Local Santo Domingo Stock Exchange stockbroker Santiago Camarena of Alpha Investments is hopeful that in less than three years companies will be putting their shares on a public market. At present, the Santo Domingo Stock Exchange only deals in commercial paper. Camarena is optimistic that by then tourism, agriculture, construction, real estate and public-private alliances will start to benefit from capital markets.
The stockbroker forecast that “companies that decide not to participate in the stock market are going to realize that it is going to be much more difficult to compete.” He said the local stock market has, little by little, consolidated itself and that the regulations will be approved to strengthen the sector by the end of 2019.
In an interview in Diario Libre, Camarena highlighted: “A strong stock market is a requirement for a developing nation that wishes to achieve a stable and robust economy.” He remarked that at the present time the Dominican stock market is highly concentrated with debt certificates from the government. About 96% of the bonds that are traded in the market are issued by the Central Bank of the Dominican Republic and by the Ministry of Hacienda. He noted that on the one hand there is very low risk because these are government issued certificates, but on the other hand, this concentration is very high.
Read more in Spanish:
Diario Libre
El Dinero
1 October 2018
