The Dominican economy is expected to get a boost today. The government is paying RD$2,300 million in Christmas salaries today. Sales in the DR have been depressed due to restrictions on the money in circulation. El Siglo newspaper reports that the director of the Centro de Investigación Económica de las Antillas (Cenantillas), Pedro Silverio feels that the government and private company Christmas salaries will boost the economy as has occurred in previous years. But Antonio Espin, president of the Herrera Association of Industries, doubted the bonus would be enough to activate the depressed economy. He feels the present recession will last through April of next year. In addition to the restrictions on the money supply, the country awaits the implementation of new taxes at present being studied by Congress. Ignacio Mendez, another business community leader, shares Espín’s lack of optimism. He told El Siglo that the economy in December will be traumatic, discouraging, as everyone waits for the final outcome of congressional deliberations. Mendez says there is a situation of economic paralysis as a result of the lull in money in circulation and the arrears in payments that is having a domino effect on the economy. On the other hand, the Banco Popular reported weekend financing of 750 cars in a car-financing fair. There is a scramble to buy cars and appliances prior to the increases in taxes expected as of January 2001.
