Santo Domingo.– The
increase in bank credit to the private sector helped reactivate the Dominican economy,
which will grow this year by around 3.5%, the Central Bank reported.
Due to a
strong correlation between the private credit and the GDP growth, the Dominican
economy has experienced an important recovery, mainly in 2009’s second quarter,
according to the report.
The
Central Bank pointed out that the growth has become one of the highest growth
rates in Latin America this year and has been progressively larger: 1% in the
first quarter, 1.8% in the second quarter, 3.4% in the third, with an overall
2.1% for the first three-quarters.
The entity also said the
international reserves will close at record highs, the current account in the
balance of payments will have an improvement in its deficit of 4.5% of GSP,
lower than the 9.7 of 2008 by 5.2%.
Such achievements, the Central Bank stated, will be reached without risking the goals of keeping
inflation in check –the major goal of the monetary policy–, which will help keep the relative stability in the exchange
rate for 2010.
From: Dominican Republic, vieja Santo Domingo
Yes yes yes ,,great news and I hope that it the last borrowings from the IMF will not be needed ..soon I hope the train between Santiago and Santo Domingo will start and more books for the schools and more jobs for everyone ..and once the confidence starts rolling ,there still will be more investment here .
From: United States
Ricardolito, Sorry to tell you that this is just "spin doctor" crap.
The DR can not pay it's electric bill. It is broke.
This is just another convenient shameless lie.
From: Dominican Republic, vieja Santo Domingo
There is much evidence to suggest that the economy is doing ok ..so I see no reason to think the prediction is false ..but only time will tell us
Written by: BASTA, 29 Dec 2009 10:06 AM
From: Dominican Republic, =Ghetto/Legalize Drugs
I see every where that there is no money. Just open your eyes and see Nothing!
From: United States
Leonel and his cronies are masters of deciet and lies.
This is a false propaganda and any one that believes or states otherwise is a government stooge planted to post positive articles.
the DR government is bankrupt and without loans cannot pay its salaries or even some of its liabilities.
Soon the chickens will come home to roost and no one will be able to pay any bills.
Accept the facts and move on. Hopefully the populace will eventually overturn this type of abusive power hungry thieving politicians.
Written by: hvargas, 29 Dec 2009 10:39 AM
From: Dominican Republic
The economy is showing or demonstrating some banking situations due to borrowing and credits but the true realities in the working population along with the unemployment rate as well as the lack of jobs creations has not been place into the equations. The question to asked is, where is the economy growing?. After the majority of the people exhaust their savings due to consumptions the social conditions in D.R. will get worse. There will be a rise in crimes and criminals activities were more young people will be involved.
From: Dominican Republic, Puerto Plata
Before one more penny is loaned to this country, the Gov't should consent to a receivership, and the lending institutions form a control body not only to supervise the disbursments, but to actually write the checks.
Written by: msjersey, 29 Dec 2009 11:12 AM
From: United States, New Jersey(Cibaeno/Los mina)
Jose-ano, what do you think? I can't wait to hear from such a highly respected individual.
He really gives me a good laugh.
From: United States
Walter, you are correct.
This government must be disbanded and a control body put in place.
They have put everyone in harms way and have no concept how.
From: Dominican Republic, San Carlos, barrio de matatanes, aqui no invente
Well, at least something is growing in DR.
I noticed that the time it takes my clients in DR to pay me for my work is growing exponentially also. I will have to increase the net 30 terms to net 60 soon, or maybe I will just take out the
I WILL WORK FOR FOOD letrero.
From: Dominican Republic, vieja Santo Domingo
WaterPolo ,,yes if I was lending the money then I would need to have some very good controls but I suspect that the IMF and the World Bank have already put some controls in place but the defaulting on loans is common world wide so they may not be very strong .Like everyone ,I think it would be horrible if ,after doing such a good job in obtaining the loans ,the Government reneged on any condition or repayment ...but nothing goes 100% smoothly here
From: United States
Ricardolito, your country did NOT renege on a loan, they received money to pay their electric bill.
