{"id":12044,"date":"2026-01-14T19:52:07","date_gmt":"2026-01-14T19:52:07","guid":{"rendered":"https:\/\/dmklawyers.com\/?p=12044"},"modified":"2026-01-14T19:52:11","modified_gmt":"2026-01-14T19:52:11","slug":"the-united-nations-projects-the-dominican-economy-will-grow-above-3-5-this-year","status":"publish","type":"post","link":"https:\/\/dmklawyers.com\/en\/the-united-nations-projects-the-dominican-economy-will-grow-above-3-5-this-year\/","title":{"rendered":"The United Nations projects the Dominican economy will grow above 3.5% this year"},"content":{"rendered":"\n<ul class=\"wp-block-list\">\n<li>United Nations Report States That Growth Will Be Driven by Domestic Consumption and Investment<\/li>\n<\/ul>\n\n\n\n<p>The economy of the Dominican Republic, together with Costa Rica and other Central American countries, is expected to grow above 3.5% in 2026, supported by domestic consumption and investment.<\/p>\n\n\n\n<p>This projection is outlined by the United Nations (UN) in its report <em>World Economic Situation and Prospects 2026<\/em>, which also estimates similar growth for Guatemala, Honduras, Panama, and Paraguay.<\/p>\n\n\n\n<p>The report anticipates that Latin America and the Caribbean will grow by 2.3% this year and 2.5% in 2027, albeit with heterogeneous performance, shaped by domestic fiscal constraints and a more challenging external environment.<\/p>\n\n\n\n<p>The UN revised its 2026 forecast upward by one-tenth of a percentage point to 2.3% compared to its previous report, and improved its 2025 projection by four-tenths to 2.4%.<\/p>\n\n\n\n<p>According to the United Nations, growth is expected to rebound to 2.5% in 2027, driven by private consumption and a gradual recovery in investment.<\/p>\n\n\n\n<p>The organization notes that short-term prospects remain generally resilient, supported by solid consumption, improved financial conditions in 2025, and relatively stable commodity prices.<\/p>\n\n\n\n<p>However, it warns of downside risks stemming from a potential slowdown among major trading partners, tighter global financial conditions, and heightened uncertainty\u2014particularly related to new U.S. tariffs and changes in migration policies.<\/p>\n\n\n\n<p>In the Caribbean, excluding Guyana, growth is expected to remain subdued at around 1.6% in 2026, slightly below 2025 levels, due to high debt burdens and significant climate vulnerability.<\/p>\n\n\n\n<p>By contrast, Guyana is expected to continue posting strong growth as a result of the ongoing oil boom.<\/p>\n\n\n\n<p><strong>Inflation and Employment<\/strong><\/p>\n\n\n\n<p>Inflation in the region is expected to continue moderating, albeit at a slower pace. The UN projects inflation at 4% in 2026, compared to an estimated 4.5% in 2025.<\/p>\n\n\n\n<p>Two-thirds of countries recorded declines in inflation in 2025, with notable improvements in Argentina, Cuba, and Suriname.<\/p>\n\n\n\n<p>Nevertheless, returning inflation to target ranges has proven more challenging in economies such as Brazil and Colombia, where core inflation remains elevated.<\/p>\n\n\n\n<p>The labor market remained relatively stable. In 2025, unemployment declined or remained low in Brazil, Costa Rica, the Dominican Republic, Paraguay, and Uruguay.<\/p>\n\n\n\n<p>In Brazil, the unemployment rate fell to 5.6% in August 2025, the lowest level in several decades. However, countries such as Ecuador, Paraguay, and Peru have yet to fully recover pre-pandemic labor force participation levels.<\/p>\n\n\n\n<p>The report also highlights that limited fiscal and monetary policy space continues to constrain governments\u2019 ability to stimulate growth.<\/p>\n\n\n\n<p>Although regional public debt declined from 76.1% of GDP in 2020 to an estimated 70.7% in 2025, debt levels remain elevated, and interest costs exceed 5% of regional GDP.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The economy of the Dominican Republic, together with Costa Rica and other Central American countries, is expected to grow above 3.5% in 2026, supported by domestic consumption and investment. This projection is outlined by the United Nations (UN) in its&#8230;<\/p>\n","protected":false},"author":9,"featured_media":12042,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"_kad_blocks_custom_css":"","_kad_blocks_head_custom_js":"","_kad_blocks_body_custom_js":"","_kad_blocks_footer_custom_js":"","_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"footnotes":""},"categories":[149],"tags":[],"class_list":["post-12044","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-investment-in-dr"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.9 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ 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