|Volume No. 1 Issue No. 67 - Tuesday April 05, 2005
|Dominican Economy on the Rebound |
by TheDominican.net Newsdesk
Coordinator of the Economic Recovery Program in Dominica, Swinburne Lestrade is reporting that the economy of Dominica has experienced real growth of some 3.4 percent over the past year.
This positive development followed on the heels of an economic recovery program undertaken by then Prime Minister Pierre Charles in 2002. At the time, the economy was reeling from the demise of the banana industry and the adverse effects on tourism from the events of September 11, 2001.
The government embarked on a standby arrangement with the IMF and imposed a 5 percent Stabilization Levy on the wage earners in Dominica.
Lestrade, in addressing a National audience on the state of the economy noted that progress could be measured specifically with respect to growth, poverty reduction, and an elimination of the government fiscal deficit.
He noted that revenue from sales taxes had picked up considerably, which served as a proxy for an upswing in business activity on the island. In addition, more people were at work and stability had returned to government finances.
Lestrade�s assessment of the economy seems to have been confirmed by the IMF, which indicated in a March 2005 press statement that: �The Dominican authorities deserve much credit for the continued successful implementation of its economic recovery program. Significant fiscal consolidation has been achieved ahead of schedule, and substantial progress has been made in debt restructuring. As a result, recent macroeconomic trends have been positive.�
In the recent past, the opposition United Workers Party (UWP) has accused government of exaggerating the economy�s growth prospects, and had indicated that the average Dominican was not feeling the effects of the increased economic activity.
IMF Completes Third and Fourth reviews under PRGF Program