On 27 February the Dominican Republic’s President Luis Abinader outlined key achievements of his Partido Revolucionario Moderno (PRM) government.
Analysis:
President Abinader was presenting the final balance sheet of his four-year mandate to congress ahead of the May presidential contest in which he is seeking re-election. Abinader is widely expected to win a second term due to continued popular support. This stems from his stable management of the economy and perceived progress in the fight against corruption - the main complaint of previous Partido de la Liberación Dominicana (PLD) administrations, which governed for 16 years prior.
- In his balance sheet, Abinader highlighted economic progress which remains a key factor underpinning his popularity. He highlighted that the country’s economy had averaged annual growth of 6.43% between 2021 and 2023, with GDP growth for 2024 projected at between 4.5% and 5.2% - one of the highest rates in Central America.
- He affirmed that inflation, which closed 2023 at 3.57%, was expected to fall within the 4.0% +/-1 target range, and highlighted record US$4.38bn in foreign direct investment (FDI) last year, as well as record tourism, with over 10m visitors to the country last year. He also claimed that in the final quarter of 2023, unemployment was 5%, down from 7.1% in August 2020 – the month he took office.
- He also highlighted a drop in consolidated public sector debt under his government, from 61% of GDP in August 2020, to 59.1% of GDP in December 2023 and underlined positive revisions by international credit ratings agencies such as Fitch, Moody’s, and Standard & Poor’s, under his tenure.
- President Abinader also sought to emphasise that this growth had translated into improved indicators regarding poverty, with the national poverty rate falling from 25.8% in 2019 to 23% in 2023, and better public services.
- As regards health for example, he pointed to the inauguration of 45 hospitals, which had been reconstructed, expanded, and equipped, constituting an investment of about D$4bn (US$68m). He also highlighted improvements to education, with 121 new schools constructed, with an investment of over US$10bn, of which 89 were completed last year.
Looking Ahead: With the 18 February municipal elections having provided the first real test of support for Abinader and his PRM ahead of the 19 May election, the clear victory for the ruling party suggests he is on track for an easy re-election.
