AGP Executive Report

Tax & Fuel Shock Plan: The Dominican government is moving a new anti-crisis package to Congress, aiming to raise about RD$80–90 billion through tax reform and spending containment, including a 3-year corporate income tax jump to 30% for large firms, higher taxes on checks/e-transfers, and a proposed US$10 airline ticket surcharge; it also plans to freeze fuel prices for three months if oil stays under US$95/bbl. Micro-Enterprise Relief: The same reform package would repeal the ISR advance payment for micro-enterprises (78% of ISR filers in 2025) and simplify small-business payments to three annual installments, plus eliminate outdated levies like the mortgage tax. Business Climate & Informality: CODESSD backed the fiscal reform direction but urged deeper fixes to tackle high informality, saying it weakens productivity and tax collection. Press Freedom: The National Union of Social Communication Workers (UNTC) rejected any initiative that could restrict freedom of expression or investigative journalism, warning against “gag law” effects. Trade & Agriculture: A new look at Dominican mango exports highlights growing demand and compliance upgrades (like GlobalG.A.P.) supporting shipments to the US and Europe. Tech & Telecom: Viettel approved a $560 million investment to enter the Dominican mobile market as the fourth operator via Viettel Dominicana. Real Estate Financing Pressure: Caribbean and Latin America hotel and commercial owners are being warned about a 2026 debt maturity crunch and refinancing costs that are hitting hospitality hardest.

Tax Reform Push: The Dominican government’s anti-crisis fiscal plan would raise about RD$80–90 billion via new revenue measures, including a 30% corporate income tax for three years on large firms (over RD$1B in annual revenue), plus higher taxes on checks/electronic transfers and other targeted levies. Oil & Fuel Stability: Officials also plan to freeze fuel prices for three months if oil stays at or below US$95 per barrel, aiming to limit subsidy pressure on consumers. Micro-Enterprise Relief: The package would repeal the ISR advance payment for micro-enterprises (78% of ISR filers in 2025) and shift small businesses to three annual payments instead of twelve, alongside steps to eliminate outdated taxes like the mortgage tax. Business Climate & Competitiveness: CODESSD backed the reform direction but urged deeper fixes, especially tackling high informality that weakens tax collection and social coverage; AIRD also stressed that sustainability must go hand in hand with competitiveness. New Telecom Player: Viettel approved a US$560 million investment to enter the Dominican mobile market as the fourth operator, via Viettel Dominicana. Agriculture Policy: The Senate approved in first reading a bill creating the Dominican Institute of Cassava (INDOCASABE) to boost production, processing, and exports. Trade & Security: The U.S. Coast Guard plans tightened entry rules for ships departing Haiti, a move that could affect regional shipping flows.

Telecom Competition: Viettel approved entry into the Dominican mobile market with a planned US$560M investment via Viettel Dominicana, aiming to compete as the fourth operator against Claro, Altice, and Viva. Energy Expansion: Energy & Mines Minister Joel Santos says the DR is set for its biggest power buildout in decades, with firm generation capacity expected to rise over 50% from 2025-2028 as demand climbs toward a 4,250 MW peak. Ports & Logistics: The DR became First Vice President of the OAS Inter-American Committee on Ports, boosting its role in regional port sustainability, tech, and logistics initiatives. Agriculture Policy: The Senate approved in first reading a bill to create the Dominican Institute of Cassava (INDOCASABE) to support production, processing, and exports. Bilateral Trade Push: The Dominican-Israeli Chamber of Commerce relaunches with a tech, innovation, and entrepreneurship agenda to restart bilateral business activity. Public Safety Training: The U.S. Embassy and DNCD completed specialized training to help dismantle clandestine drug labs, targeting synthetic drugs like fentanyl. Travel & Tourism Signals: Southwest opened bookings for winter 2027 with new Caribbean and Latin America routes, while Royal Caribbean added an extra La Romana port call on a July 4 sailing. Identity & Security: The DR’s new national ID card was named Best Identity Document 2026 in Latin America, highlighting upgrades in security and digital identity management. Health & Business Growth: VVT Med entered the DR through Antilles Medical as exclusive distributor for ScleroSafe under a trial-to-five-year pathway. Crime & Compliance: U.S. authorities announced convictions of two Dominican nationals tied to a counterfeit pharmaceutical scheme involving fentanyl-laced pills.

