The Chamber of Deputies approved a new loan for US$100 million for “additional financing in support of the National Education Pact”, which will be executed by the Ministry of Education (Minerd).
The contract was signed on December 10, 2019 between the Dominican Republic and the International Bank for Reconstruction and Development (IBRD) and was submitted to Congress by the Executive Branch on May 18.
As explained by President Luis Abinader in a letter sent to the president of the Chamber of Deputies, Alfredo Pacheco, the money from the loan will support the Dominican Government “in the substantial deepening of the educational reform agenda in key areas”.
The objectives specifically include hiring and training primary and secondary school teachers, evaluating student learning and the quality provided by the Early Childhood Integral Attention Centers, and improving the decentralization process of public school management.
Regarding repayment, the letter indicates that the country will pay an annual credit fee of 0.25 percent on the initial amount of the loan and an annual commitment fee also of 0.25 percent on the undrawn balance of the loan.
Upon approval by the deputies, the loan agreement will pass to the Senate of the Republic, which will have the final decision.
This Wednesday, the deputies also approved three loans for a global amount of US$139 million, as well as the complementary budget bill which establishes expenditures for more than US$85 billion.