Kingdom of the Netherlands—Aruba: 2023 Article IV Consultation Discussions-Press Release; and Staff Report
IMF Staff Country Reports, July 27, 2023
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- Kingdom of the Netherlands—Aruba: 2023 Article IV Consultation Discussions-Press Release; and Staff Report
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Bibliographic details
- Published: July 27, 2023
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798400246449.002
Key findings: economic activity and growth
- Real gross domestic product grew by 27.6 percent in 2021.
- Real gross domestic product further expanded by 7.3 percent in 2022.
- The rebound was reinforced by the recovery of tourist arrivals following the lifting of the restrictions introduced during the pandemic.
Near-term outlook and projections
- The economy is expected to grow at a moderate pace in 2023 as the post-pandemic rebound in tourist arrivals wanes.
- Inflation is projected to decelerate with slowing domestic demand and lower international commodity prices.
Risks to the outlook
- Risks are tilted to the downside.
- A steeper-than-expected global slowdown, especially in the U.S., could reduce tourist arrivals.
- Climate change is an ever-present risk through both rising sea levels and more volatile weather events.
- Domestically, risks are largely related to the potential of insufficient fiscal adjustment.
Policy recommendations and priorities
- Increasing resilience to climate change is a priority.
- A concrete action plan for adaptation would help prioritize infrastructure investments that improve the physical resilience of low-lying areas.
International Monetary Fund. Kingdom of the Netherlands—Aruba: 2023 Article IV Consultation Discussions-Press Release; and Staff Report (Country Report No. 2023/284), July 27, 2023.
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