Energy Expansion: Energy & Mines Minister Joel Santos says the Dominican Republic is set for its largest energy buildout in decades, with firm generation capacity projected to rise over 50% between 2025 and 2028 as demand peaks near 4,250 MW this year. Inflation Watch: The Central Bank confirmed annualized inflation at 5.35% in May, with food easing (chicken, plantains) only partly offset by higher gasoline. Border Security & Growth: President Abinader unveiled the “Strong Border” plan—more troops, expanded smart fencing, drones and real-time monitoring—plus binational market upgrades and new vocational schools in border provinces. Ports & Trade: The DR was elected First Vice President of the OAS Inter-American Committee on Ports (CIP), aiming to boost sustainability, tech, and logistics integration. Regional Agriculture Deal: The DR and Guyana plan large-scale mango and avocado production, with Dominican experts supporting farmer training. Identity & Tech: The new Dominican national ID card won “Best Identity Document 2026” for security and operational performance, highlighting local tech participation. Social Investment: APAP will fund RD$131 million in 2026 for education, health, employability, entrepreneurship, and environmental sustainability. Business Debate: The Chamber of Deputies mapped RD$193.6M for Parlacen participation, renewing criticism over regional spending value. Aviation Incident: Dominican pilots’ association urges the DR to keep control of the La Romana crash investigation involving a US-registered Gulfstream.

Inflation Watch: The Central Bank confirmed annualized inflation hit 5.35% in May, above its 4% target band, with staples like chicken and plantains easing while fuel rose. Border Security & Development: President Abinader unveiled a “Strong Border” plan—more troops, expanded smart fencing, drones and real-time monitoring—plus upgrades to binational markets and vocational training in border provinces. Regional Diplomacy: The DR will transfer SICA’s Pro Tempore Presidency to Belize at end-June after chairing an extraordinary foreign ministers meeting. Parlacen Funding Debate: The 2026 budget sets aside RD$193.6M for the DR’s Parlacen participation, drawing criticism over value for money. Social Finance: APAP will invest RD$131M in 2026 for education, health, employability, entrepreneurship and environmental sustainability. Digital Skills Recognition: DR’s Armed Forces and National Police vocational schools won top honors at the Latam Digital Awards 2026. Aviation Safety Push: Dominican pilots’ association says the La Romana crash probe must stay under Dominican authority, despite the US registration and pilots. Trade & Business Links: The Dominican-Israeli Chamber of Commerce relaunched to boost investment and partnerships. Environment vs Mining Claims: Docalsa says its remediation project is restoration-only—terrain stabilization, revegetation and tree planting—under Environment Ministry oversight. Export Competitiveness: The WEIDE Fund is training women entrepreneurs in digital trade, with the DR named as a pilot country.

Tourism & Hospitality: The Dominican Republic wrapped its first “Dominican Week” in Belgium and the Netherlands, ending with an official reception in The Hague and new ties with partners like Wageningen University and IHE Delft, plus a business forum focused on investment, exports, the blue economy, sustainability and energy transition. Tourism Awards: The country and Secrets Playa Esmeralda won big at the 2026 Wave Awards, with the DR named Caribbean destination with highest visitor satisfaction for a third straight year and the resort taking Best New or Renovated Resort. Business Policy: President Luis Abinader met with private-sector leaders to review the national price table and coordinate steps to limit the impact of global price volatility on households and the economy. Social Protection: Government and UNDP launched parametric insurance for Supérate households, starting with 3,030 vulnerable families in Puerto Plata and Santo Domingo Norte against heavy rains and hurricanes. Finance & Development: APAP said it will invest RD$131 million in 2026 social projects across education, health, employability and entrepreneurship. Trade & Security: U.S. authorities reported a major cargo crime case involving cocaine concealed in flatbread shipped from the Dominican Republic to Canada. Aviation Tragedy: A U.S.-registered Gulfstream G200 crashed near La Romana during an emergency landing attempt, killing two American pilots; no passengers were aboard. Bilateral Commerce: Israel relaunched the Dominican-Israeli Chamber of Commerce to boost investment, partnerships and cooperation. Digital Skills: DR’s Vocational Schools of the Armed Forces and National Police won top honors at the Latam Digital Awards 2026 for digital transformation in education and government services. Tech & Work: A proposal letter argues the DR should build a unified digital nomad and remote-work policy to capture a $400B+ global market. Sports & Culture: Infotep hosted a hospitality masterclass with chefs from Spain’s Balearic Islands, strengthening tourism training ties.

