The risk rating agency Fitch Ratings maintained the perspective of the Dominican Republic stable and reaffirmed the BB rating, highlighting in its recent report that the evaluation is supported by a history of solid economic growth, a diversified export structure and favorable governance scores.
The rating agency highlighted in its publication that government subsidies to contain fuel, electricity and food prices have prevented a further increase in inflation in 2022, the Ministry of Finance reported in a press release.
Regarding debt, the firm projects that this, as a percentage of gross domestic product (GDP), will decrease to 47.1% this year and will remain stable around 48% in the future, below the “BB” average. which is around 54%. In the document, it mentions the challenges that may be faced in 2023 due to rate levels, however, Fitch acknowledges that the country has a considerable margin of cash, which offers it greater flexibility to take advantage of the financing markets of strategically combined with an increase in the availability of financing with multilaterals.
The Minister of Finance, Jochi Vicente, said that maintaining the rating in an adverse world economic scenario, after an improvement in the outlook last year, is the product of the Government’s constant effort to maintain the balance of the fiscal accounts and the growth of the country.
Meanwhile, the Vice Minister of Public Credit, María José Martínez, said: “As a Government we have improved most of the global governance indicators and we are going to continue our work in that direction, with the goal that the country achieves, in the least time possible, the degree of investment.
