SANTO DOMINGO.-The Dominican Confederation of Micro, Small and Medium Construction Companies (COPYMECON) announced yesterday that the Banco de Reservas has allocated a special portion of the legal reserve funds for small and medium construction companies.
“We are announcing that executives from Banco de Reservas called us to give us the news that they had considered our proposals and made the decision to make specialized resources available with soft interest rates for small construction and related companies,” reported Eliseo Cristopher, president of the entity, yesterday.
Cristopher recalled that this institution has been pointing out for years that the Central Bank of the Dominican Republic (BCRD) and the Monetary Board have released billions of pesos through the legal reserve and Rapid Liquidity Facility (FLR) placed in financial intermediation entities for soft loans to productive sectors of the country, which small construction companies have not been able to access.
Representatives from the sector were present at the press conference to announce the measure. (External source).
"We are informing the entire micro, small and medium-sized construction and related business sector, and the general public, that our proposals have been considered by Banreservas, which has allocated a special fund to grant loans to MSMEs.".
Construction executives congratulated the government, Samuel Pereyra, general manager; and Isidro García, deputy business manager of Banco de Reservas, for approaching the institution to share information about the measure, assuring that this marks the beginning of the sector's takeoff to continue contributing to the country's development.
For his part, Juan B. Mora, vice president of COPYMECON and president of APYMECONA Azua, expressed that if the measure materializes, they would be on the verge of the take-off of the construction sector and the growth and promotion of the economy, in addition to impacting the problem of the housing deficit and other social scourges that impede the development of the nation.
Constant struggle
On several occasions, COPYMECON demanded that the authorities include small construction companies in the measures adopted by the Central Bank of the Dominican Republic (BCRD), pointing out that the increase in interest rates, a conservative attitude in public investment, and high prices in materials have disadvantaged the construction sector, forcing the readjustment of infrastructure project budgets and generating negative figures.
Another problem highlighted by the entity is that financial intermediation entities must relax their requirements to allow the participation of small businesses, as well as fight to create actions aimed at promoting a more inclusive financial system, where we can all have opportunities in the country's economic development plans.
In addition to requesting a special fund of RD$10 billion to capitalize the MSME sector of construction and contribute to boosting construction and reducing the housing deficit, a social problem demanded by the population for years.
Cristopher stated that the members of the organization throughout the country have received the announcement from Banreservas with jubilation and great enthusiasm and have immediately begun preparing their application documents for funds to undertake the revitalization of the economy and the construction of projects in their districts.
Representatives from different provinces of the country were present at the press conference to announce the information, including members of the young entrepreneurs association, women builders, entrepreneurs, among others.