Price Volatility Watch: President Luis Abinader met with CONEP, AIRD, ONEC, ÚNASE and agribusiness leaders to review the national price table and coordinate steps to cushion Dominican consumers from global oil and gas swings. Tourism Recognition: The Dominican Republic and Secrets Playa Esmeralda won top honors at the 2026 Wave Awards, with the country named Caribbean destination for visitor satisfaction for a third straight year. Aviation Safety Shock: A U.S.-registered Gulfstream G200 crashed during an emergency landing attempt near La Romana, killing both American pilots; Yadier Molina said the flight was headed to Texas to pick him up and his family. Sports & Talent Pipeline: FIVB’s female coach initiative is gaining traction at VNL 2026, with Dominican Republic among the teams registering a female coach. Energy Transition: Energy Minister Joel Santos said non-conventional renewable generation could reach 2,600 MW by 2028, with about 2,000 MW already in production and 200 MW of storage ready by end-2026. Climate Diplomacy: The DR will chair UNFCCC SBSTA 64, with Dr. Carol Franco leading technical negotiations in Bonn. Financial Integrity Alert: The Superintendency of Banks warned the public about a fake “Pro Renta” investment platform. Gambling Crackdown Pressure: Fenabanca says lottery betting moves over RD$400 million daily and blames illegal betting shops for the surge, calling for stronger enforcement.

Renewables Push: Energy Minister Joel Santos says the DR is already near 2,000 MW of non-conventional renewable power and expects about 2,600 MW by 2028, with major investment and storage projects aimed at stabilizing peak hours. Climate Diplomacy: The Dominican Republic will chair UNFCCC’s SBSTA 64 session in Bonn, with Minister Paíno Henríquez calling it recognition of the country’s technical leadership. Fraud Watch: The Superintendency of Banks warns the public about a fake “Pro Renta” investment platform that imitates official branding. Trade & Tariffs: U.S. USTR proposes new Section 301 forced-labor tariffs affecting 60 economies, a move that could matter for DR exporters as stakeholders weigh comments and exemptions. Aviation Shock: A U.S.-registered Gulfstream G200 crashed during an emergency landing at La Romana, killing both pilots; the flight was reportedly headed to Texas to pick up Yadier Molina. Food & Industry: Abinader met with commercial, industrial, business, and agricultural sectors to coordinate actions to cushion international price volatility, including oil and gas. Air Connectivity: Iberojet launches direct Barcelona–Punta Cana flights starting June 21 for summer 2026. Road Funding: RD Vial reports toll collections of RD$5.78B in Jan–May 2026, supporting major road works nationwide.

Aviation Tragedy: A US-registered Gulfstream G200 crashed during an emergency return to La Romana International Airport, erupting into a massive fireball after skidding off the runway; Dominican authorities and investigators (IDAC/CIAA) have launched a probe into the mechanical emergency reported about 16 nautical miles southwest, with both crew members killed and no passengers onboard. Air Connectivity: Iberojet will launch direct Barcelona–Punta Cana flights starting June 21, weekly on Sundays through September, adding to its Madrid and Lisbon routes ahead of the 2026 summer season. Payments & AI Commerce: Banco Santa Cruz joined Visa’s “Agentic Ready” program to help banks prepare for AI-agent initiated payments using tokenization, identity and risk controls. Road Funding: RD Vial reported toll collections of RD$5.78B from January–May 2026, supporting road works including the Navarrete Bypass and other major infrastructure projects. Public Policy & Business: President Abinader reiterated government support for the flour industry to help stabilize bread costs, while Conep pushed back against a proposed 10% U.S. tariff tied to forced-labor concerns. Urban Mobility: Santo Domingo’s Metro Line 2C will remove the mandatory train transfer at Franklin Mieses station, letting riders continue to María Montez. Tech Workforce: ITLA held its 20th graduation with 642 new professionals, including new Semiconductor and Tech degrees aimed at the AI-era job market. Labor Equity Tech: CONTONO said salary transparency can’t be handled as a one-off report and must be a recurring HR process after more than 20 pay-transparency diagnostics. Environment & Tourism Pressure: Sargassum has intensified along key beaches like Boca Chica and Guayacanes, affecting visitors and local beach businesses.

