The central bank of Dominican Republic left its benchmark interest rate steady at 5.5 percent at its February 28th 2019 meeting. Policymakers said that the decision is based on an analysis of the risk balance around inflation, macroeconomic indicators and market expectations. The Committee noted that the annual inflation rate fell to 0.71 percent in January from 1.17 percent in December, reaching its lowest since September 2015, and remained well below the target range (4.0 percent ± 1.0 percent). Policymakers also added that Dominican economy continues to grow above potential, nudged by investment and private spending. Interest Rate in Dominican Republic averaged 7.38 percent from 2004 until 2019, reaching an all time high of 50 percent in February of 2004 and a record low of 1 percent in January of 2004.
Interest Rate in Dominican Republic is expected to be 5.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Interest Rate in Dominican Republic to stand at 5.50 in 12 months time. In the long-term, the Dominican Republic Interest Rate is projected to trend around 5.25 percent in 2020, according to our econometric models.