Pandemic halts sale of major Dominican power plant

Santo Domingo.– Although the Government has all the financial and technical documentation ready for the sale of nearly 50% of the shares of the 600MW Punta Catalina Power Plant, the process is on hold as a result of the pandemic and it’s estimated that it will be resumed in the middle of the year, after the presidential elections scheduled for July.

The information was provided by the Ministry of Finance to Listin, indicating that in this scenario that has imposed the expansion of the coronavirus in the world, international investors prefer to make investments in raw materials such as gold, and in financial instruments such as US Treasuries, sovereign bonds from other developed and emerging economies, and stocks from technology industries.

“We have accepted the recommendation of Guggenheim Securities, advisers to the Dominican Government to carry out the process, to pause the transaction until midyear when sanitary conditions allow greater economic dynamism,” Finance says.