Santo Domingo.- Harvard professor and former Dominican Minister of Economy, Juan Ariel Jiménez, discussed potential impacts of U.S. President-elect Donald Trump’s policies on the Dominican Republic, focusing on migration, nearshoring, and energy. He noted that while Trump’s immigration stance might not heavily affect the largely legal Dominican community in the U.S., any shifts in migration could influence remittances, a critical economic resource for the country.
Jiménez highlighted nearshoring as a significant opportunity, as Trump’s proposed tariffs on Chinese goods could prompt U.S. companies to relocate operations to nearby countries. With its strategic location and political stability, the Dominican Republic could attract investment in its free trade zones, though strategic policy adaptations would be necessary to fully benefit.
However, Jiménez cautioned about risks from Trump’s energy policy, which favors fossil fuels and could drive up oil prices. For the Dominican Republic, an oil-importing nation, this would increase costs for both the government and consumers. Additionally, potential U.S. interest rate hikes could strain the Dominican exchange rate and economic stability. While challenges are expected, Jiménez sees a path to strengthen the Dominican economy with proactive, strategic policies.