SANTO DOMINGO.– President Luis Abinader presented economic indicators that demonstrate that the Dominican economy is in good condition, strong, and growing.
The president said that the Dominican Republic's country risk stands at 200 basis points, the lowest in the country's history and below that of many countries with investment grade, such as Paraguay, Mexico, Panama, and Colombia.
The risk ratings for the third quarter of 2024 are as follows: Fitch Ratings BB- Positive; Moody's BA3 Positive and Standard & Poor's BB Stable.
He emphasized that all international economic agents today have the greatest confidence in the country's history.
President Luis Abinader Corona. (EXTERNAL SOURCE).
These statements were made by the president during the weekly press conference held in the Las Cariátides Hall of the National Palace, with the main topic this Monday being the “Dominican Economy: Strong and Growing”.
Exports
The head of state highlighted the sustained growth of foreign trade; according to the data provided, the volume of exports reached $13,853 million in 2024, showing growth from the $11,192.7 million recorded in 2019.
Monetary poverty 2015 to 2024
The president asserted that the quality of life for Dominicans has improved. Overall poverty has decreased by 19%, the lowest figure in the country's history, as has extreme poverty, which has fallen to 2.4%.
The overall poverty rate by sex showed a significant decrease between 2019 and 2024. In 2019, the percentage was 24.2% for men and 27.3% for women; in 2023 , it was 21.8% for men and 24.2% for women; and in 2024 , it was 17.8% for men and 20.1% for women.
The president highlighted that the reduction of poverty by 4 percentage points among women is a significant achievement, since this group had historically been the most resistant to poverty reduction.
The president highlighted the recovery of employment in the country, with an employed population of 5,050,930 people in 2024, which represents a significant increase compared to previous years.
Furthermore, he highlighted the increase in formal employment, which has risen from 41.8% in 2021 to 45.2% in 2024, reflecting the effectiveness of government strategies to improve working conditions.
As for NEET youth, unemployment has experienced a notable reduction, going from 28% in 2020 to 15% in 2024.
During his address, the president also highlighted the progress made in gender equality in the labor market. Women's participation in employment has increased from 43.4% in 2021 to 49.5% in 2024, demonstrating progress in women's inclusion in key sectors of the economy.
President Luis Abinader, referring to wages, highlighted that the Dominican Republic was the fourth country with the largest increase in the real minimum wage, with 20.6% in relation to 2018.
“All the increases we have made have been above the inflation level to supplement the minimum wage,” said President Abinader.
Economic condition of food quality and safety
Another point highlighted by President Abinader was the reduction in monetary poverty and the improvement in the food security . Regarding the economic quality of life and food insecurity, it fell from 6.3% in 2020 to 4.6% in 2023, and the projection for 2028 is that it will continue to decline to 2.5%.
Comparison of the basic food basket of the countries of the region
Regarding the cost of the basic food basket, President Abinader highlighted that the Dominican Republic has the second most affordable basic food basket in the region. Currently, the average price remains at $109.58, lower than in countries like Argentina ($162.45) and Uruguay ($167.11).
Economic growth
Real and nominal gross domestic product (GDP) of the Dominican Republic for the period 2020-2024.
In 2020, real GDP growth was -7.9% and nominal GDP was $78,481.4 million; in 2021 real GDP growth was 14.0% and nominal GDP was $95,122.8 million.
Meanwhile, in 2022, real GDP growth was 5.2% and nominal GDP was $113,908.1 million; in 2023, real GDP growth was 2.2% and nominal GDP was $120,759.6 million, and by 2024, real GDP growth was 5.0% and nominal GDP was $123,985.5 million.
GDP per capita
For the year 2020, the GDP per capita in dollars was USD 7,511.3; in 2021 it was USD 9,028.8; in 2022 it was USD 10,723.9; in 2023 it was USD 11,274.2 and in 2024 it was USD 11,484.7.
In this group we have hotels, bars and restaurants with 9.6; financial services 8.3; energy and water 7.0; transport and storage 5.7; trade 5.5; services 5.5; agriculture 4.9; education 4.4 and real estate activities 4.4.
Meanwhile, health 4.3; manufacturing free zones 4.3; local manufacturing 4.3; professional services 4.0; other service activities 3.8; communications 3.7; construction 2.1 and public administration 0.6.
GDP comparison by country
In this sense, the Dominican Republic ranks second, with 5% economic growth in the country-by-country comparison of GDP, in relation to countries such as Venezuela, Paraguay, Uruguay, Costa Rica, Honduras, Guatemala, El Salvador, Panama, Brazil, Chile, Ecuador, Bolivia, Colombia, Cuba, Argentina and Haiti, which has -2.0%.
Inflation rate 2020-2024
In this sense, in 2020 it was 5.55%; in 2021, 8.50%; in 2022, 7.83%; in 2023, 3.57%, and in 2024, 3.35%, which was a controlled inflation within the target range of the Central Bank.
Consolidated public debt
In August 2020 it was 61.0%, dropping to 57.5% by December 2024.
Central government fiscal deficit
In 2019 it was -3.5%; in 2020, -7.9%, and in 2024 it was -3.1%.
Foreign direct investment
Foreign direct investment in 2019 was $3,021 million; in 2020 it was $2,559.6 million and in 2021 it was $3,196.8 million.
Meanwhile, in 2022 it was $4,098.8 million; in 2023 it was $4,390.2 million and in 2024 it was $4,512 million.
Risk ratings
The country's risk rating stood at 200 basis points, lower than in other countries.
Business Climate Index (BCI) 2024
In the second quarter it was 61.1 points; in the third quarter it was 60.8 points and in the fourth quarter it was 64.7 points.
