The Medina administration has announced more spending aimed at reactivating the economy and encouraging new investment and growth. The government said that RD$9.07 billion would be injected into a series of projects with immediate effect. Administrative Minister of the Presidency Jose Ramon Peralta and Minister of Hacienda Simon Lizardo made the announcement at the Presidential Palace yesterday, Thursday 2 May. They said the measures were aimed at creating more jobs, reviving the economy and enhancing citizen safety.
On Monday, 6 May around half of the RD$4.39 billion allotted funds will be injected into 13 government institutions. All projects and works need to be finished before the end of the year. The Ministry of Public Works will receive RD$3 billion for road improvements. The Ministry of Public Health is being assigned RD$1.5 billion for primary health centers.
Peralta said this is in addition to RD$28 billion already available for the construction of 10,000 classrooms in 2013, and RD$3 billion for construction of 100 daycare centers.
There will also be RD$800 million for low-cost housing and RD$800 million for the citizen safety program, of which RD$400 million is for road safety and RD$400 million for surveillance equipment.
RD$1 billion worth of small business financing was announced. The Agriculture Bank (Banco Agricola) gets RD$1 billion for farming loans. Minister Lizardo says that the measures can be implemented due to the RD$15 billion budget surplus and the control of the fiscal deficit. He said the government had planned for a deficit of 0.7% of GDP and was able to reduce it to 0.1% of GDP. He said that revenues in April exceeded projections by RD$2.5 billion. He said the government has a budget management surplus of RD$9.07 billion.
The funding allocations are broken down as follows:
Ministry of Public Works: RD$3 billion
Supervisory Office of Public Works of the Presidency: RD$1.5 billion
National Housing Institute (INVI): RD$800 million for new housing and home repairs.
National Institute of Water Resources (INDRHI): RD$611.6 million.
Santo Domingo Water Corporation (CAASD): RD$400 million.
La Vega Water Corporation: RD$119 million
La Romana Water Corporation: RD$452 million
Santiago Water Corporation (Coraasan): RD$452 million
Puerto Plata Water Corporation (Coraaplata): RD$150 million
Moca Water Corporation (Coraamoca): RD$100 million
Presidential Provincial Development Commission: RD$500 million
Citizen Safety Plan: RD$800 million
www.elcaribe.com.do/2013/05/03/gobierno-anuncia-plan-para-reactivar-economia