The Central Bank announced on 22 March new interest rates for savings certificates to the public. Thirty-day certificates will reap for 14%, 90-day certificates 15%, 180-day certificates 16% and 365-day certificates 17%. Certificates may be redeemed after the first 30 days, with payment of a penalty. Early redeemed certificates will go for: 31-89 days will be redeemed with a 14% interest payment; those of 90-179 days with 15% interest payment; and those 180-364 days with a 16% interest payment. The Central Bank accepts deposits in blocks of RD$50,000. Certificates that are not redeemed will automatically be renewed for the same deposit term and at the current interest rate.
Earlier in the week, the Central Bank had reported that the gap between rates offered for Central Bank savings certificates and those offered by private banking is narrowing. Last week the Bank issued savings deposits at an average rate of 20.3%, while commercial banks have been offering these at 18.8%. This is a wide difference from the 60% offered by the Central Bank on its deposits last year. The banks have reduced their rates on loans to 29%.