ECLAC projects 2.9% economic growth for the Dominican Republic in 2025

Santiago, Chile.- The Economic Commission for Latin America and the Caribbean (ECLAC) has reaffirmed its forecast of 2.4% regional GDP growth in 2025, slightly above the 2.3% recorded in 2024, according to its report Preliminary Balance of the Economies of Latin America and the Caribbean 2025, presented at its headquarters in Santiago.

For 2026, the United Nations agency continues to project 2.3% economic growth, warning that the region remains caught in a low-growth trap amid persistent global uncertainty. ECLAC noted that four consecutive years of growth rates near 2.3% confirm the region’s limited capacity for sustained economic expansion.

Low Growth Slows Poverty Reduction and Job Creation

ECLAC Executive Secretary Manuel Salazar-Xirinachs warned that prolonged low growth is having a direct social impact. Regional GDP per capita is only slightly higher than a decade ago, while poverty reduction has stalled, job creation remains weak, and progress in reducing labor informality has also slowed.

Latin America, considered the most unequal region in the world, rebounded strongly after the pandemic with 6.9% growth in 2021, but momentum faded to 3.7% in 2022 and 2.3% in 2023, highlighting ongoing structural challenges.

Venezuela leads growth; Haiti lag behind

According to ECLAC’s country-by-country outlook for 2025, Venezuela is expected to lead regional growth with 6.5%, followed by Paraguay (5.5%), Argentina (4.3%), and Costa Rica (4%).

Mid-range growth is projected for Guatemala (3.9%), Honduras (3.8%), Panama (3.8%), El Salvador (3.5%), Nicaragua (3.5%), Peru (3.2%), and Ecuador (3.2%).

Further down the list, but still showing positive performance, are the Dominican Republic (2.9%), Colombia (2.6%), Chile (2.5%), Brazil (2.5%), and Uruguay (2.2%).

The Caribbean region is projected to grow by an average of 1.9% in 2025, excluding Guyana, which is expected to post a remarkable 15.2% expansion driven by its oil boom. Cuba (-1.5%) and Haiti (-2.3%) are the only Caribbean economies forecast to contract next year.