DR1 Daily News - Dominican Republic

The Central Bank of the Dominican Republic (BCRD) has lowered its monetary policy rate by 25 basis points, decreasing it from 6.75% to 6.50% annually. A combination of factors, including a favorable domestic economic outlook and easing global inflationary pressures, motivated the bank authorities to further reduce the rate that marks commercial bank lending.

The BCRD’s move aligns with a global trend of central banks reducing interest rates as inflation cools. The US Federal Reserve and the European Central Bank have also recently cut rates, citing similar reasons.

In the Dominican Republic, inflation has been consistently below the target range of 4.0% ± 1.0% for several months, indicating that price pressures are easing. The economy has shown resilience, with growth projected at around 5% for 2024, supported by strong performance in sectors such as tourism, manufacturing, and construction.

Read more in...