NewsWhore
02-19-2010, 02:30 PM
The Dominican government and the Inter-American Development Bank (IDB) have signed an agreement to open a US$100 million dollar line of credit for use in case of a natural disaster. Representing the government, Hacienda Minister Vicente Bengoa met IDB representative in the DR Manuel Labrado to sign the agreement on Thursday.
According to a statement by Bengoa, the credit line will kick in automatically in the event of a natural disaster. The funds would be repaid over 20 years, with a 5-year grace period. The interest rate was not specified in the report in El Nuevo Diario.
Labrado said that this was the first time that such a program would be put into place, and he said that Bengoa had suggested the idea when he was president of the Central American and Dominican Republic Council of Ministers of Hacienda.
Labrado pointed out that the credit line does not involve any cost and only becomes available if there is a hurricane or a 7.0 level earthquake. Labrado said that these mechanisms should be extended throughout the Caribbean region.
More... (http://www.dr1.com/index.html#2)
According to a statement by Bengoa, the credit line will kick in automatically in the event of a natural disaster. The funds would be repaid over 20 years, with a 5-year grace period. The interest rate was not specified in the report in El Nuevo Diario.
Labrado said that this was the first time that such a program would be put into place, and he said that Bengoa had suggested the idea when he was president of the Central American and Dominican Republic Council of Ministers of Hacienda.
Labrado pointed out that the credit line does not involve any cost and only becomes available if there is a hurricane or a 7.0 level earthquake. Labrado said that these mechanisms should be extended throughout the Caribbean region.
More... (http://www.dr1.com/index.html#2)