- Thread starter Frank the Tank
- Start date
DR, A Collapsed State
Parasite States?
Foreign aid comes to mind... which often does not reach the needy.
donP
Foreign aid comes to mind... which often does not reach the needy.
donP
You said you dont need to work. Maybe you could start spending your time and money helping the needy then. Instead of just bing negative about the country you live in.
I think the dr is on the wall.
On one side prosperity and much needed social reforms.
On the other side, statu quo, rich getting richer, poor getting poorer.
Sadly the docility of the dr population favours the statu quo. I just hope these up coming generations will realise how much the politicos are shagging the general population, and act accordinly....... I can always dream......
On one side prosperity and much needed social reforms.
On the other side, statu quo, rich getting richer, poor getting poorer.
Sadly the docility of the dr population favours the statu quo. I just hope these up coming generations will realise how much the politicos are shagging the general population, and act accordinly....... I can always dream......
... Says a guy who lives on Social Security and a military pension, both of which are socialist entitlement programs. But hey, you "earned" them so that makes it ok, right? Always entertaining to see people complaining about the same programs they have no problems taking money from.
Funny!
They say they KNOW how the economy of the DR is really doing, when facts point otherwise!
The DR overvaluing the peso???? LOL!!!! How stupid is that notion! If the DR even tried that, it would had bended on the all fours to a black market long ago, just like Cuba.
No gov can hide their real inflation on today's liberal and global markets. You just can't.
The only thing govs can do is manipulate their currency to undervalue it against the dollar or Euro for that fact.
That's the main reason why the DR gov can't dollarize the economy. The jig would be up in less than a month after that.
As for the DR as a collapsed state? LOL!!!
The DR is just in the baby steps of becoming a powerhouse economy in the whole Caribbean and Central America, save none.
The DR can sh*t gold, silver and other metals for the next 100 years with ease. Energy resources explorations have been less than 1% of the land/sea areas, with that to change in the coming years. The country is recognized as one of the world's leading sources of organic goods in the few years our markets have been geared towards that end, with a sh*t load to come after. We have just started to supply and crack into the Asian and to the eastern block of Europe. Heck we even started to ship to Oceania!
The public deficit is shrinking, education spending increasing, healthcare expenditures increasing onto the Universal Healthcare service, government corruption decreasing by introducing streamlined systems and fully journaled programs.
Large investments into mass transit systems, upgraded roads, ports, airports, schools, hospitals, power generating matrix, 911 system, etc...
An iron-clad immigration system for the first time since 1844, revised labor, criminal and civil laws, etc...
First time issue of corporate bonds and trading or papers with a next stop into stocks.
A robust national ID system.
You can bet your house the DR is going places in the coming years.
Keep this word in your mind: "Powerhouse"! Because you're bound to hear it a lot when The Dominican Republic is mentioned in any economic circle for the future...
They say they KNOW how the economy of the DR is really doing, when facts point otherwise!
The DR overvaluing the peso???? LOL!!!! How stupid is that notion! If the DR even tried that, it would had bended on the all fours to a black market long ago, just like Cuba.
No gov can hide their real inflation on today's liberal and global markets. You just can't.
The only thing govs can do is manipulate their currency to undervalue it against the dollar or Euro for that fact.
That's the main reason why the DR gov can't dollarize the economy. The jig would be up in less than a month after that.
As for the DR as a collapsed state? LOL!!!
The DR is just in the baby steps of becoming a powerhouse economy in the whole Caribbean and Central America, save none.
The DR can sh*t gold, silver and other metals for the next 100 years with ease. Energy resources explorations have been less than 1% of the land/sea areas, with that to change in the coming years. The country is recognized as one of the world's leading sources of organic goods in the few years our markets have been geared towards that end, with a sh*t load to come after. We have just started to supply and crack into the Asian and to the eastern block of Europe. Heck we even started to ship to Oceania!
The public deficit is shrinking, education spending increasing, healthcare expenditures increasing onto the Universal Healthcare service, government corruption decreasing by introducing streamlined systems and fully journaled programs.