They are reneging on paying the electric sector the money they owe them.
They lied. They are scum.
They used the money elsewhere and I am sure NOT in a good way.
From: United States
gmiller261 is correct. There was money set aside to pay the electric bill and it appears it was not paid. It sounds like they took some very big Christmas bonuses and said the electric companies can wait. Reason being they all get free electricity and have big generators so when the electricity goes out they probably don't even know. Until the people stand up for themselves and get good leadership this will continue. We all know how Dominican justice works. All we can hope for is it comes soon and swiftly.
Written by: THINK, 29 Dec 2009 12:50 PM
From: United States, SDQ -- Mia --NY
I can not understand when Central Bank give this figure 3.5% growth to public, what is the ground they are using?
They treat everyone is illiterate and no common sense.
From: United States
they give these figures out fpr gullibles like Ricardolito. it makes him run for one of his many rose colored glasses, and jump for joy. only thing is that he will just look at the alphabetical representation of the predictions, and not the effects they will have on the country.
Written by: ateo1992 
, 29 Dec 2009 2:09 PM
From: Dominican Republic
great news, our economy is booming, we have surpassed the world recession. for those pessimistic folks STFU!!!!!. dammit.
From: Dominican Republic, vieja Santo Domingo
gmiller261.I can not recall the IMF or the World Bank making that condition of paying the private generators ..I thought it was an announcement from the government ,,,seemed a good idea ..but I am happy to be corrected on that if you have the information.
THINK they will be using the computer growth for every quarter for the past year and using various new information that is fed into the computer they will predict forward ,,in the article it states the growth over recent quarters and so they will use the data to predict the future rate of growth. The IMF has already stated that the DR should have solid growth and probably will not have to draw on all the loans allocated to this country.
Yes Veronica Christmas bonuses were paid to government employees ..you may recall that some were paid a week late and this is standard practice in the public and private sector ,,it is quite possible that the large amount of bonuses paid has left a temporary cash problem.,,I do not know
From: Dominican Republic, vieja Santo Domingo
If you believe that someone is stealing electricity ..not paying for it ,,,you should report it immediately and follow it up .In this way we can all stop the thefts.
Dominican justice is as variable as the country but the ballot box is always a good solution..the Dominican people elect the candidates and then a representative..so it is in the hands of all Dominicans ,,
Dreadlocks ,,,you also probably think the growth figures were all incorrect for the past decade but if you have some faith in them why do you not believe the growth figure which is about half of the ones before can not be achieved .I have never seen the capital and the east so busy and all the flights here have been full and the taxi drivers are saying that business is good so I am confident of growth in 2010 .
Written by: Escott, 29 Dec 2009 5:02 PM
From: Dominican Republic, Cabrera and Sosua a 2 days a month for payday
You have to be kidding, stealing electric in this country is a right not a crime...
I have one question for you Ricardolito, do you get a tingle in your groin everytime Leonel speaks?
From: Dominican Republic, vieja Santo Domingo
good to see there is yet another writer who prefers to ignore the article and abuse any one he may not agree with ,,,,such is the level of education and manners for some ...It would be too much to assume that you would rejoice in the better outlook even if it may not affect you personally .
Written by: danny00, 29 Dec 2009 5:55 PM
From: United States, syosset, key west, santo domingo AND NOW THE GLOBE TROTTER
gmiller....... THANKS 4 YOUR COMMENT..
The DR can not pay it's electric bill. It is broke, THANK U..... NOTING ELSE TO SAY.
BUT THEY ARE NOT BROKE,, ITS IN THEIR PERSONAL BANK ACCOUNTS IN MIAMI BANKS....
Written by: danny00, 29 Dec 2009 5:57 PM
From: United States, syosset, key west, santo domingo AND NOW THE GLOBE TROTTER
they will never square away with the elec. companys, u know this dont u?
