Citing the “efficient and proactive” handling of the nation’s public debt, the risk assessment agency Moody’s has improved its rating of Dominican bonds, from Ba3 Stable to Ba3 Positive. The Ministry of Hacienda reported this good news in a press communiqué that also noted that Moody’s mentioned such things as an effective fiscal policy, improving cash flows, and a strong economy with growing Gross Domestic Product (GDP). These aspects were coupled with resilience in the face of external pressures such as oil prices, the pandemic and the events in the Ukraine, which all came together for the agency to improve its risk assessment for the country.
One of the brightest aspects in the financial arena, as cited by Moody’s, is the reduction of the Non-Financial Public Sector Debt, which was lowered from 57% of GDP in 2020 to 46% of GDP at the close of the 2022 fiscal year.
The Ministry of Hacienda highlights that the above improvements have helped the Dominican authorities reach their goal of Investment Grade bonds and securities. It was also noted that the DR also reached the level of BB in the risk assessment levels of Standard & Poor’s (S&P) evaluations at the end of 2022.
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Diario Libre
14 August 2023