Large investments into mass transit systems, upgraded roads, ports, airports, schools, hospitals, power generating matrix, 911 system, etc...
An iron-clad immigration system for the first time since 1844, revised labor, criminal and civil laws, etc...
First time issue of corporate bonds and trading or papers with a next stop into stocks.
A robust national ID system.
You can bet your house the DR is going places in the coming years.
Keep this word in your mind: "Powerhouse"! Because you're bound to hear it a lot when The Dominican Republic is mentioned in any economic circle for the future...
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Dominican Republic’s top bank, hotel group announce US$100M bond
Santo Domingo.- Spanish company Meli? Hotels International and Dominican Republic Popular bank group on Wednesday announced the hospitality industry’s first corporate bond issue in the country, structured and distributed by the bank’s stock broker Inversiones Popular.
The amount of the program, which will be structured in successive issues on demand of the hotel, could top US$100.0 million, Efe reports, quoting sources of Dominican Republic’s biggest bank group, which makes its first issue in dollars.
Dominican Republic’s National Securities Council approved the corporate bond program on March 3, whose emitter is the Meli? group subsidiary in the country, "Desarollos Sol, SA," owner of the hotel Meli? Caribe Tropical, in Bavaro-Punta Cana.
Earnings from the bond will be primarily used to support the hotel group’s investment programs in the Dominican Republic.
The bond is aimed at institutional investors and the general public, placed in 10 sections of US$10 million each, for a period of 365 days.
The bond maturity is five years from issue date of each stage, with a fixed interest rate, paid monthly or quarterly of interest and one-time repayment of principal when the emission matures in 2020.
This bond, whose minimum investment is 30 dollars, has an "innovative" warranty structure because it counts with the benefits of Dominican Republic’s Mortgage Market Development and Trust Law 189-11, and backed by a trust managed by Popular subsidiary, Fiduciaria Popular .
The trust will manage the Melia Caribe Tropical real estate collateral, along with a bank account to ensure payment of the next coupon, said a source.
The bond program also includes total joint guarantee by Meli? Hotels International that it will be liable for all amounts of principal, interest and any other amounts that may be owed to investors.
Rating agencies have given "elevated" solvency for the issue: AAA (dom) by Fitch Ratings, and AA (dom) by Feller-Rate.
"This new offering of a major tourism bond is an opportunity for local and international investors to diversify, in addition to further boost the Dominican tourism sector as one of the country's most important pillars for sustainable development," said the Efe sources
Founded in Palma de Mallorca, Spain in 1956, Meli? Hotels International is one of the world's biggest hotel chains, with more than 370 hotels operating or about to open in more than 40 countries, investing over US$1.0 billion since arriving in the Dominican Republic.
http://www.dominicantoday.com/dr/ec...ics-top-bank-hotel-group-announce-US100M-bond
Santo Domingo.- Spanish company Meli? Hotels International and Dominican Republic Popular bank group on Wednesday announced the hospitality industry’s first corporate bond issue in the country, structured and distributed by the bank’s stock broker Inversiones Popular.
The amount of the program, which will be structured in successive issues on demand of the hotel, could top US$100.0 million, Efe reports, quoting sources of Dominican Republic’s biggest bank group, which makes its first issue in dollars.
Dominican Republic’s National Securities Council approved the corporate bond program on March 3, whose emitter is the Meli? group subsidiary in the country, "Desarollos Sol, SA," owner of the hotel Meli? Caribe Tropical, in Bavaro-Punta Cana.
Earnings from the bond will be primarily used to support the hotel group’s investment programs in the Dominican Republic.
The bond is aimed at institutional investors and the general public, placed in 10 sections of US$10 million each, for a period of 365 days.
The bond maturity is five years from issue date of each stage, with a fixed interest rate, paid monthly or quarterly of interest and one-time repayment of principal when the emission matures in 2020.
This bond, whose minimum investment is 30 dollars, has an "innovative" warranty structure because it counts with the benefits of Dominican Republic’s Mortgage Market Development and Trust Law 189-11, and backed by a trust managed by Popular subsidiary, Fiduciaria Popular .
