The Dominican government’s goal of doubling gross domestic product (GDP) in the next 11 years implies raising per capita income from US$11,000 in 2024 to more than US$22,000 in 2036, through a sustained annual 6% growth that requires the participation of all productive sectors.
This goal requires fortifying human capital and increasing productivity. To do so, all the productive sectors where the greatest contribution falls on the energy, mining, tourism and financial sectors must be integrated.
In the case of the agricultural sector, the Government’s plans contemplate an increase in GDP from US$7,730 million to US$8,867 million in the next three years, with an annual growth rate of 4.4%, reaching US$13,604 million in 2036, meaning an average growth of US$450 million per year.
Similarly, the trade sector is expected to grow by an average annual 5.6% growth, going from US$12,966 million to US$26,058 million, according to data from the 2036 Goal published by the National Competitiveness Council.
As for the construction and real estate sector, it is estimated that its GDP will grow from US$26,094 million to US$50,437 million, with an annual growth rate of 5.2%.
The energy, financial, mining and tourism sectors are the ones with the highest growth projections. The financial sector foresees an increase in GDP from US$1,777 million to US$4,983 million, with an annual rate of 8.4%. While the energy sector is estimated to grow by US$733 million annually, reaching a GDP of US$18,718 million in 2036, implying a growth rate of 10.4% per year.
Mining is expected to grow by 12.5%, going from a GDP of US$1,238 million to US$6,486 million.
An annual growth of 11% is forecast for the tourism sector is forecast, going from a GDP of US$9,394 million to US$32,740 million.
Other sectors
The logistics sector is another in which the Government foresees a boom in the coming years, with an estimated annual growth rate of 5.5%, to reach US$20,235 million in 2036. While the free zones will go from US$3,710 million to US$8,167 million, with an annual growth of 5.5%.
As for local industry, the Government conservatively foresees a year-on-year growth of 2.9%, going from US$12,616 million to US$18,722 million.
Increase formal employment
In addition, the 2036 Goal contemplates reducing the informality of micro, small and medium-sized enterprises by 35%, from 56% at the end of last year to 21% in 2036. To achieve these estimates, the Government has appointed a group of experts who will be in charge of fostering public policies to reach the goal.
The plan explains that in that period local private investment in 2024 was 25.9% of GDP and it is estimated that it can be taken above 30% in 2036 in line with countries that have had high growth rates.
It adds that these lines of action are aimed at achieving several objectives, including increasing life expectancy from 75 years to 77 years in 2028 and to 81 years in 2036 and reducing rural multidimensional poverty to less than 10% in 2036.
Plans
— Goal
The government plan, presented initially in 2024, highlights that the ultimate goal of Goal RD 2036 is to eliminate national poverty and bring prosperity to all citizens living in the Dominican Republic.
Source:
