In the Kingdom, we work from a shared past to a Shared Future. The Netherlands wants to work for a better future for the entire kingdom. This commitment of the Netherlands takes place on the basis of the principles of mutual trust, commitment and reciprocity, and equality,” reads the 2024 budget for Kingdom relations and the BES Fund published today.
A kingdom with mutual involvement
In the Caribbean Netherlands, we continue to strive to make Bonaire, Saba and Sint Eustatius an equal part of the Netherlands. Various developments, such as inflation and specifically the rise in energy prices, have a major impact on the inhabitants of Bonaire, Sint Eustatius and Saba. In 2024, the deployment of funds for the Caribbean Netherlands of € 30 million will continue. among other things, to improve (social) facilities and the standard of living. In addition, with the further implementation of the ‘comply or explain’principle in 2024, European Dutch policy intensifications will also be applied in the Caribbean Netherlands, unless there are reasons not to do so. BZK makes management agreements with the island governments on the basis of priorities set by them in order to improve the performance of the governments. When the governments on both sides of the ocean perform better, the standard of living of the inhabitants of the Caribbean Netherlands can improve. Therefore, in order to achieve the priorities set, concrete agreements are made on the social domain, infrastructure, sustainability and economy, taking into account the specific conditions of each island.
In 2024, the Cabinet will work for the three autonomous Caribbean countries in the Kingdom. This effort is visible, among other things, in the cooperation for the implementation of the reforms of the country packages. Since the end of 2020, Aruba, Curaçao and Sint Maarten (hereinafter: the countries) have been working together with the Netherlands on necessary reforms in their public sector, with the aim of strengthening the economies of the countries, with a view to promoting the well-being of their inhabitants. Until 2023, this cooperation was based on three temporary bilateral reciprocal arrangements, in anticipation of a further legal basis for the cooperation. On april 4, 2023, the ministers-presidents of the countries and the state secretary of BZK signed a mutual agreement creating this legal foundation. With this mutual arrangement, the governments of the countries commit themselves to the implementation of the reforms in their public sectors for several years. The Netherlands undertakes to provide support by making people and resources available. With this, BZK and the countries will continue cooperation at least until 2027, as it has taken shape over the past two years. The guiding principles for such cooperation – as laid down in the introductory text of the scheme – are ownership, equality and commonality.
Governance agreements Caribbean Netherlands
On March 21, 2023, the progress under the current (one-year) management agreements was shared with the first and second chambers.1 in order to fulfil the ambitions for the period from mid-2023, new management agreements are being made together with the public authorities with corresponding implementation agendas for Bonaire and Sint Eustatius and a multiannual implementation agenda for Saba. For this purpose, the current administrative agreements are examined, but also the new priorities per Island. The island governments provide priorities for this and, together with the executive boards and departments, concrete agreements are made on what is needed to achieve these ambitions. Examples of topics on which concrete agreements are made are the social domain, infrastructure and sustainability, but differ per Island. As mentioned in the letter of intent economic development, together with the islands, it examines what is needed per Island to diversify the local economy to generate economic growth. In addition, administrative and executive power is an important topic for all three islands in the governance agreements, in which organizational development and strong personnel policy play a role. BZK’s policy commitment to the governance agreements for 2024 is primarily determined by the topics that the public bodies bring to the table in this process.
Strengthen administrative and executive power
In 2024, existing programmes and activities will be built on to strengthen the administrative and executive power in the Caribbean Netherlands. As part of the new governance arrangements, further consideration will be given to additional steps needed to strengthen the executive power of public bodies. The precise elaboration of this is the subject of discussion with the islands. We free up resources for the continuation of the VNG’s municipal exchange network, through which knowledge and expertise is exchanged between municipalities in the European Netherlands and the Caribbean Netherlands. This allows the public bodies to submit requests for the use of expertise, which are then matched by the VNG with knowledge and expertise from European Dutch municipalities. Investments are also being made in making public administration more resilient.
Comply or explain
In 2024, the application of the principle of “comply or explain”will be further implemented. This principle means that new European-Dutch policy objectives or policy intensifications, including corresponding new regulations, also apply in the Caribbean Netherlands, unless there are reasons not to do so. This may mean that the circumstances require customization, in order to achieve the desired result in the Caribbean Netherlands. The appropriateness of tailor-made measures in the local context is of great importance. The departments have often placed their commitment to the Caribbean Netherlands in policy agendas. furthermore, standard forms and handbooks are adapted to standardize the process around the application of the principle of’comply or explain‘.
Financial management
BZK ensures that the public bodies bring the financial management to an adequate level and then keep it. The BES financial supervision board (CFT BES) advises the minister of BZK on the finances of Bonaire, Sint Eustatius and Saba.
The level of financial management in the Caribbean Netherlands is mixed. Bonaire and Sint Eustatius work also in 2024 with improvement plans to bring financial management to the level. Bonaire’s efforts are beginning to bear fruit. The public body has received an approving auditor’s report on the 2022 financial statements. In 2024, Bonaire will continue to improve and strengthen financial management and its safeguards within the organization.
Sint Eustatius is working to strengthen the Administrative Organization and internal control (AO/IB). By the end of 2023, the standards framework and work processes will be elaborated in an AO/IB handbook and fully implemented within the organization. 2024 is dedicated to the monitoring and monthly audit of the AO/IB. The work should lead to the fact that an approving auditor’s statement can be issued no later than the 2024 financial statements.
Saba has been able to provide an approving auditor’s report for years as proof of good financial management. At the same time, Saba continues to invest in the quality of financial management by optimizing and digitizing work processes and by recruiting and training employees. For the implementation of the improvement plans, we have provided financial resources to Bonaire and Sint Eustatius. Where necessary, BZK will also offer expertise to bring about the improvements. Every year, BZK informs the House of Representatives about the state of financial and budgetary management and the improvement plans of the public bodies.
Land packages
The country packages, as agreed with each country at the end of 2020, remain the basis for cooperation. To support the implementation of the country packages, the Temporary Work Organisation (TWO) will continue to exist within the Ministry of BZK. The TWO shall carry out its tasks jointly with the implementing organisations established in each of the countries under the prime ministers. Together they are responsible for supporting, guiding and monitoring the implementation of the reforms. To this end, De TWO has more than € 35 million annually until 2027. available. Approximately € 6.5 million. this is spent on equipment costs, both for the TWO’s own staff and for the deployment of experts from other departments. The remaining resources may be used to finance reform projects or to provide additional expertise or implementation capacity.