PHILIPSBURG:--- The General Audit Chamber has released its report on the 2024 General Pension Fund (APS) financial statements.
The findings show that APS closed 2024 with a profit of ANG 43.2 million, compared to a loss of ANG 84.1 million in 2023. The coverage ratio improved to 114.1% (2023: 109.1%), the highest level since the fund’s inception. According to APS, this improvement was mainly due to international investment results and the increase of the actuarial interest rate from 3.75% to 4.0%.
While the coverage ratio reached a record high, the Audit Chamber notes that the fund still faces vulnerabilities. The current contribution rate of 18% does not fully cover costs, which means that investment returns play a material role in meeting obligations. In addition, local investments continue to experience delays and valuation challenges, and questions remain about the expected returns and risks. The Audit Chamber also notes that the Sint Maarten Investment Company (SMIC), which manages the local portfolio, has so far not delivered positive returns, adding to the uncertainty about the contribution of local investments to the fund’s long-term position.
The Audit Chamber’s recommendations mention increasing transparency regarding changes to the actuarial interest rate, improving reporting on local investments, strengthening accountability around SMIC’s performance, and presenting clear scenarios on the future of indexation.
The Audit Chamber acknowledges APS’s cooperation during the audit. The report is published in both English and Dutch and is available on the website of the General Audit Chamber (www.arsxm.org).