Economist Andres Dauhajre, in charge of the unit created to manage sovereign bonds in the DR, warned in El Siglo newspaper that Minister of Finances Fernando Alvarez Bogaert intends to secure a “bridge loan” for US$250 million to reactivate the economy and pay off debt with the government’s Banco de Reservas. Alvarez Bogaert said the money to be generated by the sovereign bonds will not be available for another four months. This loan would be applied during the interim. Dauhajre is against short term borrowing on grounds that it will increase the payments the country will have to make on its foreign debt and it contradicts what he calls a healthy policy of borrowing abroad.
