Economist Eduardo Tejera recommended that the financial savings certificates recently issued by the Central Bank be switched to 10-year state bonds and thereby prompt an immediate reduction in interest rates. As reported by Aleida Placencia for Hoy newspaper, Tejera suggested an immediate 9% reduction in interest rates, bringing them from 27% to 18%. One of the chief points for Tejera is the fact that the plan would reduce debt service obligations by more than RD$10 billion a year. Another benefit would be the elimination of the 5% tax on exports now being so hotly debated, or the proposed new 5% tax on imports, recently mentioned by President Mejia as a substitute to the export tax that was declared unconstitutional by the Supreme Court.
Regarding the bonds, Tejera suggested that RD$50 billion in savings certificates be converted into bonds at an interest rate of 8%, that they be tax-free and approved by Congress. Finally, the economist said he felt that the Central Bank would not be able to pay off the savings certificates, and so it would be best to convert them to public debt in the form of state bonds.