KRALENDIJK- The Pension Fund Caribbean Netherlands (PCN) will implement a 2.5% pension indexation effective January 1, 2025. This increase aligns with the average price inflation across Bonaire, Saba, and St. Eustatius. 

The decision was made during the board meeting in November, received approval from the Supervisory Board, and was positively recommended by the Advisory and Accountability Body (AVO).

Favorable investment results and the use of an average discount rate have bolstered PCN’s funding ratio, which exceeded 134% by the end of November. The average discount rate approach has helped mitigate the impact of significant interest rate fluctuations, ensuring the fund’s stability and capacity to support the indexation.

Active Participants

The indexation will benefit not only retirees but also active participants and deferred members. Active participants—current employees accruing pension rights—and deferred members—former participants entitled to a payout at retirement—will see their pension entitlements adjusted by the same 2.5% increase.

The newly indexed pension amounts will be reflected in payouts issued this month, providing an immediate benefit to all eligible members.