dept.

Curaçao and Sint Maarten Monetary Union: Considerations on Dollarization Since the dissolution of the Netherlands Antilles in 2010, there has been recurrent interest in the topic of the exchange arrangement in Curaçao and Sint Maarten. More recently, the authorities have been weighing benefits and costs of dollarization versus maintaining the common currency. This note aims to lay out relevant information and issues for the authorities’ discussion. It provides considerations from the literature, examines institutional arrangements in dollarized economies