President Luis Abinader announced Wednesday, 4 September 2024 that the Dominican government is giving priority to new infrastructure investments as part of its sustainable development strategy. Abinader was a keynote speaker at the 27th Annual Conference of the Development Bank of Latin America and the Caribbean (CAF) on Infrastructure Investment in Latin America and the Caribbean in New York on Wednesday.
Speaking in English, President Abinader said in New York:
“We are fully committed to paving the way for new infrastructure investments which are essential to driving sustainable development and achieving a virtual circle of prosperity and growth in the Americas. Inclusive and sustainable economic growth, political stability and individual freedom are intrinsically linked and can only truly thrive in a democratic system that protects human rights. Development within a democracy is a fundamental factor in delivering the fruit of that democracy to all of our citizens. Working on these goals is the most valuable legacy we can to our future generations.”
In his keynote address, Abinader emphasized the Dominican Republic’s impressive economic performance and investment potential.
Abinader noted that the Dominican economy has achieved a remarkable 5% average annual growth over the past 50 years, resulting in a Gross Domestic Product (GDP) exceeding US$130 billion. This places the Dominican Republic as the seventh-largest economy in Latin America and the Caribbean.
The President attributed the country’s robust economic performance to macroeconomic stability, which has fostered a favorable business climate and attracted significant foreign direct investment. Recent years have seen such investments represent approximately 4% of the GDP, one of the highest rates in the region.
Abinader highlighted that this economic stability has been recognized by major credit rating agencies, including Fitch, Standard & Poor’s, and Moody’s, which have recently upgraded their ratings or outlooks for the country. Additionally, the Emerging Markets Bond Index (EMBI) shows that the Dominican Republic’s country risk is lower than that of other investment-grade nations, facilitating access to financial markets at reduced costs.
Addressing an audience of experts, Abinader emphasized the importance of developing innovative approaches to ensure timely and adequate international financing for infrastructure projects. He cited plans for significant investments in the energy sector, including US$5.4 billion in the coming years to enhance generation, transmission, and distribution capabilities. Key goals include achieving a cold reserve by 2027 and increasing renewable energy generation to 30% by 2030.
On the topic of logistics, Abinader detailed the Dominican Republic’s development of physical and human infrastructure to establish itself as a world-class logistics hub. The country currently operates 10 maritime ports handling international cargo and 8 airports connecting to 170 global destinations. Notable projects include new tourist ports, fishing docks, and a major multimodal logistics terminal at Manzanillo, aimed at boosting exports to the US East Coast.
The President also highlighted the nation’s dynamic private sector, which is actively involved in public-private partnerships to expand and operate ports and airports. Recent open skies agreements with the US and Canada further enhance connectivity, a crucial element for trade, tourism, and investment.
Abinader underscored the strength of the Dominican Republic’s tourism sector, particularly from Punta Cana to Miches on the East Coast, and gave insights into the emerging tourism hub in Pedernales. He also mentioned the revitalization of Puerto Plata’s tourism zone with the Playa Bergantín project, which will feature a range of amenities including an academic campus, film studio, golf course, and extensive road infrastructure.
In terms of technology, Abinader has prioritized the semiconductor industry through a national strategy aimed at fostering innovation and development in this sector. He also spoke about the country’s mining sector. He said the country is receiving assistance from the US Army Corps of Engineers for the exploring of rare earth elements, while adhering to international mining standards.
“Our government supports businesses, employment, growth, and innovation,” Abinader concluded. “We invite you to visit the Dominican Republic soon.”
On Wednesday, Abinader traveled to Washington, DC. In the US capital, on Thursday, 5 September 2024, he will give the keynote at the 27th Annual Conference of the Development Bank of Latin America and the Caribbean (CAF) at the Organization of American States (OAS) headquarters. The event is organized by the Inter-American Dialogue, CAF-Development Bank of Latin America and the Caribbean, and the Organization of American States.
Accompanying the President are Foreign Minister Roberto Álvarez, Finance Minister Jochy Vicente, and Industry & Commerce Minister Víctor Bisonó.
During his visit in Washington,DC, Abinader is expected to meet with executives from the Center for Strategic and International Studies (CSIS), the Inter-American Dialogue, and OAS Secretary General Luis Almagro. The President plans to return to the Dominican Republic on Thursday night.
Read more:
Presidency
Diario Libre
Fitch Ratings
DR1 News
5 September 2024