The Dominican Republic: A Safe Investment Destination

By Guzmán Ariza, Attorneys at Law

The Dominican Republic: A Safe Investment Destination

In a global context of high volatility and liquidity restrictions, the Dominican Republic has maintained the lowest country risk indicator in Latin America, standing out as a safe investment destination.

According to JP Morgan’s EMBI indicator, the Dominican Republic’s country risk improved from 530 basis points in March 2022 to 200 basis points in February 2025, its lowest historical level. This reflects the recognition of the country’s strong macroeconomic fundamentals.

Additionally, the Dominican Republic is the only Central American country with a positive risk rating outlook according to Fitch Ratings. Foreign direct investment has exceeded 4 billion dollars in the last three years, with expectations to reach 4.7 billion dollars by the end of 2025. Economic dynamism is also seen in remittances, tourism, and exports, which totaled more than 43 billion dollars in 2024.

Despite the appreciation of the dollar and high interest rates in the United States, the Dominican economy grew by 5.0% in 2024, with an inflation rate of 3.35% and an unemployment rate of 4.8%. The nominal GDP reached 124.5 billion dollars, positioning the country as the seventh largest economy in the region. Growth projections for 2025 are 4.5%, surpassing the Latin American average.

The Dominican financial sector is healthy and well-capitalized, with no evidence of significant macro-financial risks in the short term. There are opportunities to expand nearshoring and diversify exports, which would contribute to exchange rate stability.

Guzmán Ariza, Attorneys at Law

Guzmán Ariza is a leading full-service law firm in the Dominican Republic, consistently ranked among the country’s top-tier firms by the most prominent global legal directories such as Chambers and Partners and The Legal 500.

With ten strategically located offices across the nation's principal business and tourism hubs, we are uniquely positioned to support clients in seizing opportunities within the largest and fastest-growing economy in Central America and the Caribbean.

Our multilingual team is well-versed in advising international clients across a broad spectrum of practice areas. In the field of intellectual property, we offer robust counsel and representation in both commercial transactions and litigation. Our services cover trademark and trade name protection, copyright and patent registration and enforcement, as well as licensing, assignments, and the transfer of IP rights.

Guzmán Ariza is globally connected through active memberships in prominent international legal networks, enabling us to effectively support cross-border matters and multinational transactions.

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