Although the Dutch government retains responsibility for defence and foreign policy, the domestic government, which is struggling to deal with Curacao's economic malaise, will increasingly seek to foster external relationships that advance growth. Increased regional integration is part of this strategy, and we expect Curaçao to become an associate member of the Caribbean Community (Caricom) in the 2020-21 forecast period. The government will also seek to develop ties else-where. In October the prime minister met with China's ambassador to the Netherlands, Xu Hong, to strengthen ties in tourism, energy and the financial sector. Diversifying tourism markets (and the economy more broadly) will be key objectives in terms of Curaçao's international relations, especially as the political and economic crisis in Venezuela (historically a major commercial partner) endures.

In an effort to boost the economy, the government increasingly will seek to build its commercial and diplomatic ties with the US, one of its largest tourism markets. In 2019 the government received members of the US Congress for the first time since 1997, secured a US sanctions waiver for its oil refinery, and agreed to act as a hub for US and Dutch humanitarian aid en route to Venezuela (in the event that Venezuela agrees to receive it). Considering the large influx of Venezuelan migrants, the government will continue to request security and financial assistance from the Dutch government. The Dutch government will provide some support, but bilateral relations will come under stress, given the Dutch government's stringent budgetary oversight.