Dominican industries look to dip into US$6.9B pension fund
Santo Domingo.- Dominican Industries Association (AIRD) president Campos de Moya on Thursday unveiled the sector´s own scheme to dip into the coveted pension fund , calling to enact policies and mechanisms to invest in productive and industrial activities.
He said the country´s RD$310.4 billion (US$6.9 billion) pension fund could cold boost companies with very limited access due to lack of a “clear investment policy of these (pension fund) and the numerous requirements imposed by the Risk Classification Commission.”
He said just 2.3% of all workers´ savings are placed in private equity firms, while most remain placed on public debt, which in his view is “counterproductive to the Social Security System´s objectives.”
The AIRD president noted that no country has been able to develop its productive sectors “without instruments of long-term financial support, easy access and competitive.”
De Moya stressed the need for an adequate legal framework for these funds to generate higher returns for their owners, while contributing to a stable economy by financing of productive activities.
The industrialist cited the conducive space the Dominican securities market, which he affirms “shows little depth and requires greater diversification, not only at home but also abroad,” with hard currency, housing, infrastructure, corporate shares, corporate bonds, industries, export trade,” among other instruments.
August 21, 2015
Category: DR News |