Santo Domingo, DR. – The United States International Development Finance Corporation (DFC) announced on Wednesday the disbursement of loans of up to a total of US$84 million to the Reserve Bank of the Dominican Republic (Banreservas), with the aim of supporting the businesswomen, as well as the green loans and small businesses.
According to the international organization, which also reported its new regional office that will open in Santo Domingo in October 2024, The loans will have a guarantee coverage of US$42 million.
The announcement was made at the National Palace, in a ceremony led by the president Luis Abinader, who was accompanied by the CEO of Banreservas, Samuel Pereyra, the administrator of the United States Agency for International Development (USAID), Samantha Power; Minister of Foreign Affairs Roberto Álvarez; Chargé d’Affaires of the United States Embassy in Santo Domingo, Patricia Aguilera; and Deputy Executive Director of DFC, Nisha Biswal.
At the activity, where DFC’s commitment to promote the prosperity andIn the influential Caribbean nation and throughout the region, President Abinader stated that, in his interest in guaranteeing the well-being of Dominican working women, especially from the South of the country, stayed in touch with USAID Administrator Samantha Power to look for program alternatives that would help them with their small companies.
He added that, during a visit to San Juan de la Maguana, he spoke with small businesswomen and listened to their concerns related to semi-formal loans to high interest rates, So she was left with the feeling of what to do to help them and, in that order, she said that after starting this program she would like to visit this province to see the faces of these women and their joy of working to a much better extent and not with such high interests.
“That these women are also part of the development that we are doing in the San Juan economic planwhich is also an initiative of this government and which is working in different areas of the economy of San Juan and its development.”
To favor this sector, the head of State expressed that this important program emerged, which he described as very good, and said that he is committed to supporting it to help Dominican women and so that the development that a large part of the country has continues to reach the southern region. “They too can get on board the train of economic growth and be part of development.”
The president affirmed that he will continue to collaborate with the United States as partners in the defense of democracy, good practices, in the fight against corruption and in favor of transparency and comprehensive economic development for all Dominicans.
For her part, the Deputy Executive Director of DFC said that they are “committed to supporting the economic growth inclusive in the Dominican Republic through lin association with Banreservas, “which will increase access to financing for women and underserved populations in the country and help support small businesses and entrepreneurs.”
Likewise, the administrator of the United States Agency for International Development, after highlighting how ties between the United States and the Dominican Republic have been strengthened in recent years, noted that the president Abinader She sat at the dialogue table with a very specific concern, about women and vulnerable areas in the southern region of the country and highlighted the importance of alliances to be able to provide answers to concerns that can be translated into precise and tangible results.
He said that at the meeting he spoke with the president about what else they can do together due to the great economic growth that the Dominican Republic is experiencing and congratulated President Abinader for his second term at the head of the country’s destiny, which will begin next August 16th.
Meanwhile, the CEO of Banreservas highlighted that this constitutes a milestone in the Dominican financial system, as Banco del Reservas is the first and only bank in the Caribbean to obtain a guarantee of 84 million dollars from the Development Finance Corporation Guarantee Program.
She added that this new guarantee granted to Banreservas will allow for increased financing for small and medium-sized businesses, with special attention to small businesses led by women in the southern region of the country.
Loan guarantee to Banreservas
The new loan guarantee to the Dominican Republic’s largest bank will increase lending to small businesses, with a focus on underrepresented entrepreneurs, including women-owned small businesses, as well as green lending.
The guarantee, which is expected to support some 3,500 companies with loans of up to $500,000 per client, It is intended to help address the perceived increased risk in lending in the region.
DCEO Biswal’s announcement of the opening of the new DFC office – to be based at the U.S. Embassy in Santo Domingo – follows the CEO’s commitment to DFC Scott Nathan, in December 2023, to explore new investment opportunities in critical sectors, including support for small businesses, as well as projects that support climate resilience.
The new office will be DFC’s second in Latin America and the Caribbean, alongside a regional office in São Paulo, Brazil, and will support the agency’s efforts to fund more projects in the Dominican Republic and across the region.
DFC remains committed to growing its regional portfolio and expanding its presence in Latin America, including increasing its field presence in the Andean region and Central America.
The announcements align with goals set during several recent meetings of the Alliance of the Americas for Economic Prosperity, including the Leaders Summit in November 2023, where US President Joe Biden announced several initiatives to strengthen regional competitiveness and mobilize quality investments.
