Dominican Govt. pulls US$543.5M from pension fund for roads

Santo Domingo.- The Risk Classification and InvestmentRestrictions Commission on Thursday revealed the approval of up to RD$25.0 billion(US$543.5 million)from the pension fund in the program to Operate, Maintain andExpand Dominican Republic’s Main Road Network (Red Vial) as an alternative investment.

The Commission’s decision published Sept. 27 and signed by theCentral Bank and the superintendents of Pensions (Sipen), Banks, Insurance,Securities and a technician representing the Affiliates notes that the decisionis based on Dominican Social Security System (SDSS) Law 87-01 and is set totake effect Tuesday

It said the Securities Superintendence approved the preliminaryissue of the RD$25.0 billion on Sept. 26.

The Commission said Banreservas Trust represented Red Vial inthe process.

“The road network is the first public trust created by theDominican State in the administration of president Danilo Medina, through Indenturenumber 1 signed on October 18, 2013, between the Dominican State, representedby the Public Works Ministry and Banreservas Trust.