Santo Domingo.- The Central Bank of the Dominican Republic ordered a 50 basis point reduction in its monetary policy interest rate, from 3.50% to 3.00% per year, while reporting that, according to preliminary data, the economy would have fallen around 8.5% in July.
In addition, it narrowed the interest rate corridor, by reducing the interest rate of the permanent liquidity expansion facility (1-day Repos) from 4.50% to 3.50% per annum, while the interest rate of paid deposits (overnight) remains at 2.50% annually. “In this way, the corridor of the permanent liquidity facilities of the Central Bank will have a range of ± 50 basis points with respect to the monetary policy rate.”
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