Aviation & Safety: Two crew members died after a U.S.-registered Gulfstream G200 crashed while returning for an emergency landing at La Romana International Airport; IDAC says the aircraft declared an emergency about 16 nautical miles southwest of the airport, and an investigation is underway. Tourism Impact: Sargassum seaweed is piling up on major beaches in Boca Chica and Guayacanes, hurting vendors and beach operators as decomposing algae keeps visitors away. Governance & Risk: Transparency International’s 2025 Corruption Perceptions Index ranks the Dominican Republic among the lowest-scoring Caribbean countries, a signal investors watch for governance risk. Tech & Education: PUCMM students won the Grand Prize in the Computing category at the Huawei ICT Global Competition 2025-2026, marking a first for Latin America and the Caribbean in that track. Local Business Policy: A bill dubbed “Safe Helmet RD” would incentivize use of approved motorcycle helmets by cutting ITBIS and import duties on homologated models and enabling subsidies for lower-income riders. Connectivity & Travel Demand: Canada’s tourism to the DR is strengthening, with the Tourism Ministry citing 1.1M+ Canadian visitors in 2025 and Quebec as a key source market.

Tech & Education: PUCMM students won the Grand Prize in the Computing track at Huawei’s ICT Global Competition 2025-2026, a first for Latin America and the Caribbean, spotlighting Dominican talent on a global stage. Public Safety: Lightning protection specialists warn that DR fatalities often come from people’s exposure during storms, urging stronger adoption of technical standards and basic sheltering behavior. Tourism Demand: Dominican tourism is seeing a boost from Canada, with Minister David Collado citing 1.1M Canadian visitors in 2025 and highlighting Quebec and Ontario as key source markets. Aviation & Business: U.S. low-cost carrier Breeze Airways targets an IPO in 2027 and is pushing international routes that include the Dominican Republic, signaling continued airline interest in DR connectivity. Road Safety Policy: Deputies will study a bill to incentivize “Safe Helmet RD” use, including tax and import-duty exemptions for homologated helmets and possible subsidies for workers like motorcycle taxi drivers. Energy Infrastructure: ETED scheduled preventive maintenance at the Los Mina substation, with planned outages across Santo Domingo Este communities. Trade & Compliance Risk: A U.S. forced-labor investigation focus raises concerns about how compliance could affect Dominican exports and business access.

AI in Education: Tabuga and Chile’s National Center for Artificial Intelligence (CENIA) are bringing an “AI adoption in education” webinar series to Dominican TV, airing Sundays on CDN Channel 37, aiming to help teachers and schools manage AI use with practical, region-based guidance. Road Safety Policy: A Chamber of Deputies bill would push “Safe Helmet RD” by cutting ITBIS and import duties on homologated motorcycle helmets, with possible subsidies for lower-income riders and delivery workers. Energy & Grid Reliability: ETED scheduled preventive maintenance at the 69 kV Los Mina substation, requiring a planned power interruption in multiple Santo Domingo Este communities. Electricity Safety Tips: Edeeste reminded families during school holidays to keep kids from flying kites near power lines and to avoid unsafe charging practices. Trade & Exports: Gold continues to support Dominican export earnings and tax revenues in 2026, while forced-labor concerns could affect trade flows. Business Diplomacy: The Dominican Republic and the Netherlands boosted economic and logistics ties during a forum in The Hague, including a Port of Rotterdam visit. Aviation Watch: Aerodom denied reports of cable theft at Las Américas, saying operations and safety are normal.

