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Daily News - 7 February 2001
President Mejia cancels trip to Aristide inaugural
Senate okays US$100 consular invoice stamp
High growth, low inflation predicted
A step towards forward or backwards?
New welfare system viewed as impossible to implement
Propane gas price drops today
ADOZONA announces wage increases for Free Zones
17 weekly charters and 21 weekly scheduled flights for La Romana International
Tricom announces US$110 million investment for 2001
An attempt to kill the competition Quixote?
RD$520 million for athletic facilities in the Pan Am 2003 Games
Track and field area named
Aguilas advance in the quest for the Caribbean baseball crown
President Mejia cancels trip to Aristide inaugural
President Hipolito Mejia announced yesterday he was suspending his day trip today to Haiti to attend the inaugural of Jean Bertrand Aristide. Mejia would have been the only statesman to attend the inaugural. He announced the trip was suspended following security recommendations. Minister of Foreign Relations Hugo Tolentino Dipp will represent the DR at the inaugural of Jean Bertrand Aristide.
In its editorial today, El Caribe newspaper affirms that most experts consider President Aristide has two roads ahead:
1) To fulfill his word to former President Clinton and open to democracy within Haiti and fight drug trafficking. This route would allow the return of international aid and would lead to good relations with Dominican neighbors.
2) To blame the international community for the problems in Haiti and lean on the governments of Fidel Castro in Cuba (that have been offering medical help and reconstructing a sugar mill) and Hugo Chavez in Venezuela that has offered economic and political assistance.
El Caribe newspaper feels that the second road would lead the statesman to exacerbate anti-Dominican feelings in Haiti, a self-defense mechanism of what would be an internationally isolated government. The newspaper hopes that Aristide will choose the first road.
Senate okays US$100 consular invoice stamp
The Senate approved the bill that replaces the consular invoice with a US$100 stamp. This also would require a US$30 legalization by the consul. The bill now passes on to the Chamber of Deputies.
High growth, low inflation predicted
The Governor of the Central Bank, Frank Guerrero Prats, told foreign bankers with Dominican corresponding relationships, that the country will maintain its pattern of macro-economic growth together with a low inflation rate. Guerrero Prats was in Miami, Florida, for a conference on recent developments in the Dominican economy and future prospects. He affirmed that for the current year the Gross Domestic Product increase can be expected of between 6% and 6.5%, which is considerably greater than any other Latin American nation. He projected an inflation rate between 7% and 8%, despite taking into consideration the fluctuations in the cost of petroleum in international markets, or exchange rates, thanks to governmental controls in effect.
A step forwards or backwards?
An editorial in El Siglo describes President Hipolito Mejia's social services package as a new experiment, but wonders why the government first raised and then lowered propane gas prices so drastically in such a short time. It also questions the hiring of new stewardesses on the OMSA busses, as well as the DR$300 subsidy for poor families. The editorial concludes, "We've spent years listening to talk of privatization, free markets, private initiative, price honesty, elimination of distortions. Now we are regressing to social engineering, subsidies, pampering the poor, lost expenditures. We only hope the experiment proves a success."
New welfare system viewed as impossible to implement
The President of the Herrera Industrial Association, Antonio Espin, told the Listin Diario newspaper that President Mejia's address to the nation was wide-ranging, bold, and complex, but in certain aspects lacked viability. He said that the program that will provide DR$300 a month to 300,000 needy families is not feasible since the Banco de Reservas hasn't the capacity to serve such a large number of clients in a month. According to Espin, "no bank has the capacity to receive 300,000 new clients, least of all the state-run bank which must also serve all state employees." He explained that this program would produce political deals to give out money, owing to the fact that upcoming are the municipal and legislative elections. He also criticized the use of the General Directorate of Internal Revenue (DGII) to combat speculation. He said that to use the DGII as a threat against businesses is unacceptable, and that in no country on earth may a state entity be used as the lance-point to challenge businesspeople.
Propane gas price drops today
The reduction in the price of propane gas from RD$19 to RD$8 takes effect today. However, Listin Diario newspaper reports that owners of the gas packaging plants have refused to put the price change in effect arguing that they have gas at the former prices. They allege that until the existing supplies have been sold they won't reduce the price to the levels authorized by the government. The Ministry of Industry and Commerce also announced a reduction of RD$0.62 a gallon for gas to be used in mass transport vehicles and for industrial and commercial use. From now on, the official sale price for these sectors will be RD$18.61. According to the government, the price for a tank of propane gas for domestic use is RD$180 for the 100 pound tank, RD$98 (50 pounds), RD$45.04 (25 pounds) and RD$27.04 (15 pounds).