Written by: danny00, 29 Dec 2009 5:59 PM
From: United States, syosset, key west, santo domingo AND NOW THE GLOBE TROTTER
why should they?..
so millions have no loose so what nothing is done about it.life goes on
most or at least millions spend have their lifes in the "dark' in the dr.
have a nice day and a happy new year.i will spend my new year in miami i dont have any problems with the elec over here.
Written by: juanb, 29 Dec 2009 7:34 PM
From: Dominican Republic
Ricardolito works for the government. His positive posts are a joke.
From: Dominican Republic, vieja Santo Domingo
It would be nice to have a comfortable government job ,to be paid a Christmas bonus and even the free electricity that Veronica says government officials have ..but sorry to say that I am just a humble person living a humble life but try never to think on the dark side of things when it is not necessary. But if my comments amuse you, juanb , that is your right and good luck to you as you sit in your dingy room wondering how you are missing out on the economic upturn.
From: Denmark
RickyD
From all your posting one can only assume that you have personal gains with the present situation, and that your personal gains comes first and last. When the fact is that the majority of Dominicans have a very hard time getting by, having no priority whatsoever from this government now and for the last few hundred years, your egoism and disrespect for the majority of Dominicans are obvious.
1.
If you are a Dominican your fellow Dominicans should consider your act as treason and dealt with in a proper way.
2.
If you are a foreigner you shold be expelled asap for exploitation and disrespect, leaving the country in handcuffs without any other possesion than beeing dressed properly with your passport firmly stamped EXPELLED FOR LIFE.
From: Dominican Republic, vieja Santo Domingo
I support a properly elected government and unlike you ,and others here,I do not try to undermine their work .I support the good men in the government ,the police and the military and when some of them do the wrong thing ,they must be brought to justice ..The majority of the population voted for this government and this President so I respect their vote.
I try to see good in everyone though at time this is difficult with those who can only write abuse .
From: Denmark
RickyD,
your comments has clearly stated what I assumed. Nobody insults you but yourself.
I quote a poem:
You must not be at the safety of your house saying: It is really sad, pitty them!
You must not so thoroughly accept, the injustice which do not come upon yourself
I cry out load with the last of my breath: You are not allowed to go by and forget!
From: United States
Ricardolito, i see that being a trained economist has not helped you to understnd economic realities. so you rejoice that the GDP figures are going up, thinking that such news is a signal of progress. i also address this to ateo, but his mental acumen seems beneath the level where knowledge penetrates. i will state, for the nth time, that GDP represents only SPENDING. it does not explain how that spending is financed. anyone can buy a benz and big screen tv on a credit card. it is the repayment which is the problem. the only real indicator of economic progress is WEALTH CREATION, or Productivity. if you buy a big screen tv for 70,000 pesos, and you do not create 70,000 pesos of wealth, you are in a net negative position. a major part of gdp growth is in the area of cellphone purchases. yet, we do not make them. same for electrodomestics. everybody has refrigerators and stoves, which cost more than most people produce. when the AVERAGE productivity increases, real wealth is created
From: United States
yes, not some mythical idea of wellbeing. and, real wealth cannot be increased when government spending on education and technical preparation allows for 3 hours of classroom training per day. what good is it to say that we have a GDP growth of 4% per year, meanwhile we are buying everything from countries whose figures are 2% the figures would suggest that we are booming, and they are crawling. the realities suggest otherwise.
Written by: hvargas, 30 Dec 2009 3:25 PM
From: Dominican Republic
According to this article D.R. has not experience an economy crisis all throughout 2008 and 2009. For 2010 economists will move on to say D.R. growth at 4.5% or even at 5%. This is a lot of growth. The wealth is multiply ten-fold every quarter for those holding the wealth of the country while others depend on their love ones who send them money from abroad. In that area it has decrease cause of the economy crisis in the U.S., so for such people tthey had not seen any growth. What they had seen is a rise in the price of service and food items, for dominicans that don't receive any money or help from relatives or friends they do not experience such growth. For those who are employed or simi-employed they too had not experience the rise of the minimum wage. When the government and economists talk about growth they are talking about the growth of those who hold and accumulate the real weath of the country, in this case the D.R.