The trust will manage the Melia Caribe Tropical real estate collateral, along with a bank account to ensure payment of the next coupon, said a source.
The bond program also includes total joint guarantee by Meli? Hotels International that it will be liable for all amounts of principal, interest and any other amounts that may be owed to investors.
Rating agencies have given "elevated" solvency for the issue: AAA (dom) by Fitch Ratings, and AA (dom) by Feller-Rate.
"This new offering of a major tourism bond is an opportunity for local and international investors to diversify, in addition to further boost the Dominican tourism sector as one of the country's most important pillars for sustainable development," said the Efe sources
Founded in Palma de Mallorca, Spain in 1956, Meli? Hotels International is one of the world's biggest hotel chains, with more than 370 hotels operating or about to open in more than 40 countries, investing over US$1.0 billion since arriving in the Dominican Republic.
http://www.dominicantoday.com/dr/ec...ics-top-bank-hotel-group-announce-US100M-bond
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I said: "Foreign aid comes to mind... which often does not reach the needy."
This criticism was not (only) aimed at the situation in the Dominican Republic, but at the failure of the "trickle down" effect.
I know what I am talking about, as I worked in Africa in foreign aid.
So, one could say, that I have done my share. :classic:
Have you?
donP
I said: "Foreign aid comes to mind... which often does not reach the needy."
This criticism was not (only) aimed at the situation in the Dominican Republic, but at the failure of the "trickle down" effect.
I know what I am talking about, as I worked in Africa in foreign aid.
So, one could say, that I have done my share. :classic:
Have you?
donP
now tell us how you intend to address the Human Development Index. the macroeconomics are nice, and the GDP increases are peachy, and you are the superpower of the caribbean. tell us how you intend to address issues like education. please dont tell me that Danilo has built a gazillion classrooms. what he has done is to build several schools in several burghs and villages. that means that he has just magnified the current paradigm. the new schools will be just like the old schools, and the people in Altamira will never get the kind of education that the guys from Carol Morgan get, because there simply is no workable plan to reconstruct education. that is one entity that cannot be made to look good by fudging numbers and blowing bugles. so, in twenty years you will have spaceships driving down every Avenida 27 de Febrero, and a population which still does not know where to look for Germany in an atlas.
If all of you guys keep making comparisons to a pile of shyt, it won't be long before you become a pile of shyt.
That argument that it is worse off somewhere else is a bankrupt argument.
First, Thank You for your response.
Second, a little historical background and clarification.
While I am not so sure I would call what happened a "remarkable DR success," unless you refer to the fact that a lot of the IMF money was spent as earmarked.....but that would be a matter of opinion...and opinions do vary.
Clarifying a bit, the "economic mess" was not started by the US...but rather in it....with the contagion spreading to other countries whose banking institutions were even more exposed and underfunded for such a black swan event.
The G-20 at its then annual meeting pledged to support the IMF and indeed some countries increased their contributions to the fund. The IMF also sold some of its gold reserves to further bolster its liquidity to support weaker economies not likely to economically survive without said liquidity, and the DR was one such country.
But the IMF did not and does not approach a country. Protocol requires the country to request assistance, lest the IMF be viewed as interfering with a sovereign nation.
Once the IMF was asked to return (they had already saved the DR after the Baninter collapse) they initiated a Stand By Agreement with the DR, providing three years of massive liquidity, the likes of which the DR had never seen.
http://www.imf.org/external/np/fin/...1=260&endDate=2015-03-08&finposition_flag=YES
These funds in the form of SDR's (special drawing rights) were used for countless projects in the DR which did in fact boost its growth rate and gave the appearance of a growing economy. But these funds are meant to prime the economic pump....not sustain it indefinitely......and those same funds are in fact loans that add to the debt to GDP ratio.....which for the DR is now at 51%.
And while it's not debt to GDP that really matters....but the ability to pay it back.....the devil is in the details.
For that liquidity, new taxes have been and continue to be implemented as well as measures to provide better and more transparent governance.
