Economy December 18, 2024 - 8:40 am

Deputies approve loans and bond law exceeding RD$350,000 million

Santo Domingo.- The Chamber of Deputies approved two loans and a bond issuance law totaling 378,000 million pesos to address the 2025 general state budget deficit. The measures were passed shortly before the legislative session closed for the Christmas holidays, with strong support from ruling party members.

The approved loans include US$400 million for sustainable development policies under the Ministry of Finance and US$45 million for improving solid waste management. Additionally, over 350,000 million pesos in bonds will be issued to finance government projects and policies. Amado Díaz, spokesperson for the PRM deputies, defended the decisions as essential for funding key initiatives.

Opposition legislators, however, opposed the measures, citing concerns about rising external debt and fiscal instability. Deputy Tobias Crespo of Fuerza del Pueblo criticized the government for excessive borrowing, warning of potential economic vulnerability. Similarly, PLD spokesman Gustavo Sánchez cautioned that the bond issuance could lead to macroeconomic imbalances, higher interest rates, and a reduced credit rating. The loans and bond issuance now await approval from the Upper House.

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