Dominican Today, Dominican Republic
Bear Stearns doubts short delay onto DR-CAFTA would affect investment
21 June 2006
Santo Domingo.- A short term delay before implementing the DR-CAFTA trade accord should not significantly affect investment plans in the country, according to the U.S. investment company, Bear Stearns.
Franco Uccelli, analyst of the foreign financial entity, considered it unlikely that the Dominican Republic be ready by July 1st to enter the treaty, given that in the next 10 days, it is improbable that the National Congress approve the legislation package necessary to initiate the FTA.
Notwithstanding, according to Ucelli, as long as the delay is short-lived, investors would not necessarily be diverted to other Central American nations already in the treaty (El Salvador, Honduras and Nicaragua).
Yet, he also is of the view that, should delay extend 2-3 months, the country’s image could be affected, though the economy would not be damaged.