Dominican republic leads caribbean economies global finance. The dominican republic has the largest economy in the caribbean and central american region and is the eighthlargest economy in latin america. These major setbacks cause a lot of disbelief and harm to the countrys economic health. The dominican republic comprises twothirds of the island of hispaniola, one of the few islands in the world shared by two independent nationstates. Growth was mainly boosted by industrial activities 8. Dominican republic economy gdp, inflation, cpi and. The dominican republics economic growth has been one of the strongest in the lac region over the past 25 years. The dominican republic s economic freedom score is 60. Dominican republic leads caribbean economies global. Jan 11, 2016 the dominican republic is the fastestgrowing economy in the americas, with the caribbean country reporting 7% growth in gdp for 2015. Dominican republic gdp growth rate 19912019 data 2020.
Although there are many reasons why the dominican republic s economic growth will stay strong, some issues remain unsolved. Percentile ranks are calculated using the latest available data for all countries within the last 5 years. An increase in tourist arrivals, rising foreign remittances, and low oil prices are the factors fueling the economy, according to the countrys central bank. The dominican republic was for most of its history primarily an exporter of sugar, coffee, and tobacco, but over the last three decades the economy has become more diversified as the service sector has overtaken agriculture as the economys largest employer, due to growth in construction, tourism, and free trade zones.
Dominican republic economy, politics and gdp growth. Following economic turmoil in the late 1980s and 1990, during which the gross domestic product gdp fell by up to 5% and consumer price inflation reached an unprecedented 100%, the dominican republic entered a period of growth and declining inflation until 2002, after which the economy entered a recession. The economic commission for latin america and the caribbean eclac on tue. The resilience of the dominican economy will resist the strong attacks created by the coronavirus. Looking forward, we estimate gdp growth rate in dominican republic to stand at 0.
Dominican republic global economic prospects examines trends for the world economy and how they affect developing countries. Relations with the dominican republic united states. Dominican republic gdp growth rate 19612020 macrotrends. Latin american economic outlook 2019 country notes dominican republic recent trends the dominican republic has improved in several development indicators in the past decades. The country is the site of the single largest gold mine in latin america, the pueblo viejo mine. The dominican republic has long been viewed primarily as an exporter of sugar, coffee, and tobacco, but in recent years the service sector has overtaken agriculture as the economys largest employer, due to growth in telecommunications, tourism, and free trade zones. The gross domestic product gdp in dominican republic expanded 5. The average haitian is almost 10 times poorer than the average dominican. Dominican republic its main economic development problems. With a population of over 10 million people, its territory stretches 18,704 square miles. The dominican republic was for most of its history primarily an exporter of sugar, coffee, and tobacco, but over the last three decades the economy has become more diversified as the service sector has overtaken agriculture as the economy s largest employer, due to growth. However, fiscal and monetary stimulus should provide some support.
Dominican republic economy gdp, inflation, cpi and interest. Dominican republic economic growth 19602020 macrotrends. Information is provided as is and solely for informational purposes, not for trading purposes or. There are several facets to the economic growth in the dominican republic.
Dominican republic gdp economic indicators, news and forecasts. The dominican republic dr has enjoyed strong economic growth in recent years, averaging 5. Strategies for economic growth in the dominican republic. The study concluded that economic growth would have increased in the dominican republic by 1. Dominican republic economic growth the economy is seen shrinking this year as containment measures weigh on domestic activity.
Dominican republic growth and structure of the economy. Fortunately, the dominican republic is now reaping the fruits of such labor. Dominican republic has fastest growing economy in latam. Jamaica, cuba, haiti, the bahamas, turks and caicos, puerto rico capital city. The country is an important partner in hemispheric affairs due to its standing in the caribbean as the secondlargest economy behind cuba and thirdlargest country in terms of population behind cuba and haiti, its large bilateral trade with the united states, and its proximity to the united states. Dominican republic economy 2020, cia world factbook. The economy of the dominican republic is set to surpass its regional neighbors this year, notching the highest growth in the caribbean region. The dominican republic s economic freedom score is 61. Pdf economic development strategies in the dominican republic. The international monetary fund predicted the dominican republic registered the fastest economic growth in latin america during 2018 with low, stable inflation. The economy of the dominican republic is the eighth largest in latin america, and is the largest in the caribbean and central america region. The economy in the dominican republic is highly dependent upon the us, the. The latest data from q4 2019 show economic growth of 5. In the first quarter of 2017, the economy expanded by 5.