From: Dominican Republic, vieja Santo Domingo
hvargas ,that is correct and to make things worse the latin people have little idea of helping others less fortunate than themselves. If you look at Spain throughout it´s history but especially in the 1960´s and 1970´s ,the division of wealth was enormous between the haves and have nots ..it is the same today in Argentina, Brazil and Columbia as well as here. It is now the same in China where government officials have huge wealth and travel and holiday in style so regrettably the tragedy of poverty is world wide ..thank goodness for those who give of their time services and wealth to help others .
From: Dominican Republic, vieja Santo Domingo
I thought you may like to know how bad the DR government is at corruption ..in China in the first 11 months of this year ,government officials misused or appropriated 31 billion us dollars ..according to Murdoch press ..and this was an official China audit !!
From: Dominican Republic, vieja Santo Domingo
In response to DL ..as far as I know the only figures used to compare the wealth of the countries in the world is the GDP growth figure. I think we used to have per capita figures for GDP and for income and for savings but I have not seen them here .Of course productivity is vital but that in itself brings a range of problems for developing countries as old labour intensive methods give way to machinery and many people are forced into unemployment ...There are job retraining centres in some countries to offset the problems of this increased productivity ..but not here .
The various free trade agreements tend to force a country into increased productivity and already here you can see the objections of people who prefer the inefficiently made product from home to any import that is made cheaper by increased productivity.
From: Dominican Republic, vieja Santo Domingo
Finally ,,you can not have proper increased productivity without suitable infrastructure and this country has been so backwards in this area , that it was essential to fix the problem ...and before anyone gets into me ..yes I want a greater percentage of the annual budget spent on education and health ...but as I have said many times ,this just does not seem to be the latin tradition .
From: United States
Ricardolito, it appears that you are impregnable to any attempts to explain that GDP means very little in terms of WEALTH of a countyry. go read an article by the french economist Oliver Vaury, and you might understand things better. that will only happen if you read it with an open mind, and not with your pig headed obstinacy to ideas which do not serve your purpose.
From: Dominican Republic, vieja Santo Domingo
Again you cannot debate anything without abuse ,,which shows the level of your upbringing
From: Dominican Republic, vieja Santo Domingo
It seems strange that all the poor countries have a very low per capita GDP and all the wealthy countries have a high per capita GDP and you do not believe there is any correlation between between them
From: United States
Ricardolito, you are comprehensively dimwitted. and that is not a product of my upbringing. it is a failing in your education process. if you fail to understand that GDP expresses very little when it comes to the development of a country, then i need to give you a few basic examples. if you have a beautiful house, and you have it burned down to collect the insurance money, the GDP goes up by that amount. similarly, if you fire the maid, and have your wife do the cooking and cleaning, the GDP goes down. the same amount of work is done in both cases. it is the accounting that differs. similarly, if there is a massive epidemic,, which requires tremendous expenditure on medical efforts, the GDP will be affected by all the money spent in that area. it will not explain the falloff in tourism and productivity in the country.especially if medicines and equipment outstrip the value of receipts from tourism. let me stop. why do i bother? you are a "trained economist".
From: Dominican Republic, vieja Santo Domingo
The GDP is the sum of many many factors and regrettably those countries that have the problems you mention without any offsetting good factors will have a low or reduced GDP ...luckily in the DR the bad factors are more than offset by good factors so we have a positive GDP,one of the best in latin america ...and if you look at the GDp figures for countries with a worse economy ..you will see they are lower ...but if it keeps you happy just keep reading the French economist ..and I will stay with the accepted comparisons ..and then we are both happy
From: United States
well, Ricardolito, enjoy yourself in your lack of understanding of the matter. you clearly do not have a full grasp of the concepts, but, amuse yourself in your state of confusion. and, i will continue to read knowledgeable economists, while you read news clippings.
