Given the instability and high international cost of oil and raw materials, the executive vice president of the Association of Industries of the Dominican Republic (AIRD), Circe Almánzar, understands that the Government must reformulate this year’s National Budget to prevent these increases are transferred to the population.
“We understand that yes, the President is probably going to have to make a reformulation. Everything will depend on how prices fluctuate, but in itself, what has happened in the last three weeks implies a diversion of resources that were intended for other areas of greater emergency,” said the businesswoman, when asked by journalists. that if he considers it appropriate to reformulate the 2022 Budget.
Given the situation, he called on the authorities to enable popular markets and focus subsidies on vulnerable sectors so that they are not affected by the economic situation resulting from the international fuel instability.
In Almánzar’s opinion, in any case, the country must be aware that there are very few actions that can be taken to deal with price volatility, which is why he pondered that a great understanding of what is happening is required to assume a attitude of crisis and more austerity.
The total amount of this year’s budget is 1,155,565.3 million pesos, made up of RD$871,485.9 million of internal income and RD$284,079.4 million of loans. The global value breaks down into RD$1,046,280.7 million for expenses of State operations and RD$109,284.6 million for debt repayments.
hydrocarbon law
Circe Almánzar explained that currently there are no exceptions to the productive sector for fuel consumption, and clarified that those who receive subsidies are some self-generating companies or electricity companies. “They are basically subsidies or exceptions that are established to prevent the price of electricity from increasing,” she stressed.
He assured that to the extent that these exceptions are eliminated, the price of energy will become more expensive. Therefore, he recommended that in the hydrocarbon law reform project that the Executive Branch submitted to Congress, it should take into account what measures are going to be required, whether it is to increase the price for energy or lower it, and make an exception of the fuel.
domain extinction
The executive vice president of the AIRD said that the domain extinction bill that is being studied in Congress will cover everything related to income-generating movements and is not focused on a specific sector but on everything related to the causes for which money is obtained that does not come from a lawful activity. The regulations can be applied to any money laundering activity or predicate offences.
“Any type of activity that is not duly clarified as to its lawful origin,” he said.
As the bill is broad, the businesswoman indicated that the AIRD has been analyzing with the bicameral commission in charge of the initiative some aspects that could prevent it from being so broad, so that it could affect the investment climate.
Circe Almánzar values abundance of food
Circe Almánzar stressed that despite the situation the world is going through with the rise in fuel prices and the Dominican Republic not producing fuel or being able to stop such increases, it should be noted that the country has a good supply of essential products. contrary to other nations. In that sense, she said that the AIRD has worked in a coordinated way so that the products can reach the population.
