In an effort to contain the decline of the Dominican peso that was being sold in the informal markets at RD$25 to the US$1 as of Wednesday, 5 February, the government monetary authorities have announced a new plan. The Monetary Board’s new measures focus primarily on restricting the amount of pesos in circulation to stifle the latest run on the peso. The Monetary Board increased the legal minimum reserve requirements of commercial banks to 20 from 15 percent, signifying that banks will now have to keep 15 percent of their funds in deposits at the Central Bank and five percent in their vaults. Likewise, the reserve minimum at savings and loans associations, development banks and mortgage financial firms was increased from 10 to 15 percent. The Monetary Board also ruled that savings and loan associations need to implement, as of June 2003, a mandatory program of gradual conversion of their investments to the so-called "certificates of participation" issued by the Central Bank that pay five percent per month. In addition, the Central Bank also announced the placement of "certificates of investment", with annual interest of 28 percent for 30-day terms, 29 percent for 60-day terms and 30 percent for 90-day terms. These will be offered to the public by local financial intermediaries. Furthermore, the Central Bank will ensure that Dominican banks longer pay credits directly in foreign currency toward the sectors generating the foreign currencies, excluding the import operations of the Dominican Petroleum Refinery (Refidomsa) and those of the electricity sector. The government measures are expected to produce further hikes in the cost of loans, placing the burden of maintaining macroeconomic stability once again on the productive sectors and consumers. Many business group spokesmen and economists dispute the new currency control measures as a way to control the run on the peso. As said repeatedly in the past, they insist that the government needs to instead restrain its own spending and borrowing and effect policies to inspire confidence. "We exhort the government to control public spending and urge all Dominicans to cut back on the items that are produced outside of the country," said Elena Viyella, president of the National Council of Business (CONEP). For his part, President Hipolito Mejia has announced he will address the country on Sunday.