The Ministry of Economy & Planning publishes its June update with economic indicators and outlook.
Here are the main points on the Dominican Republic economy:
The Dominican economy expanded by 7.8% year-on-year in April 2024, accumulating an average growth of 5.1% so far in 2024.
The Dominican Republic is experiencing remarkable convergence in per capita income with the US, with its per capita income now 32% of the US level, higher than the Latin American average.
The economy is expected to grow at its potential rate of 5% in 2024, with inflation within the target range. The Central Bank is committed to maintaining price and exchange rate stability. The Central Bank has the sufficient reserves to compensate for any depreciation, but the influx of hard currency continues at a good pace — remittances, FDI, tourism receipts, exports.
Tax reforms are planned for the first half of 2024 to further boost economic growth.
Key economic sectors include mining (especially gold and ferronickel), tourism, manufacturing (medical devices, electronics, pharmaceuticals), and agriculture.
Remittances are an important source of income, contributing $8.2 billion in 2020.
The Dominican peso depreciated slightly against major currencies like the US dollar, euro, and Chinese yuan as of 28 June 2024, while gaining against the Japanese yen.
Commodity prices were mixed, with increases in cacao, soybean oil and coffee, but declines in corn, wheat and soybeans. Oil prices fell slightly while coal prices rose.
Interest rates declined, with the average lending rate dropping 1.36 percentage points and the average deposit rate down 0.55 percentage points as of 26 June 2024. The prime interest rate is at 7%.
Read more in Spanish:
Ministerio de Economia
4 July 2024