Minister of Finance Marinka Gumbs has welcomed the upcoming implementation of the Deposit Guarantee Scheme, an initiative of the Central Bank of Curaçao and Sint Maarten, CBCS, describing it as a major milestone in strengthening confidence in Sint Maarten’s financial sector and providing additional protection for depositors. The Deposit Guarantee Scheme will take effect on 28 September 2026.
Minister Gumbs commended the CBCS for advancing this important initiative for the monetary union and for its continued efforts to strengthen financial stability and depositor protection in both Sint Maarten and Curaçao.
“The implementation of the Deposit Guarantee Scheme demonstrates the important role of the Central Bank in safeguarding confidence in our financial system. I commend the CBCS for bringing this initiative to fruition. It represents another important step in strengthening the financial architecture of our monetary union and, most importantly, providing greater protection to the people who entrust their savings to our financial institutions.”
The Deposit Guarantee Scheme is designed to protect individuals and businesses that hold eligible deposits with licensed banks and credit unions present in Sint Maarten. In the unlikely event that a participating financial institution becomes unable to meet its obligations to depositors, eligible deposits are protected up to established limits, providing account holders with greater security and peace of mind.
Minister Gumbs emphasized that the implementation of the scheme represents an important safeguard for the public and aligns Sint Maarten with international practices aimed at promoting financial stability and consumer protection.
“For many people, their bank account represents years of hard work, savings and financial planning. The Deposit Guarantee Scheme provides an additional layer of protection and reassurance that their eligible deposits are safeguarded. This is a significant step in strengthening confidence in our financial system and protecting depositors.”
Under the scheme, eligible deposits held at licensed banks are protected up to Cg. 50,000 per depositor, per institution, while eligible deposits held at licensed credit unions are protected up to Cg. 25,000 per depositor, per institution.
To help the public better understand how the scheme works, Minister Gumbs provided a practical example.
“If a person has Cg. 20,000, Cg. 35,000 or even Cg. 50,000 in eligible savings at a licensed bank, the full amount would fall within the protection limit of the Deposit Guarantee Scheme. If, however, a depositor has Cg. 78,000 in an account and the institution becomes unable to meet its obligations, the scheme would protect up to Cg. 50,000 of those eligible savings. The remaining Cg. 28,000 would form part of the depositor’s claim against the institution and would be handled through the applicable legal resolution process.”
The Minister further explained how the protection provided by the scheme operates in the event that a participating bank or credit union becomes unable to repay its depositors.
“Should a licensed bank or credit union ever become unable to repay its depositors, the Deposit Guarantee Scheme provides a structured mechanism through which eligible account holders can recover their protected deposits. This provides an important level of certainty and security for depositors.”
Minister Gumbs noted that the implementation of the Deposit Guarantee Scheme provides a modern and more comfortable banking system.
“Whether you are saving for your children’s future, operating a small business or simply managing your everyday finances, having funds in a licensed bank or credit union present in Sint Maarten now comes with an added layer of protection.
The Minister further emphasized that the Deposit Guarantee Scheme is funded through contributions from participating financial institutions, ensuring that the financial sector itself contributes to maintaining confidence and stability within the banking system.
Minister Gumbs again acknowledged the work of the CBCS in reaching this important milestone.
“This is what strong financial institutions should ultimately deliver: greater protection for our people and greater confidence in our financial system. I congratulate the CBCS on this important achievement for our monetary union. The Deposit Guarantee Scheme is good news for depositors, good news for our financial sector and good news for Sint Maarten.”
The Ministry of Finance encourages the public to contact their financial institution or the Central Bank of Curaçao and Sint Maarten for additional information regarding the Deposit Guarantee Scheme and the coverage applicable to their accounts.
