Valdez Albizu pointed out that the construction sector is very important for the development of the Dominican Republic because of its multiplier effect on investment and economic activity, being a great generator of jobs.
SANTO DOMINGO – During this year and until 2024, it would be possible to develop around 10,000 low-cost housing solutions through the release of the Legal Reserve, ordered last January by the Monetary Board, representatives of the construction sector assured yesterday.
In a meeting with the Governor of the Central Bank of the Dominican Republic (BCRD), Héctor Valdez Albizu, the construction companies expressed their firm intention to cooperate for the success of the measures adopted, noting that they are optimistic about their performance in 2023, counting on the appropriate supervision of the regulatory body.
Valdez Albizu held a meeting with representatives of the Dominican Association of Housing Builders and Promoters (ACOPROVI), the Association of Housing Promoters and Builders of Cibao (APROCOVICI) and the Dominican Chamber of Construction (CADOCON), in order to review the efficient use of the resources provided by the Monetary Board (JM) for the acquisition of low-cost housing.
During the meeting held at the BCRD headquarters, Valdez Albizu pointed out that, at the end of 2022, RD$21,424.4 million were returned to the Central Bank corresponding to a process of resources released from legal reserve, carried out in 2017, for the financing of housing at that time.
He stated that the Monetary Board authorized the reallocation of RD$21,424.4 million to the construction sector, 80% of which will be allocated to the acquisition of low-cost housing,This, combined with the ITBIS bonus and the Rate Bonus, among others, would facilitate the acquisition of the first home for the final beneficiaries.
The remaining 20% would be directed to interim loans for the construction of these low-cost homes, which together with the tax benefits granted for this type of construction, would boost its supply, says a statement from the Central Bank.
It also establishes that financial intermediation entitiess These loans must be channeled at an interest rate not exceeding 9.0% per annum, with terms of up to five years for purchasers of housing and two years for construction (temporary).
Valdez Albizu pointed out that the construction sector is very important for the development of the Dominican Republic because of its multiplier effect on investment and economic activity, being a great generator of jobs.
The governor indicated that 'an economy that does not build does not advance to the extent desired by a country, not only in terms of housing, but also in the creation of key infrastructure for growth and development.
Representatives of the Dominican construction sector expressed their satisfaction with the measure.
The governor was accompanied by the vice-governor of the Central Bank of the Dominican Republic (BCRD), Clarissa de la Rocha de Torres; the manager, Ervin Novas Bello; the deputy manager of Monetary, Exchange and Financial Policies, Joel Tejeda Comprés; the deputy manager of National Accounts and Economic Statistics, Ramón González Hernández; and the economic advisor to the Governor, Julio Andújar Scheker.
Also present were the director of the Department of National Accounts and Economic Statistics, Elina Rosario; the director of the Department of Monetary Programming and Economic Studies, Joel González; and the director of the Department of Regulation and Financial Stability, Carlos Delgado.
The delegation from the construction sector was composed of the president of ACOPROVI, Jorge Montalvo; the president of CADOCON, Raúl Rizek; the president of APROCOVICI, Alejandro Fondeur; and the engineer Rafael Bisonó.
Also present were the members of the board of directors: Erick Bueno, Annerys Meléndez, Guido Rosario, Santiago Colomé, Fermín Acosta, Jaime González, and Héctor Bretón.
