Economic & Investment Outlook (2026)

Sint Maarten, a constituent country of the Kingdom of the Netherlands, is currently experiencing a strong recovery from major economic shocks. Its Gross Domestic Product (GDP) is projected to reach pre-hurricane and pre-pandemic levels by 2025.

• Growth Trajectory: From 2026 onwards, economic growth is expected to moderate and converge towards a sustainable rate of approximately 1.8% annually. This is because the immediate stimulus from post-hurricane reconstruction will have tapered off.
• Key Drivers: The recovery and future growth are fundamentally driven by the robust revival of the tourism sector (both cruise and stayover) and major infrastructure projects, notably the reconstruction of Princess Juliana International Airport.
• Investment Focus: To sustain growth, the government and international bodies (like the IMF) are urging a pivot toward high-value-added tourism services and diversification. This creates opportunities in upmarket resorts, complementary recreational activities, and essential infrastructure, such as the energy grid and marine tourism.
• Foreign Investment Challenge: Sint Maarten has historically attracted less Foreign Direct Investment (FDI) than some regional peers, which is partially attributed to its position as a mature tourism market. New policy strategies are focused on attracting quality capital to enhance and upgrade the existing offerings.

Real Estate Investment & Taxation

Real estate is a primary channel for foreign investment, offering favorable tax conditions on the Dutch side of the island.

• Property Returns: The market shows resilience, with property values reportedly appreciating by 7% to 10% annually in recent years, driven by reconstruction and renewed investor confidence. The tourism-dependent market also supports high short-term rental income potential.
• Tax Advantages: A significant draw for investors is the absence of several common taxes:
  • There is no Capital Gains Tax on the sale of property.
  • There is generally no recurrent Property Tax levied on real estate holdings.
  • There is no Inheritance Tax.
• Other Taxes: A 4% Transfer Tax (Overdrachtsbelasting) applies to the purchase of real estate. Rental income, however, is subject to the standard personal income tax.

Residency by Investment

Sint Maarten does not offer a direct Citizenship by Investment program. However, a residency permit can be obtained through investment, with distinct rules for American citizens.

For Non-U.S. Citizens:

• Investment Requirement: A minimum investment of $255,000 USD in real estate is generally required to qualify for the temporary residency permit. Alternatively, an intention to invest ANG 900,000 (approx. $500,000 USD) in a business or real estate, to be fulfilled within 18 months, may be accepted.
• Residency Path: The initial permit grants Temporary Residency and must be renewed annually. An investor may apply for Permanent Residency after maintaining the investment and continuous legal residency for a minimum of five years.
• Work Restriction: The investor residency permit is for residence only and generally does not permit local employment.

For U.S. Citizens (Dutch-American Friendship Treaty – DAFT):

• Favorable Terms: Due to the 1956 Dutch-American Friendship Treaty (DAFT), U.S. citizens are treated similarly to Dutch nationals not born in the Caribbean parts of the Kingdom, granting them a significant advantage.
• Financial Requirement: U.S. citizens do not need to meet a specific high-dollar investment threshold. They can often qualify by showing proof of funds as low as $20,000 USD in an investment or bank account, coupled with their intention to reside and establish a business or invest.
• Residency Status: Upon approval, U.S. citizens are often granted Permanent Residency immediately, which is valid for an indefinite period.

Ready to explore these high-value opportunities? For a discussion on specific real estate, infrastructure, or business investment pathways in Sint Maarten, please book a FREE consultation. We will discuss your ideas, needs, and investment type, as well as all the amazing benefits Sint Maarten offers to investors.