DR1 Daily News - Dominican Republic

The Central Bank of the Dominican Republic (BCRD) has lowered its monetary policy rate (MPR) by 25 basis points (bps), dropping the benchmark from 5.50% to 5.25% annually following its October 2025 monetary policy meeting.

The cut comes to stimulate the economy that is now anticipated to close 2025 with a growth of approximately 2.5%, with a projected return to its potential pace of 4.0% to 5.0% in 2026, supported by coordinated monetary and fiscal policies.

The move, aimed at stimulating domestic demand, comes as the Central Bank projects local inflation will remain anchored within its target range of 4.0% ± 1.0% and global financial conditions continue to ease. The permanent liquidity expansion facility (1-day Repos) rate was also reduced from 6.00% to 5.75%, while the overnight remunerated deposit rate was kept unchanged at 4.50%.

The Central Bank explains the...