Opportunities and Challenges for the Gaming Sector in Curaçao
September 5, 2024
The online gaming sector in Curaçao holds significant economic potential but is often misunderstood, especially concerning the draft Landsverordening op de Kansspelen (LoK). On August 28, 2024, the "Economenclub" hosted a seminar at the Central Bank to discuss the LoK's economic implications, featuring insights from Gino Campbell, former director of the Gaming Control Board, and Cedric Pieters, the current director.
Curaçao is a significant player in online gaming, with about 1,000 operators contributing an estimated $75-100 billion in gross income annually. However, despite this substantial economic activity, the island benefits minimally. Unlike Malta, which derives significant GDP from its gaming industry, Curaçao sees limited local economic impact, primarily confined to a few trust offices.
The LoK aims to enhance regulatory oversight and modernize gambling laws by creating an independent Curaçao Gaming Authority. This could increase transparency, ensure compliance, and generate substantial revenue for the government. Yet, effective oversight brings challenges, such as combating money laundering, ensuring cybersecurity, protecting vulnerable players, and enhancing local economic benefits.
While the Landsverordening op de Kansspelen presents a significant opportunity to improve Curaçao’s gaming sector, the island's track record on implementation, integrity, and moral governance raises serious concerns. Curaçao has struggled with effectively enforcing regulations and lacks a robust integrity and ethical oversight system. Without substantial improvements in these areas, the potential benefits of the LoK could be undermined, leaving Curaçao’s reputation and economic interests at risk.
Miguel Goede
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