According to economic think-tank Centantillas director Pedro Silverio, the peso has lost 60% of its value since December 2002. Silverio was speaking at a conference at the PUCMM titled ?Economic perspectives for the United States and their impact on the Caribbean and the Dominican Republic?, along with fellow economist Rajeev Dhawan. In December of 2002 the peso?s value weighed in at RD$21 to USD$1. Since then, however, it has fallen to approximately RD$35. Silverio predicted growth of zero to ?2% for the coming year, following a period of six years in the 1990s in which the country enjoyed 1.8% growth. He stated that governmental economic policies ?had not done a good job? in alleviating the external economic pressures of 2001 to 2002. The DR?s main trading partner, the US, is set to enjoy an economic growth rate of 2% in the coming year, and this ?puts pay to the idea that the country?s economic problems are a result of the international economic environment. If this were the case, we would be seeing an improvement,? he explained. Citing the positive indicators in the balance of payments and the success of the export and tourism sectors for 2002, Silverio felt that ?In the midst of all this the local currency has experienced its worst devaluation in the last decade.?
The peso-dollar exchange rate remains relatively stable at the moment ? standing at RD$35 for the third consecutive day.