Hacienda Minister José Manuel (Jochi) Vicente rejected accusations that the government is taking on more debt than it can handle. The statement is made after the ruling party majority Chamber of Deputies approved more than US$625 million last week in new foreign debt.
Hacienda Minister said that international organizations such as the International Monetary Fund (IMF) have already said the country’s debt level is sustainable. Vicente also remarked that Standard & Poor (S&P Global) had upgraded the DR’s credit rating in December 2022.
He recalled that since it became government in August 2020, the current administration has had to face almost three external shocks that inevitably have impacted the country’s level of indebtedness. He said in recent years, the country took on new debt to deal with the Covid-19 and Ukraine war issues, including purchase of vaccines, fuel subsidies and social assistance plans.
“The debt issue is not to be worried about,” said Vicente. He said the current management has been very responsible, and there is a proactive strategy in place.
Hoy reports that in 2023, Congress has approved almost US$4 billion in loans. In the past three years, the country has borrowed more than US$22 billion.
10 July 2023