Dominican Republic: GDP expands at fastest pace in four years
March 3, 2011
According to a more complete set of data released by the Central Bank on 3 March, GDP grew 7.8% in the full year 2010. The reading more than doubled the 3.5% expansion recorded in 2009 and confirmed the result of a preliminary estimate released by the Central Bank on 21 December 2010. The reading marked the fastest pace over the last four years and beat Central Bank expectations of 7.0%. Expanding activity within the industrial and services sectors drove the positive performance of the Dominican economy. In particular, the industrial sector rose 7.8%, contrasting the 2.5% drop recorded in 2009 and marking the strongest result in more than a decade. Services added 7.3%, up from the 4.9% expansion recorded in the previous year and, finally, agriculture expanded 5.5%, less than half the 12.5% increase in 2009. Based on annual figures, the economy expanded 8.5% in the fourth quarter, up from the 7.8% third quarter increase. The reading represented the fourth consecutive quarter with a growth rate above 7.0% and marked the strongest result since the second quarter of 2008. The Central Bank expects the economy to grow 5.5% in 2011.
Author: Armando Ciccarelli, Head of Data Solutions