U.S. forced-labor tariffs: The USTR proposed 10%–12.5% Section 301 tariffs on 60 economies for failing to block forced-labor imports, with the Dominican Republic included—though some CAFTA-DR textiles/apparel and other categories are exempt. Business response: CONEP says the probe is broad (not a direct accusation) and highlights ongoing dialogue with Dominican authorities and the private sector. Mining and exports: Gold exports are surging in 2026, lifting mining tax collections and boosting state revenues. Energy infrastructure: ETED scheduled preventive maintenance at the Los Mina substation in Santo Domingo Este, with planned outages affecting nearby communities. Electric safety: Edeeste urged families to keep kids from flying kites near power lines and to avoid using devices while charging in unsafe conditions. Regional trade push: The DR and the Netherlands held a logistics/blue economy/innovation forum in The Hague to deepen economic and commercial ties. Tourism and culture: Jarabacoa’s 15th Flower Festival runs through June 7, drawing thousands and spotlighting local entrepreneurship and ecotourism. Airports: Aerodom denied cable-theft reports at Las Américas, saying operations and safety are normal.

Trade & Exports: The U.S. Trade Representative proposed new Section 301 tariffs tied to forced-labor enforcement, with potential 10%–12.5% duties across 60 economies—an issue that could directly affect Dominican exports to the U.S., especially free-zone supply chains. Business Advocacy: The National Council of Private Enterprise (CONEP) says the probe isn’t a direct accusation and that Dominican authorities are in dialogue with U.S. counterparts to address concerns. Economic Diplomacy: The Dominican Republic and the Netherlands boosted ties at a business forum in The Hague focused on logistics connectivity, the blue economy, and innovation. Investment Promotion: ProDominicana will recognize top foreign investors at the Americas Investment Forum 2026 on July 1, highlighting job creation and sector growth. Agribusiness: Expo Mango 2026 in Baní points to near 10 million boxes of mango exports this year, driven by producers and modernization. Infrastructure & Water: President Abinader urged Latin America and the Caribbean to treat water and sanitation as a top development priority, citing major DR investments for coastal and tourist cities. Energy/Utilities Safety: Edeeste reminded families to avoid flying kites near power lines and to use safe charging practices during school holidays.

Visa & Travel Policy: Curaçao’s economic minister met Dominican FM Roberto Álvarez and signed an agreement aimed at removing the visa requirement for Dominican visitors—an expected boost for tourism, trade, and connectivity. Water & Sanitation Investment: President Abinader urged Latin America and the Caribbean to treat water and sanitation as a top development priority, citing public health, tourism, and climate resilience benefits tied to major DR water projects. Mango Exports: DR is on track to export nearly 10 million boxes of mangoes in 2026, with the sector highlighting jobs, rural development, and expanding U.S. market opportunities. Forced-Labor Trade Risk: The U.S. is scrutinizing DR under forced-labor trade rules, raising the stakes for exports to the DR’s biggest market and potential tariff costs—while also creating nearshoring pressure on competitors. Diplomacy & Security: DR and Belgium held their first bilateral political consultations, covering trade, agribusiness, academic exchange, and security cooperation. Tourism Demand Signals: Virgin Voyages announced new 2028 Caribbean sailings that include Puerto Plata, pointing to continued interest in DR as a cruise stop. Banking Growth Story: JMMB’s banking expansion in the region (including the Dominican Republic) is gaining traction even as profits fell, driven by deposit growth and higher banking contribution.

Aviation & Trade Connectivity: Curaçao’s economic development minister met Dominican aviation officials and airlines to expand air links and position Curaçao as a Caribbean hub, aiming to boost tourism and business travel. Port & Logistics Investment: DP World is adding US$100M to expand the Caucedo free zone at the Dominican Republic’s port, strengthening logistics capacity. Consumer Protection Leadership: The Dominican Republic wrapped up its ICPEN presidency, handing the role to Georgia after highlighting stronger cross-border consumer enforcement and digital-market protections. U.S. Tariffs Risk for DR Exports: The U.S. proposed Section 301 forced-labor tariffs covering 60 economies; the Dominican Republic is listed in the 12.5% tier, putting additional costs pressure on trade flows. State Execution Style: Coverage highlights President Luis Abinader’s “permanent presence” strategy—frequent tours across all provinces and the National District to supervise and accelerate public works. Fraud Case in the U.S.: A Dominican national in Massachusetts was indicted for allegedly using a stolen identity to obtain about $30K in unemployment benefits and about $14K in SNAP benefits. Tourism & Culture: The DR will host the 2026 Dominican Book and Culture Festival in New York (July 10–12), featuring literature, entrepreneurship, and diaspora-focused programming.