Central Bank Provides Update on Ennia Restructuring

WILLEMSTAD/PHILIPSBURG — The government of Curaçao has decided to shift its approach to the Ennia Caribe Leven N.V. (ECL) restructuring, opting for a phased and controlled resolution rather than the initially proposed restart. This significant development was announced in a press release by the Central Bank of Curaçao and Sint Maarten (CBCS) on October 7, 2023.

The decision comes after a period of intense discussions aimed at finding a solution to the problems surrounding ECL. The government of Curaçao, in collaboration with the CBCS, will continue to work on developing and refining the specifics of this phased and controlled resolution in the coming weeks.

Under this new approach, there will also be consideration for the healthy components of the Ennia group, which includes Ennia Caribe Schade N.V., Ennia Caribe Zorg N.V., Ennia Caribe Leven Aruba N.V., and Ennia Caribe Schade Aruba N.V. These entities will need to be managed effectively as part of the resolution process.

Additionally, special attention will be given to the segment of ECL policies that were constructed based on premium payments made after the emergency regulation was enacted.

Throughout this process, the emergency regulation will remain in place, ensuring the protection of the interests of Ennia's collective creditors, including policyholders.

The government's decision to pursue a phased and controlled resolution marks a significant development in the ongoing Ennia restructuring saga. Further details and progress regarding this approach will be communicated as the discussions between the CBCS and the governments of Curaçao and Sint Maarten continue to evolve