Both Hoy and the Listin Diario featured extensive economic commentaries over the weekend. Hoy devoted its economic section to tax reform and had five celebrated economists express their ideas on the need for such reforms. The group of experts included Frederic Emam-Zade, Pedro Silverio, Eduardo Tejera and Isidoro Santana of Fundacion Siglo 21. In general, the five felt that tax reforms must start immediately. Alfonso Abreu Collado felt that any further delay would amplify the fiscal imbalance, and he urged the government to publish their proposals for public commentary. Abreu Collado said that it was important that government officials give indications as to just where the monies will go, before they try to implement any new taxes. Frederic Emam-Zade proposed a savings of RD$40 billion through a policy of austerity and showed how a “triple ten” plan would work. A 10% IVA across the board, a maximum of 10% duty on most imports and the removal of all duties on the rest, and a universal 10% tax on those incomes earned in the Dominican Republic. Emam-Zade does not feel a need to renegotiate the foreign debt, but he insisted on a 33% reduction in government expenditures. For Isidro Santana tax reform is not enough to resolve the problems of the fiscal and semi-fiscal deficits. These measures, however, in addition to the sale of government patrimony and the trimming and rationalization of government expenditures might help solve the crisis, he said. Pedro Silverio said that he likes the idea of a renegotiated foreign debt and feels that the tax reform measures must be done before 16 May (Election Day), as all the political parties would be otherwise occupied and this would help keep the agreements from being broken for political expediency. Eduardo Tejera called a postponement of the tax reforms until after the elections “an irresponsible act on the part of the government and the IMF.”
Among the measures that he favors are a crackdown on tax evasion and a reduction in public sector payrolls. Tejera also called for a deferral in the opening of the Dominican markets to globalization or a Free Trade Agreement with the United States.