NewsWhore
03-08-2011, 03:20 PM
Economist Raul Feliz warns that the Dominican economy is overheating due to excess spending and reductions in savings both in the public as well as the private sector. Speaking on the subject "The Challenges of the Dominican Republic in the Global Economic Context", Feliz criticized the fall in internal savings that will force the government to use external financing to cover public expenditures by almost 100%. Feliz was speaking at an event sponsored by the National Association of Young Entrepreneurs (ANJE) and the Ministry of Economy, Planning and Development.
According to Hoy newspaper, Feliz said that, "looking at the future, the situation is vulnerable..." because contrary to what happened in much of the world during the great recession of 2007-2008 where private savings were increased, the same thing did not happen here. And the government keeps spending 5% of the GDP. Feliz insisted that the country needed to save more in order to achieve sustainable growth. He pointed out that foreigners are financing 50% of the investment expenditures in the country.
More... (http://www.dr1.com/index.html#4)
According to Hoy newspaper, Feliz said that, "looking at the future, the situation is vulnerable..." because contrary to what happened in much of the world during the great recession of 2007-2008 where private savings were increased, the same thing did not happen here. And the government keeps spending 5% of the GDP. Feliz insisted that the country needed to save more in order to achieve sustainable growth. He pointed out that foreigners are financing 50% of the investment expenditures in the country.
More... (http://www.dr1.com/index.html#4)