Dominican Republic

The IMF on Nov. 9 approved a standby loan of USD 1.7 billion for the Dominican Republic to help the country weather the impact of the global crisis. The 28-month loan will help the Caribbean nation's program ‘to pursue short-term counter-cyclical policies; strengthen medium-term sustainability; reduce vulnerabilities exposed during the global crisis; and lay the foundations for a gradual recovery and sustained growth,' the IMF said. In exchange, the government promises to reduce tax exemptions, improve banking supervision and better manage public debt. President Leonel Fernandez said recently that a nearly USD 600 million budget deficit spurred the government to seek help from the IMF. (AFP, AP)