Dominican central banker says Q1 GDP growth slowed to 5.7%

Dominican central banker says Q1 GDP growth slowed to 5.7%

Economy & Policy People Dominican Republic Caribbean

The Dominican Republic’s economic growth slowed to 5.7% in 2019’s first quarter from 6.4% a year earlier, according to central bank governor Héctor Valdez.

Speaking at LatinFinance’s 4th Caribbean Finance & Investment Forum in Santo Domingo, Valdez said that economic growth would exceed 5.5% in 2019. That’s down from the unexpectedly strong 7% expansion in 2018, a pace not seen since 2015.

Growth had been expected to moderate in 2019 but remain strong, thanks largely to the Caribbean country’s robust tourism and mining industries. The Dominican economy, one of the most resilient in the region, has expanded an average of 6.3% over the past five years.

Valdez also said inflation would come in at the lower end of the 2019 projection, which is one or two percentage points above or below 4%.

“Undoubtedly, these low inflationary pressures give us ample opportunities to stimulate the economy in case risks arise in the international economy,” he said.