It covers the “rollovers”; debts made in the past but that are maturing now. These debts were made, amongst others, in 2009 and 2011.
As agreed with the Netherlands, this year, the Netherlands pays the external debts of Aruba while Aruba needs to take care of its local debts. In 2021 Aruba received a loan of 177 million florins from the Netherlands to cover the external debts that have matured this year.
It is essential to state that rollover debts do not increase the debt of Aruba. Old debts are replaced by newer debts under new conditions. Additionally, these bonds are not enough to cover the deficit of Aruba nor the lack of liquidity support from the Netherlands. It serves explicitly to replace the old debts with newer debts.
According to law, is the Central Bank of Aruba responsible for bond issuance and the publication of the applicable conditions.