He Central Bank of the Dominican Republic (BCRD) decided to keep his monetary policy interest rate (TPM) at 5.25% annually, while the permanent liquidity expansion facility (overnight repos) remains at 5.75% annually and the interest-bearing deposits rate (Overnight) will continue at 4.50% annually.
For this measure, taken at its meeting of monetary policy December 2025, the levels of global uncertainty and the recent inflationary pressuresmainly associated with the impact of climatic phenomena on food prices, as communicated today by the BCRD through a press release.
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The institution reduced the MPR by 50 basis points cumulatively since September, with the objective of promoting monetary conditions that contribute to boosting domestic demand and implemented the liquidity provision program of 81,000 million pesos, approved by the Monetary Board, to channel financing to the productive sectors under favorable conditions.
Likewise, they adopted macroprudential measures with the objective of safeguarding the strength of the financial system, which has high levels of capitalization, liquidity, solvency and quality of its credit portfolio, according to the institution.
The bank reported that to the extent that the transmission mechanism of the monetary policy A significant decrease has been observed in recent months in the interbank interest rate, going from a maximum of 12.6% in June to 7.1% in December of this year.
Bank fees
During 2025, the average passive rate weighted multiple banking decreased from 9.8 to 6.0% annually in December while the average active rate weighted fell from 15.1 to 13.2% annually during the current year.
Meanwhile, the credit to private sector In national currency, it would register year-on-year growth of around 8.3% at the end of the year, driven by loans for construction, home acquisition, commerce, and hotels and restaurants.
“It is important to highlight that the dominican economy “It has strong fundamentals and a resilient productive sector, which are reflected in a better perception of country risk in relation to the average of Latin America and other emerging economies,” highlighted the Central Bank.
