He asserts that the country's multiple banks have no correspondent banking business ties with Silicon Valley Bank and Signature Bank, entities that recently closed operations in the United States of America.
SANTO DOMINGO.- The Dominican Republic's Association of Multiple Banks (ABA) highlighted that one of the foundations of Dominican economic stability is the resilience and robustness of the financial system's indicators, which occupy top positions in the region in terms of liquidity, profitability, low delinquency and solvency.
In this regard, the ABA reported that the equity solvency of multiple banks (an indicator that measures the degree of robustness of capital) stood at 15.3% as of December 2022, well above the 10% regulatory requirement; meanwhile, the portfolio delinquency rate, measured through the delinquency index, stood at 1.0%, and the coverage ratio at 427.8 as of January of this year, indicators that reflect a healthy state in the banking assets of the Dominican Republic.
Regarding the international context, the association reaffirmed that, as reported by the Monetary Board, the country's multiple banks have no correspondent banking business ties with Silicon Valley Bank and Signature Bank, entities that recently closed operations in the United States of America.
He also recalled that the country managed to emerge successfully from the 2008 global crisis, thanks to the regulations implemented since the first decade of this century in the financial system and the continuous strengthening of multiple banking in capitalization and comprehensive risk management and innovation.
In a press release, the ABA emphasized that multiple banks and the regulatory and supervisory authorities of the financial system maintain constant, real-time communication in order to monitor the sector's operations and maintain a proactive approach to any situation that could affect the Dominican Republic.
“We reaffirm our commitment to the well-earned trust that users place in the banking sector, by entrusting their resources to us so that, in turn, we can continue making multiple investments and facilitating loans to boost productive sectors and the well-being of Dominican families,” the association stated.