From: United States
by the way, singapore had a gdp contraction of 6% in 2008, and again this year. denmark went down by somewhere around 2%. i am glad you have made me aware that snce our figures are going up, as opposed to downwards, we are in better shape than they are. i feel so badly for poor old Hong Kong. maybe you should pass the hat for them sometime soon.
From: United States
hey, Ricky
read this
The GDP framework cannot tell us whether final goods and services that were produced during a particular period of time are a reflection of real wealth expansion, or a reflection of capital consumption.
He goes on:
For instance, if a government embarks on the building of a pyramid, which adds absolutely nothing to the well-being of individuals, the GDP framework will regard this as economic growth. In reality, however, the building of the pyramid will divert real funding from wealth-generating activities, thereby stifling the production of wealth.
Austrian economists are critical of the basic idea of attempting to quantify national output. Shostak quotes Austrian economist Ludwig von Mises:
The attempt to determine in money the wealth of a nation or the whole mankind are as childish as the mystic efforts to solve the riddles of the universe by worrying about the dimension of the pyramid of Cheops.
Written by: hvargas, 2 Jan 2010 10:47 AM
From: Dominican Republic
The wealth of Nations derived from two sources, (1) human resource and (2) natural resources. The potential of human resources along with the exploitation of the same figures into the wealth of a nation both directly and indirectly. To have some individual not producing any work can be a positive outcome that may benefit an economy. When the numbers of the non-productive overuns the productive individuals than the outcome is a negative for an economy. This is seen more clearly in the national budge. All of the productive mechanism will not all be at 100% every year so a flutuation is inherent. The natural resouces of nations are of two type, the first are those resources which had not been exploited or discovered and the second are those resources which are being exploited. The direct effects of the exploited natural resources along with the productive human resources constitute the real wealth of a nation. No matter what any so called expert economics writes about GDP must be
Written by: hvargas, 2 Jan 2010 11:00 AM
From: Dominican Republic
measured along these lines. Its not just gains and loses or exchange in services along with actual physical presentations of an items. Capitalists economics have the tendencies of defining terms as they see fit to accomadate their capitalistcs notions and belief. For example, the economic crisis was due to this term used in finance " Derivatives ". Look for some articles which were written in the New York Village Voice 2009. In the internet just write the term and the name of the paper above. You will all be surprise at what you will learned and then your opnions and views will be altered about any terms used in economics.
From: Dominican Republic, vieja Santo Domingo
Dreadlocks you really will have to do much better than try to score cheap points when you want to use the GDP growth rate be it positive or negative as a measure of a countries wealth ,,,the measure obviously has to be the GDP per capita figure and the growth figure merely shows whether a country as an improving GDP or not ..you need not have any nouse to understand that..and so the countries you mention and many others also have a declining GDP and we have an improving GDP ..so simple !!!
From: United States
Ricardolito, nobody is scoring anything. you obviously refuse to read anything about the lack of uselessness of the GDP as a measure of the HEALTH of an economy. if it cannot express how well the economy is doing, then i fail to see the point of making reference to it. and, since one of my mentors in the economic fraternity, Ludwig Von Mises, characterises it as "childish", i tend to go along. you can continue taking your academic cues from press clippings
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Ricardolito, Sorry to tell you that this is just "spin doctor" crap.
The DR can not pay it's electric bill. It is broke.
This is just another convenient shameless lie.
This is a false propaganda and any one that believes or states otherwise is a government stooge planted to post positive articles.
the DR government is bankrupt and without loans cannot pay its salaries or even some of its liabilities.
Soon the chickens will come home to roost and no one will be able to pay any bills.
Accept the facts and move on. Hopefully the populace will eventually overturn this type of abusive power hungry thieving politicians.
He really gives me a good laugh.
This government must be disbanded and a control body put in place.