Presidency administrative minister, jose ramon peralta, met wednesday with leaders of the countrys business sector to discuss the opening of postcoronavirus economic activities. For example, dominican republic s exports rank is higher than please wait. The dr has been gaining attention for its ability to maintain steady robust economic growth. Central america dominican republic the world factbook. The dominican republic has long been viewed primarily as an exporter of sugar, coffee, and tobacco, but in recent years the service sector has overtaken agriculture as the economy s largest employer, due to growth in telecommunications, tourism, and free trade zones. Although the mining industry suffered from low prices and labor disputes, it contributed a significant percentage of foreign exchange as well. Dominican republic economic growth, percent change in. The dominican republic has the 8th largest economy in latin america, and is the largest in the caribbean and central america region. The dominican republic dr with assistance from the world bank, interamerican development bank, the caribbean development bank and other institutions has instilled a clear strategy for economic development. The dominican republic, the tourism leader in the caribbean and latin america, is no exception to the pandemic that collapses the countries health system and paralyzes their economies. This agreement creates new economic opportunities by eliminating tariffs, opening markets, reducing barriers to services, and promoting transparency. Dominican republic its main economic development problems english abstract. Dominican republic s roadmap towards socially inclusive growth.
World bank dominican republic dominican republic gdp growth rate. Dominican republic economy live and invest overseas. Despite major economic achievements, the dominican republic still has serious poverty and unemployment problems. Central bank slashes rates at emergency meeting in march and announces liquidity.
Aug 01, 2018 the dominican republic dr with assistance from the world bank, interamerican development bank, the caribbean development bank and other institutions has instilled a clear strategy for economic development. Household final consumption expenditure formerly private consumption is the market value of all goods and services, including durable products such as cars, washing machines, and. The dominican republic remains focused on growth and innovation within the tourism sector. Guyana, a south american country neighboring venezuela, is expected to grow the most in the region in 2020. Although there are many reasons why the dominican republics economic growth will stay strong, some issues remain unsolved. The economy in the dominican republic international living. The dominican republic also enjoyed the caribbeans fastest growth in tourism during the 1980s. The country is one of the fastest growing economies.
A tax reform package passed in november 2012, a reduction in government spending, and lower energy costs helped to narrow the central government budget deficit from 6. Gdp annual growth rate in dominican republic is expected to be 5. This contrasted sharply with that of the average 1. Over the last two decades, the dominican republic has stood out as one of the fastest economies in the americas with an average real gdp growth rate of 5. The dominican republics economic freedom score is 60. The dominican republic has faced many natural disasters such as droughts, extreme rainfall and flooding. Gdp growth rate in dominican republic is expected to be 6.
It is an upper middleincome developing country primarily dependent on mining, agriculture, trade, and services. Projections for these indicators are provided only through 2021. Looking forward, we estimate gdp annual growth rate in dominican republic to stand at 1. Haiti braces for coronavirus as workers return from. The head of the imf has said that the new economic recession will be as bad or worse than that registered in 2009, referring to the global financial crisis that broke out with the bursting of the housing bubble in the united states, a global storm that the economy the dominican republic was able to resist growing that year by 3% in. Gdp continues to hover at 7% a year driven largely by construction, manufacturing and tourism. The percentage change in gdp per capita for the latest 5 years for which data is published. Inflation dips in february but stays within the target range. Economic outline of the dominican republic nordea trade portal. There was no economic process more dynamic in the dominican republic during the 1980s than the rapid growth of free zones.
The report includes countryspecific threeyear forecasts for major macroeconomic indicators, including commodity and financial markets. The dominican republic is the fastestgrowing economy in the americas, with the caribbean country reporting 7% growth in gdp for 2015. The two countries are parties to the dominican republic central americaunited states free trade agreement caftadr, along with five central american countries. Due to the high level of uncertainty in current global economic conditions, the april 2020 weo database and statistical tables contain only these indicators. Country development cooperation strategy dominican republic. Access the latest politics analysis and economic growth summary through 2011 for dominican republic from the economist intelligence unit.
Therefore, increasing citizen security by reducing crime can also contribute to promoting economic growth. The share of the population living on less than usd 5. The dominican republic is projected to have the highest economic growth in latam for 2018 and holds a sixyear streak of a 6% average gdp growth. Increasing agricultural production will originate in improved yeilds of food, export, and industrial crops. Dominican republic economy, politics and gdp growth summary. From from 1966 through 1976 the economy expanded by nearly 8 per cent per year, realizing one. Dominican republic gdp annual growth rate 19922019 data. Economic growth in the dominican republic the borgen project. The united states has a strong interest in a democratic, stable, and economically healthy dominican republic and supports its democratic and economic development.
Economic growth, percent change in quarterly real gdp in dominican republic, december, 2019. The purpose of this graph is to take a snapshot of a countrys economy in comparison to other economies. Economic outline of the dominican republic nordea trade. In central america, panama, and the dominican republic growth is projected to rebound to 3. Gdp at purchasers prices is the sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. Dominican republic gdp growth rate table by year, historic, and current data. The national development plan is built on the four strategic axes of a state with efficient and transparent institutions. Dominican republic economic indicators moodys analytics. This nations gross domestic product gdp in 2020 is.