SANTO DOMINGO.-The Dominican economy grew 4.9% in 2022, according to the latest report from the Central Bank, which details that the results during the past year were able to be achieved despite the challenging global situation.
“Real gross domestic product (GDP) registered a growth of 4.9% in 2022, after the monthly indicator of economic activity (IMAE) experienced a year-on-year variation of 3.3% in December, in line with the latest projections of this institution,” the Central Bank explained in a statement.
The Central Bank indicates that the global economy during 2022 was affected by the significant impact of two successive shocks, the first being the lagged effects of the COVID-19 pandemic and the second being Russia's invasion of Ukraine.
It notes that the aftermath of these events was reflected in aggregate supply constraints and inflationary pressures globally, mainly due to:
- To disruptions in supply chains
- High commodity prices,and increased container shipping costs.
The governing body states that, as a consequence, most countries adopted a restrictive monetary stance to control upward price pressures.
GDP Expansion
Furthermore, it highlights that the GDP expansion in 2022 reflects the strong macroeconomic fundamentals of the Dominican Republic, as well as its resilience to external shocks.
According to the official document, this strength, together with the timely and prudent implementation, as demanded by events and circumstances, of economic policy decisions, both monetary and fiscal, as well as the climate of social peace, transparency and legal security, have been key to maintaining economic stability and the flow of local and foreign investment in the country.
Regarding nominal GDP, the Central Bank indicates that an increase of about $18.476 billion is projected, bringing it to around $114 billion, which further improves the debt-to-GDP ratio compared to the previously estimated figure.
It also details that this figure allows for a GDP per capita of approximately $10,700 in 2022, higher than the $8,971.9 verified in 2021, placing the country as the seventh largest economy in Latin America.
