Credit from commercial banks to the manufacturing industry increased last year by RD$16,997 million, equivalent to 17.3%, reported the Association of Multiple Banks of the Dominican Republic (ABA), explaining that this portfolio went from $98,134 million in December 2020 to RD$115,112 million in December 2021.
In a press document, the ABA specified that said balance was concentrated in 38,407 loan operations to the manufacturing industry at the end of 2021, according to figures from the Superintendency of Banks.
He highlighted that, during the last five years, commercial banks have increased their financing to the manufacturing sector by RD$51.125 million.
Going from RD$63,987 million in 2017 to RD$115,112 million at the end of 2021, showing an accumulated growth of 79.9% in said period.
Read more: ABA is now the Association of Multiple Banks of the Dominican Republic
The union recalled that these credit facilities are mainly intended to improve working capital, acquisition of raw materials, machinery and equipment, and technological development and innovation, in order to support and promote these activities.
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The ABA highlighted the banks’ interest in continuing to support this type of financing, due to the importance of this industry for the Dominican economy.
In that order, he highlighted that manufacturing concentrates 38% of the total jobs in the industrial sector of the Dominican Republic, that is, 139,140 workers.
Similarly, the ABA valued the thrust of this productive branch, which grew by 10.6% compared to the previous year in terms of added value, generated mainly in the processing of common metals, non-metallic mineral products, the manufacture of substances and chemical products. .
As well as beverages (alcoholic and non-alcoholic) and tobacco derivatives, among others, according to data from the Central Bank of the Dominican Republic.
About ABA
The Association of Multiple Banks of the Dominican Republic, Inc., is a Non-Profit Association, organized and governed under Law No. 122-05 on the Regulation and Promotion of Non-Profit Associations.
Adopted on April 8, 2005 and its subsequent modifications.
Decree No. 40-08 dated January 16, 2008, which establishes the Application Regulations of the Law of Associations and, by its Bylaws and the regulations and internal norms that emanate from the Board of Directors.