They have put everyone in harms way and have no concept how.
Well, at least something is growing in DR.
I noticed that the time it takes my clients in DR to pay me for my work is growing exponentially also. I will have to increase the net 30 terms to net 60 soon, or maybe I will just take out the
I WILL WORK FOR FOOD letrero.
They are reneging on paying the electric sector the money they owe them.
They lied. They are scum.
They used the money elsewhere and I am sure NOT in a good way.
I can not understand when Central Bank give this figure 3.5% growth to public, what is the ground they are using?
They treat everyone is illiterate and no common sense.
THINK they will be using the computer growth for every quarter for the past year and using various new information that is fed into the computer they will predict forward ,,in the article it states the growth over recent quarters and so they will use the data to predict the future rate of growth. The IMF has already stated that the DR should have solid growth and probably will not have to draw on all the loans allocated to this country.
Yes Veronica Christmas bonuses were paid to government employees ..you may recall that some were paid a week late and this is standard practice in the public and private sector ,,it is quite possible that the large amount of bonuses paid has left a temporary cash problem.,,I do not know
Dominican justice is as variable as the country but the ballot box is always a good solution..the Dominican people elect the candidates and then a representative..so it is in the hands of all Dominicans ,,
Dreadlocks ,,,you also probably think the growth figures were all incorrect for the past decade but if you have some faith in them why do you not believe the growth figure which is about half of the ones before can not be achieved .I have never seen the capital and the east so busy and all the flights here have been full and the taxi drivers are saying that business is good so I am confident of growth in 2010 .
I have one question for you Ricardolito, do you get a tingle in your groin everytime Leonel speaks?
The DR can not pay it's electric bill. It is broke, THANK U..... NOTING ELSE TO SAY.
BUT THEY ARE NOT BROKE,, ITS IN THEIR PERSONAL BANK ACCOUNTS IN MIAMI BANKS....
so millions have no loose so what nothing is done about it.life goes on
most or at least millions spend have their lifes in the "dark' in the dr.
have a nice day and a happy new year.i will spend my new year in miami i dont have any problems with the elec over here.
From all your posting one can only assume that you have personal gains with the present situation, and that your personal gains comes first and last. When the fact is that the majority of Dominicans have a very hard time getting by, having no priority whatsoever from this government now and for the last few hundred years, your egoism and disrespect for the majority of Dominicans are obvious.
1.
If you are a Dominican your fellow Dominicans should consider your act as treason and dealt with in a proper way.
2.
If you are a foreigner you shold be expelled asap for exploitation and disrespect, leaving the country in handcuffs without any other possesion than beeing dressed properly with your passport firmly stamped EXPELLED FOR LIFE.
I try to see good in everyone though at time this is difficult with those who can only write abuse .
your comments has clearly stated what I assumed. Nobody insults you but yourself.
I quote a poem:
You must not be at the safety of your house saying: It is really sad, pitty them!
You must not so thoroughly accept, the injustice which do not come upon yourself
I cry out load with the last of my breath: You are not allowed to go by and forget!
The various free trade agreements tend to force a country into increased productivity and already here you can see the objections of people who prefer the inefficiently made product from home to any import that is made cheaper by increased productivity.
read this
The GDP framework cannot tell us whether final goods and services that were produced during a particular period of time are a reflection of real wealth expansion, or a reflection of capital consumption.
He goes on:
For instance, if a government embarks on the building of a pyramid, which adds absolutely nothing to the well-being of individuals, the GDP framework will regard this as economic growth. In reality, however, the building of the pyramid will divert real funding from wealth-generating activities, thereby stifling the production of wealth.
Austrian economists are critical of the basic idea of attempting to quantify national output. Shostak quotes Austrian economist Ludwig von Mises:
The attempt to determine in money the wealth of a nation or the whole mankind are as childish as the mystic efforts to solve the riddles of the universe by worrying about the dimension of the pyramid of Cheops.