The Minister of Finance, José Manuel -Jochi- Vicente, assured yesterday that in August 2020, the current Perremeist administration received the debt stock of the Non-Financial Public Sector (NFPS) equivalent to 49.7% of the gross domestic product (GDP). By June 2023, it has managed to reduce the balance to 44.8 %.
The detail was published in a tweet from its account on the social network Twitter.
“In the last two years, our country has been the fourth country that has most reduced its debt in relation to the size of the economy,” the minister said.
The minister cited that the International Monetary Fund’s Article IV noted in June 2023 that the Dominican Republic “has a moderate risk of sovereign stress and debt is assessed as sustainable…public debt is on a downward trajectory as the recovery…has been strong and fiscal consolidation was brought forward in 2021″.
According to the most updated quarterly data published by the Public Credit General Directorate of the Ministry of Finance, the NFPS debt represented 56.6 % of GDP at the end of 2020 and had decreased to 44.9 % in March 2023.
However, when looking at the debt in monetary terms, an increase was recorded. At the close of 2020, it amounted to US$44,622.3 million, and by March it had increased to US$54,942.9 million.
In total, the consolidated public debt (which includes internal and external public debt) of the Dominican Republic rose from US$54,469.3 million in December 2020 to US$71,944.3 million as of March 2023.
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