NewsWhore
09-12-2006, 02:30 PM
According to economist Andre Dauhajre, the Santo Domingo Metro has spent its 2006 budget in just seven months, and the project is now seeking a RD$3 billion loan from the state-owned Banco de Reservas. As reported in Hoy newspaper, during the period, the governmental Office for the Reorganization of Transportation, (OPRET) in charge of the Metro project spent RD$ 1.65 billion, from a total 2006 budget of RD$1.74 billion. Dauhajre states that a possible loan would be given to the contractors, not the government, as that would violate a standing IMF agreement. He is doubtful the loan would be authorized, speculating the contractors wouldn't be able to back such a loan.
Dauhajre continues explaining that the metro would be the government's third monetary crisis, alongside the energy crisis and the quasi-fiscal deficit, and at a cost of RD$65-75 per person per ride, the metro would inevitably lead to more losses.
Dauhajre estimates that the first metro line, from Villa Mella to the Centro de los Heroes, will cost RD$20,000 million, double the initial projections for the line, and that OPRET president Diandino Pena recently admitted that it has not been possible to build a metro such as proposed for US$327 million in any country.
More... (http://www.dr1.com/index.html#3)
Dauhajre continues explaining that the metro would be the government's third monetary crisis, alongside the energy crisis and the quasi-fiscal deficit, and at a cost of RD$65-75 per person per ride, the metro would inevitably lead to more losses.
Dauhajre estimates that the first metro line, from Villa Mella to the Centro de los Heroes, will cost RD$20,000 million, double the initial projections for the line, and that OPRET president Diandino Pena recently admitted that it has not been possible to build a metro such as proposed for US$327 million in any country.
More... (http://www.dr1.com/index.html#3)