NewsWhore
06-01-2011, 03:40 PM
Central Bank advisor, Frank Fuentes Brito, said yesterday that the Dominican economy showed a positive growth of 4.3% in the first quarter of this year, with valued added to most economic activities and positive performance. He said that the economy did not shrink by 3.2% in the first quarter because it was not possible to subtract the 4.3% growth in the first quarter from the 7.5% growth in the same quarter of 2010, because this was an inadequate interpretation of the analysis of the growth rates. He said that in order for any economy to verify a contraction, the growth rate of the real GDP has to be negative in the period under study, which would imply that the national production had fallen with respect to the period of reference, which if it were so, would indicate that the country would be on the edge of an economic recession, with gloomy prospects for the short term, which is not the case of the Dominican economy.
He showed that reporting that the economy shrunk by 3.2% could lead to negative prospects among the economic actors at a time in which the national economy requires the public and private sectors to work together to successfully overcome the challenges that the oil shock, the increase in the prices of commodities and the current agreement with the International Monetary Fund imply. Fuentes Brito, in a letter to the director of Diario Libre, Adriano Miguel Tejada, says that the reality is that the economy is maintaining positive growth, although more moderate than in 2010 and more adapted to its potential capacity. Regarding the central government's RD$16 billion cash flow deficit in the first quarter, he said that all they did (the critics) was make a simple comparison between income and expenses, without taking into account that in order to reach a greater level of expenditure the government required financing and this was contemplated in the budget.
More... (http://www.dr1.com/index.html#3)
He showed that reporting that the economy shrunk by 3.2% could lead to negative prospects among the economic actors at a time in which the national economy requires the public and private sectors to work together to successfully overcome the challenges that the oil shock, the increase in the prices of commodities and the current agreement with the International Monetary Fund imply. Fuentes Brito, in a letter to the director of Diario Libre, Adriano Miguel Tejada, says that the reality is that the economy is maintaining positive growth, although more moderate than in 2010 and more adapted to its potential capacity. Regarding the central government's RD$16 billion cash flow deficit in the first quarter, he said that all they did (the critics) was make a simple comparison between income and expenses, without taking into account that in order to reach a greater level of expenditure the government required financing and this was contemplated in the budget.
More... (http://www.dr1.com/index.html#3)