Spanish
In its session of June 13, 2025, the Monetary Board (MB) authorized the Central Bank of the Dominican Republic (BCRD) to release resources from the legal reserve for RD$50 billion, 2.4% of the liability subject to legal reserve. These resources must be granted at an interest rate no higher than 9% per annum and terms of up to two years, for economic sectors with a broad impact on productive activity, such as construction, manufacturing, exports, agriculture, as well as for micro, small and medium-sized enterprises (MSMEs).
For the adoption of these measures, the Monetary Board took into consideration the high levels of uncertainty and volatility of the international landscape associated with multiple geopolitical conflicts worldwide; as well as the liquidity levels of the financial system, the upward trend of interest rates at the national level and the moderation of credit to the productive sectors.
In that sense, the objective of this program is to provide the financial system with liquid resources to facilitate credit to the productive sectors and contribute to boosting the pace of economic growth. It is important to highlight that these measures are adopted in a context in which forecasting models reflect that inflation would remain within the target range of 4% ± 1% established in the monetary program, granting the spaces to adopt monetary easing policies that contribute to the recovery of domestic demand.
Likewise, with the aim of complementing the credit offer to the aforementioned productive sectors, the Monetary Board ordered that RD$14 billion corresponding to unused amounts of the legal reserve measure approved through the Fifth Resolution of November 21, 2024, be enabled for these sectors, under the same financial conditions of the new interest rate release not exceeding 9% per annum. It should be remembered that this resolution was originally intended, exclusively, for the acquisition and construction of low-cost housing, as well as for MSMEs.
Additionally, the postponement for six months of RD$17 billion in rapid liquidity facilities (FLR) was arranged, which were originally scheduled to return to the Central Bank between June and December 2025. This measure helps to prevent the beneficiaries of the loans that were granted by this facility from having to refinance at higher interest rates.
On the other hand, the Monetary Board specified elements regarding the scope of the limits on foreign currency financing to non-foreign exchange generators, excluding from said limit short-term foreign trade operations, implemented through letters of credit or similar instruments; as well as activities related to the tourism sector whose income is received in national currency.
With this national currency liquidity provision program for RD$81 billion and the adjustments implemented in the prudential rules for foreign currency financing, it will contribute to the expansion of credit to the private sector and to greater dynamism of the Dominican economy; in a context of price stability and the strength of its macroeconomic fundamentals.
