Interesting dilemma

Insel Air’s financial troubles pose an interesting dilemma for the government in Curacao. It does not want the airline to go bust because it is considered too important for the island in terms of the economy, employment and accessibility.

Too big to fail, were the words outgoing Minister of Economic Affairs Eugène Rhuggenaath has used.

But were to draw the line? Insel Air will probably never see the $100 million that is said to be stuck in Venezuela.

Should tax payers then carry the can for a company that is, for whatever reason, unable to remain economically viable?

We perfectly understand the dilemma, but we’d like to point out that in many countries state support for private enterprises that were too big to fail has proven to be a very expensive and unsustainable exercise. And in the end, the tax payers are footing the bill.