The placement registered a demand exceeding US$5 billion, more than three times the amount offered, a result that reflects the strong confidence of investors in the Dominican economy, highlights the Ministry of Economy and Finance.
SANTO DOMINGO- The Government of the Dominican Republic, through the Ministry of Finance and Economy, reported that it successfully carried out a sovereign bond issuance in international markets for a total amount of US$1.6 billion, with a maturity of 10 years and a rate of 5.875%.
With this issuance, the government fully covers the external financing needs corresponding to the fiscal year 2025.
The placement registered a demand exceeding US$5 billion, more than three times the amount offered, a result that reflects the strong confidence of investors in the Dominican economy, in the prudent and responsible management of fiscal and monetary policy.
“The strong and diversified international demand confirms the Dominican Republic’s position as a reliable and benchmark issuer in emerging markets,” highlighted the Minister of Finance and Economy, Magín Díaz.
He noted that the result is particularly noteworthy considering the international environment characterized by high financial volatility and persistent pressures on global rates, positioning this issuance among the most competitive achieved by the Dominican Republic in its recent history, as well as among the most favorable in Latin America during the current year.
He also said that the operation takes place in a context where the country risk of the Dominican Republic, as measured by the JP Morgan EMBI index, is at its lowest historical level, around 200 basis points, reflecting the sustained confidence of international markets in the macroeconomic soundness, fiscal discipline, good management of the Central Bank, and the political and institutional stability of the country.
“This successful issuance reaffirms the Dominican Republic’s credibility in international markets. We have closed this year’s financing program under favorable conditions and in full compliance with the Fiscal Rule, strengthening our fiscal sustainability and our capacity to respond to a challenging global context,” the official stated.
For her part, the Deputy Minister of Public Credit, María José Martínez, stated that “the oversubscription and the rate achieved demonstrate the high level of investor confidence in the country's economic and debt management. This operation will provide the necessary resources to strengthen public investment in capital projects, boosting economic growth and national competitiveness.”.
The funds obtained will be used in accordance with the 2025 General State Budget Law, with a focus on infrastructure projects and investment works in sectors such as transport, energy, water, health and education, in line with the Government's commitment to a prudent, transparent and sustainable fiscal policy.
With this issuance, the Dominican Republic consolidates its position as one of the most solid and consistent issuers in Latin America, managing to access international markets under competitive conditions despite the complicated global financial environment.
