There are significant bottlenecks in Aruba's subsidy system, according to research by the Amsterdam Bureau for Economics (EBA). Aruba is recommended to set up a new subsidy system in which subsidy provision is better considered, institutions are given more freedom in the spending of subsidies, and effectiveness and efficiency are evaluated. EBA has also made proposals for how this can be successfully implemented.
Wages in the hospitality sector lagged, while profit margins were favorable and there was strong growth in the number of establishments. The sector appears to be able to tackle the staff shortage with better remuneration. Martijn Mak of Amsterdam Bureau for Economics argues this in ESB's blog.
The strength of the institutions of both countries plays an important role in this.