The National Organization of Commercial Enterprises (ONEC) acknowledged that the Dominican State faces a real need for greater resources to respond to the population’s demands and ensure the country’s fiscal sustainability. However, the entity made it clear that this need is not adequately addressed in the proposal presented by the Government.
The guild highlighted that the reform does not effectively address the main distortions affecting national economic activity, particularly those related to unfair competition and the expansion of informality, factors that continue to negatively impact formal commerce and companies that comply with their tax and regulatory obligations.
In that sense, the organization warned that some of the proposed measures could generate additional incentives for informality, deepening existing gaps and weakening efforts aimed at strengthening the formalization of the economy.
Likewise, ONEC pointed out the importance of any fiscal consolidation initiative being accompanied by clear indicators, verifiable goals, and monitoring mechanisms that allow for an objective evaluation of progress in terms of rationalization and efficiency of public spending. The entity observed that the proposal does not include sufficient elements to accurately measure the expected results in this area.
The organization also recalled that, within the framework of the Meta RD 2036 initiative, various alternatives were identified and discussed to strengthen state revenues and support the national goal of doubling the Gross Domestic Product (GDP). However, it pointed out that several of these proposals were not incorporated into the announced reform, even though the current context represented a favorable opportunity for their consideration.
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ONEC did positively acknowledge the measures aimed at supporting micro, small, and medium-sized enterprises (MSMEs), as well as the provisions related to wage indexation, as they understand these contribute to preserving the purchasing power of workers and strengthening productive sectors fundamental to the national economy.
Finally, the organization reiterated that the Dominican Republic needs to move towards a true comprehensive fiscal pact, built on broad consensus and aimed at promoting economic formalization, strengthening competitiveness, guaranteeing equitable conditions for all productive actors, and ensuring the long-term sustainability of public finances.
“The country requires a long-range fiscal vision that not only seeks higher revenues, but also corrects distortions, incentivizes formality, improves the quality of public spending, and strengthens the competitive capacity of the Dominican economy,” the entity concluded.
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