My concern here is the DR has stopped borrowing from the IMF. And while at first blush one would assume that is a good thing, it actually may have the opposite effect.
Since the DR has in essence stopped borrowing from the IMF, they no longer have to abide by those strings attached (new taxes, better governance) the IMF would have demanded for those new loans....and the Central Bank is now left to manage or mismanage the economy.
And yes the DR has been fortunate that Tourism, while declining after the economic crisis, has rebounded nicely. But that is more due to luck than it is to government policy. Ditto for remittances and the new bright spot....exports.
But all this has come at a price.
The DR continues to be burdened by deficit spending and debt. And while neither spell doom on their own, any financial crisis added to the mix, could spell difficult times ahead for the economy.
And right now, there are just way too many possibilities as I outlined in my prior post.
All that having been said, the Central Bank could guide the economy away from rocky shores.....but history and the government may not be on their side.
Respectfully,
Playacaribe2
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Well, that's the crux of a forum, isn't it?
But you can avoid it by just not participating....
donP
I cannot understand why you,who often bring in much news into the forums, could write such a comment. My view on DR1 is that the exchange of views should be done in a polite and respectful way ,with the comments solely made on the article and not the person is writing it. If anyone prefers to be vulgar then Dominican Today is a better forum to write in . In DR1 , I hope people are encouraged to participate and not the reverse,but it seems that some people like to try to rule the roost here and not appreciate other views
Yes caribeplaya2, I did not go into the details as you have correctly done . I am not worried that we are now borrowing by way of issuing bonds. The Central Bank has demonstrated, at least to me, that they are very capable , and can manage the rollover or replacement of retiring debt.
I am also not worried that future generations will have to repay debts..we can not have what is immediately needed unless we borrow from overseas because we are ourselves short of capital . Like you I hope the government does not interfere with the Central Bank functions..and I think that more or less we are on the same page .
I am also not worried that future generations will have to repay debts..we can not have what is immediately needed unless we borrow from overseas because we are ourselves short of capital . Like you I hope the government does not interfere with the Central Bank functions..and I think that more or less we are on the same page .
this is Detroit ......
You obviously have no idea how multinational corporations work. I have seen it in DR in the "zona franca" and for minerals ... the benefit to the DR is the cost to bribe or intimidate the minister of energy and mining. Not a hard thing to do in a ...... at the very least ,a country with limited security.
When I read
Because of the minerals and energy, all I could think of is "this is Detroit"
[video=youtube;38p2dORj9Ic]https://www.youtube.com/watch?v=38p2dORj9Ic[/video]
Organic farming won't be exported unless it is done under a conglomerate, and we know the wonderful trickle down of Chiquita Bananas in central America.
Farming for local needs might get better.
You obviously have no idea how multinational corporations work. I have seen it in DR in the "zona franca" and for minerals ... the benefit to the DR is the cost to bribe or intimidate the minister of energy and mining. Not a hard thing to do in a ...... at the very least ,a country with limited security.
When I read
Because of the minerals and energy, all I could think of is "this is Detroit"
[video=youtube;38p2dORj9Ic]https://www.youtube.com/watch?v=38p2dORj9Ic[/video]
Organic farming won't be exported unless it is done under a conglomerate, and we know the wonderful trickle down of Chiquita Bananas in central America.
Farming for local needs might get better.
And with that I have written all that I wish to write on this issue , which started off by an article suggesting that the DR was a collapsing state .!!!
LOL!
Who can't grow a nation when most of the money it has borrowed has been forgiven? Add in the IMF with more free money
and obviously the DR has to show something for all of this free cheese. Plus energy providers that are owed billions and free
Venezuela gasoline have created the DR miracle. The DR govt has been the beneficiary of a con game, of a three card monte
scam. They have been enabled to behave as poor stewards of the money they were entrusted with. And when they were late
or missed payments the penalties were actually rewards. They were rescheduled, restructured, forgiven, bought back at a
percentage.
The minister og energy and mining was assasinated in his home last week.
Now THAT is "intimidation"!!!!!!!
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Now THAT is "intimidation"!!!!!!!
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