ADOZONA announces wage increases for Free Zones
The Dominican Association of Free Zones (ADOZONA) announced a 12% increase in the minimum wage to RD$2,490. The decision was adopted during a meeting of the National Salaries Commission where both free zone management and labor were represented. The minimum free zone salary was RD$2,222 per month.
Historically, free zones have paid salaries below the general minimum wage. In the DR, companies with more than RD$500,000 of capital invested that is RD$2,895. This salary is also subject to review. Unions have sought a 35% increase, while management had been speaking of a 15% increase.
17 weekly charters and 21 weekly scheduled flights for La Romana International
Luis Rodriguez, administrator of the La Romana International Airport, clarified for DR1 Daily News that the Transglobal charter that flew into the airport last week was the not the first charter flight the airport has received. He said that the first charter was that of Lauda Air Italy that arrived on 18 December 2000. The airport today receives 17 weekly charter flights from Italy, Belgium, England, Canada and the United States. That is in addition to 21 weekly scheduled flights from San Juan, Puerto Rico and Miami by American Eagle and American Airlines.
Flights arriving to the airport are SkyService and AirTransat from Toronto Canada; Royal from Winnipeg, Canada; Canada3000 from Canada; Sobelair from Brussels, Belgium; Eurofly and Lauda Air from Milan, Italy; Airtours from London, England; Ryan from Minneapolis, USA; North American from Boston, USA.
Tricom announces US$110 million investment for 2001
Tricom announced it will invest US$110 million this year to bring new fixed telephone lines to 184,000 users. It expects to add 360,000 mobile connections, too. Arturo Pellerano, president of the company told El Siglo newspaper that the company installed 150,000 telephone lines and 300 mobile connections last year. He said Tricom sales last year were US$224 million, for a 37.1% increase over 1999, when sales were US$170 million. Tricom also announced its expansion to Central America where it will invest US$72 in mobile communications in Panama, El Salvador, Costa Rica and Guatemala.
An attempt to kill the competition Quixote?
Gasoline station entrepreneur Antonio Turbí was fired at three times by an unidentified individual on a passing motorcycle while driving on the Estrella Sadhalá overpass in Santiago. Police authorities said it was an apparent attempt to kill or intimidate him. Turbí was interned in the Clinica Corominas and medical reports say he is recovering. A woman who was with him in the car was uninjured.
Turbí is the owner of three gasoline stations. He achieved notoriety by going against the union of gasoline stations and dropping prices that made his the most popular stations. When the gasoline station owners union got the government to prohibit him from charging less, he decided to get around it giving customers RD$1 rebates on the gallon of gasoline.
RD$520 million for athletic facilities in the Pan Am 2003 Games
Architect Leonardo Macarrulla told El Siglo that the sports facilities for the Pan American Games will cost approximately RD$520 million. This figure includes construction of the new Mirador del Este Sports Complex (RD$400 million) as well as the improvements and repairs to the Juan Pablo Duarte Olympic Center (RD$120 million). In the Mirador del Este Park complex pavilions will be built for weight lifting, tennis, handball, grass hockey, basketball table tennis, badminton, gymnastics, archery, open air volleyball, together with a children's play area, and parking. In the Juan Pablo Duarte Olympic Center the tennis, baseball and volleyball courts will be reconditioned, the swimming pool will be enlarged to ten lanes. Two new parking areas will be built. The costs will be provided jointly between the loan from the US$140 million Venezuelan Investment Fund and monies raised by the Pan Am Games Organizing Committee.
Track & field area named
President Hipolito Mejia signed the bill passed by Congress on September 25, 2000 that will name the track and field area of the Juan Pablo Duarte Olympic Center after Alberto "El Gringo" Torres de la Mota. Torres was the first Dominican athlete to compete in the Olympic Games, in Tokyo, in 1964. Torres competed in the 100 meter dash. He died in 1999.
Aguilas advance in the quest for the Caribbean baseball crown
Last night the Aguilas Cibaeñas defeated Venezuelan team, Cardenales de Lara, 8 to 6, placing themselves in a favorable position to conquer first place in the XXXI Caribbean Series. This was their third victory in the current series. Today, the DR must defeat host country in order to take the thirty-first annual series competition. The DR vs. Mexico game can be seen in the DR starting 10 pm on Channel 7, Antena Latina.
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