Abinader highlights Dominican economy’s strength and protection of the middle class

Santo Domingo.- President Luis Abinader said the government will continue implementing measures to shield the middle class and vulnerable households from global economic pressures while maintaining the country’s macroeconomic stability.

Speaking during an interview, Abinader said current conditions are not suitable for a comprehensive tax reform, stressing that the government’s Anti-Crisis Plan is designed to protect most taxpayers. He noted that salary indexation will boost the purchasing power of middle-class workers, while higher tax adjustments mainly target large companies and individuals earning more than RD$400,000 per month.

The president also clarified that increased tax withholding for some self-employed professionals is not a new tax but an advance payment that can be credited when filing annual tax returns.

Abinader acknowledged that inflation has affected household budgets but emphasized that the Dominican Republic has raised the minimum wage above inflation to help preserve workers’ purchasing power. He added that the country’s economy remains resilient, supported by strong tourism, free zones, a recovering construction sector, foreign investment, exports, and remittances.

The president highlighted that the Dominican Republic attracted more than US$5 billion in foreign direct investment last year and said inflows are expected to increase further this year, reinforcing investor confidence and the strength of the Dominican peso.