Dear Editor,
St. Maarten’s casinos and lottery booths promise excitement and opportunity, but the reality is far less glamorous. Behind the flashing lights lies a system riddled with inefficiency, exploitation, and corruption. While a privileged few line their pockets, the rest of the island is left to shoulder the cost of weak oversight and missed opportunities for reform.
The great casino heist
Casinos in St. Maarten enjoy a sweet deal: they pay a fixed annual fee of just 600,000 Antillean guilders for full casinos and 120,000 for slot machine businesses. This outdated system doesn’t even scratch the surface of their actual revenues. Yet, despite this laughably low fee, many operators still fail to pay their fair share.
From 2017 to 2020, the government collected between 15% to 54% of the 10.7 million Antillean guilders it was owed, according to the General Audit Chamber’s 2021 report “Mini Audit: Responsible Gambling”. Millions were left on the table – money that could have built homes, funded healthcare, or improved public infrastructure.
The International Monetary Fund (IMF), in its 2020 and 2021 assessments, recommended switching to a tax system based on casino profits rather than flat fees – a model that has successfully boosted government revenues in other Caribbean nations like Jamaica. However, enforcement is so weak that even the current system fails. It’s not just negligence – it’s a system designed to benefit the privileged few while hardworking people of St. Maarten carry the economy on their backs.
Targeting vulnerable communities
St. Maarten is dotted with nearly seven lottery booths per square mile, with 75% concentrated in low-income neighborhoods, according to the Social Economic Council SER in 2021. For wealthy operators, these booths are cash cows. For the vulnerable families they target, they’re a financial trap disguised as hope.
The General Audit Chamber’s 2021 report revealed that funding for programs at Turning Point, which supported those battling gambling addiction, was cut in 2016. Since then, individuals and families struggling with addiction have been left without support. Meanwhile, lottery operators continue to profit freely, leaving the communities they exploit to fend for themselves.
It’s time to demand accountability. Lottery operators must be required to fund addiction treatment programs, financial literacy initiatives, and community support services – like they do in countries such as Barbados, where gambling revenues contribute to social development funds. Without these changes, lottery booths will remain predatory traps that exploit those who can least afford to lose.
The costs of weak oversight
Gambling isn’t just a local issue – it’s a global liability. St. Maarten’s casinos have long been linked to money-laundering, a problem highlighted by the Caribbean Financial Action Task Force (CFATF) in its 2019 Mutual Evaluation Report. Weak anti-money laundering (AML) measures leave the island vulnerable to financial abuse and corruption.
In September 2024, the Financial Intelligence Unit (FIU) called for greater independence and resources to tackle these issues. However, the lack of reform isolates St. Maarten from global financial systems, restricting access to platforms like Stripe and other international services. Businesses and residents are locked out of the global e-commerce market, leaving the island at an economic disadvantage.
While the privileged prosper, the broader community remains excluded from opportunities that could drive growth and resilience. This stagnation is the cost of inaction, and the people of St. Maarten are paying the price.
A vision for leadership: Reform over exploitation
St. Maarten’s dependence on aid from the Netherlands underscores its vulnerability to external control. Gambling reform could be one of the game-changers the island desperately needs to break free from this cycle of reliance.
Consider this: if St. Maarten taxed casinos based on profits and enforced existing laws, millions more could be generated annually – enough to rebuild schools, develop agriculture programs, and invest in renewable energy. Imagine a St. Maarten where gambling operators fuel community growth instead of simply lining their own pockets.
The tools for reform are already in hand. What’s missing is the political will to prioritize the people over the privileged few. Gambling doesn’t have to be a rigged game; it can be a powerful force for fairness, independence, and growth. The real question is: will St. Maarten’s leaders rise to the challenge, or will they keep playing by the same old rules?
Angelique Remy-Chittick
Financial Strategist and Consultant
Financial.ish
