SANTO DOMINGO.- The president of the Association of Housing Developers and Builders of Cibao (APROCOVICI ), Sandy Rodríguez, described 2025 as “a year of weak performance and sustained contraction” for the construction sector of the Dominican Republic.
Rodríguez explained that the industry registered an estimated drop of 2.3% in the first half of the year and a projection of -1.2% at the end of the year , noting that these figures demonstrate the downward pace of construction activity throughout the region.
He indicated that the situation is due to a combination of adverse factors, such as high interest rates, the sustained increase in the costs of materials and labor, as well as pressures derived from the international environment.
He added that these conditions have limited access to financing for both developers and homebuyers, affecting the execution of projects and reducing the ability to start new works.
Rodríguez highlighted that the international economy increased caution among investors and developers, generating delays in planning and strategic decision-making.
Despite the country's historically low country risk levels, he argued that the sector requires greater public investment and structural reforms to avoid further stagnation.
The union president stressed that bureaucracy in the permitting processes continues to be one of the main obstacles , affecting the efficiency and planning of projects.
He also pointed to the shortage and rising cost of labor as a key factor that has impacted the sector's costs and productivity during the year.
Rodríguez explained that the widespread increase in input costs has also reduced the profitability of projects, increasing the complexity of maintaining the industry's usual dynamism.
Despite this situation, he highlighted the resilience of the developers , who have sought alternatives to adjust their working models and continue operating amidst economic pressures.
He indicated that APROCOVICI has played an active role throughout the year, promoting dialogue with the relevant authorities and representing the interests of the sector before the various competent bodies.
Rodríguez added that 2025 was also a year of institutional strengthening, in which the association consolidated its role as a space for technical support and representation for its members.
Outlook for 2026
Looking ahead to 2026, Sandy Rodríguez noted that APROCOVICI believes that the potential reactivation of housing, infrastructure, industry, and energy projects could revitalize the sector, provided that greater macroeconomic stability and a more predictable financial environment are achieved.
The entity also sees opportunities focused on sustained housing demand and the promotion of public-private partnerships , in addition to the fact that a potential decrease in interest rates and an improvement in permitting processes would be key to reactivating the industry.
History
APROCOVICI was founded on June 25, 2000, in response to the need to bring together developers committed to the sustainability of the housing and real estate sector and to the urban development of Cibao.
Since then, the association has worked to strengthen the housing ecosystem, currently integrating 175 active members and 47 related members, consolidating itself as a regional benchmark in construction and urban development.
