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The president of the Dominican Republic, Luis Abinader, will assume his second term determined to reform the Constitution

The president of the Dominican Republic, Luis Abinader, will assume his second and last term of government next Friday after achieving re-election last May, and he will do so with a view to a constitutional reform, criticized by many, and a fiscal reform, which has been postponed for years.

Just hours before the results of the May elections were known, Abinader, of the Modern Revolutionary Party (PRM, liberal and progressive), announced his intention to change the Constitution, which would be the fourth reform of this century, and everything indicates that he will do so.

Trusting that this “is the last” reform, Abinader, a 57-year-old economist, should not have major inconveniences in bringing this proposal of changes in the Magna Carta to fruition, if it is taken into account that the PRM will mostly control the National Congress from Friday, after rising in the elections with 29 of the 32 senators and 146 of the 190 deputies.

The initiative, which will be presented to Congress coinciding with the investiture, has among its main objectives to prevent changes to the rules of the presidential election (limited to two consecutive terms), consolidate the independence of the Public Ministry (Public Prosecutor’s Office), reduce the number of deputies and unify the holding of elections, according to the proposal presented by Abinader a few days ago to the press.

It is not, he said then, “a conjunctural reform driven by partisan political needs or individual aspirations,” but it is “thought for the benefit of the community” and to consolidate the principles of democracy, transparency and institutionality, as “a shielding of democracy.”

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But, at the same time that the Government and the PRM defend the eventual reform, there is also a growing criticism from the opposition, which considers a change of the Magna Carta to be inopportune.

Among the critics is former president Leonel Fernández, who faced Abinader in the elections and who considers that the best way to protect the Constitution is not to touch it, although he already did it in 2010.

In return, the three-time president of the Dominican Republic, whose party, the People’s Force, is the second formation in the National Congress, proposes that the referendum law be approved, which is contemplated in the 2010 Constitution, but still without legislation in this regard.

The questions have also been joined by prosecutors, who fear that, through the reform, the Superior Council of the Public Ministry will be eliminated, which Abinader denies.

Along with the constitutional change, Abinader also has a tax reform in the sights.

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Dominican Republic – with an average annual growth rate of approximately 5% for decades and which, as reported on Tuesday by the Economic Commission for Latin America and the Caribbean (ECLAC), will lead the growth of the region with 5.2% in 2024 – has had a fiscal reform pending for years, a promise already of Abinader’s campaign for the 2020 elections.

In fact, just two months after assuming power for the first time and in the midst of the COVID-19 pandemic, Abinader presented a plan with new taxes to face the crisis, but ended up withdrawing it due to criticism.

Representatives of the public sector, the private sector and even international organizations understand that the reform is urgent.
According to a recent report by the International Monetary Fund (IMF), fiscal reform can help the Dominican Republic attract more investment.

However, “beyond the much-needed increase in tax revenues,” the comprehensive tax reform “should include the adoption of a tax rule that establishes limits on long-term public debt, which would increase certainty and help safeguard fiscal sustainability,” says the IMF.

Another “critically important” reform, according to the IMF, is to address the failures of the electricity sector, which come from far away and have generated significant losses, which average between 1% and 2% of annual GDP in the last decade.

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Apart from these issues, Abinader will also have to face long-standing social debts in the next four years, along with the deficient health system, labor informality or insecurity.

And at the same time it will have to face the increasingly chaotic traffic, which every year causes between 3,000 and 4,000 deaths, making the country one of the first places in the world in road deaths.

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International

Paraguay summons Brazilian ambassador over Itaipú espionage scandal

Paraguay summoned the Brazilian ambassador in Asunción on Tuesday to demand “explanations” and called its own representative in Brasília for consultations following Brazil’s acknowledgment of an espionage operation. The Brazilian government, led by President Luiz Inácio Lula da Silva, attributed the operation to the previous administration.

The surveillance effort aimed to uncover Paraguay’s position in now-suspended negotiations with Brazil regarding the pricing of electricity from the binational Itaipú hydroelectric plant, according to reports in the Brazilian press.

The Brazilian government “categorically denied any involvement in the intelligence operation,” stating in a Foreign Ministry communiqué on Monday that the espionage was carried out under former President Jair Bolsonaro’s administration (2019-2023).

“The operation was authorized by the previous government in June 2022 and was annulled by the interim director of the (state intelligence agency) ABIN on March 27, 2023, as soon as the current administration became aware of it,” Brazil’s government asserted.

Paraguay’s Foreign Minister Rubén Ramírez announced that Brazilian Ambassador José Antonio Marcondes de Carvalho was summoned “to provide detailed explanations” regarding the operation. Additionally, Paraguay recalled its diplomatic representative in Brasília “to report on aspects related to the intelligence activity conducted by Brazil regarding Paraguay’s government affairs.”

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International

Elon Musk to step down as government advisor, per Trump insiders

President Donald Trump has informed his inner circle that Elon Musk will be stepping down from his role as a government advisor, according to a report by Politico today.

Citing three individuals close to Trump, Politico states that the president is pleased with Musk’s leadership at the Department of Government Efficiency (DOGE), where he has implemented significant budget cuts. However, both have agreed that it is time for Musk to return to his businesses and support Trump from a different position outside the government.

A senior administration official told Politico that Musk will likely maintain an informal advisory role and continue to be an occasional visitor to the White House. Another source warned that anyone thinking Musk will completely disappear from Trump’s circle is “deluding themselves.”

According to the sources, this transition is expected to coincide with the end of Musk’s tenure as a “special government employee,” a temporary status that exempts him from certain ethics and conflict-of-interest regulations. This 130-day period is set to expire in late May or early June.

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International

Milei vows to make Argentina so strong that Falkland Islanders “choose” to join

Argentine President Javier Milei reaffirmed his country’s claim over the Falkland Islands (known as the Islas Malvinas in Argentina) and praised the role of the nation’s armed forces during a ceremony marking the “Veterans and Fallen Soldiers of the Malvinas War Day,” commemorating 43 years since the 1982 conflict with the United Kingdom.

Argentina continues to assert sovereignty over the islands, arguing that Britain unlawfully seized them in 1833.

“If sovereignty over the Malvinas is the issue, we have always made it clear that the most important vote is the one cast with one’s feet. We hope that one day, the Malvinas residents will choose to vote with their feet and join us,” Milei stated.

“That is why we aim to become a global power—so much so that they would prefer to be Argentine, making deterrence or persuasion unnecessary. This is why we have embarked on a path of liberation, working to make Argentina the freest country in the world and once again the nation with the highest GDP per capita on the planet,” he added.

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