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Public finances: the budget, the fiscal responsibility law, debt and credit ratings

Last verified: 2026-10-30 · Status: Changing

The 2027 budget bill went to Congress on 25 September 2026 with revenue of RD$1,510,574.5 million, spending of RD$1,837,856.0 million and a central government deficit of 3.4 percent of GDP. It is not yet law. Ley 35-24 caps growth in primary spending at projected inflation plus 3 points and aims for debt of no more than 40 percent of GDP by 2035. Debt was 47.9 percent of GDP for the non financial public sector and 57.7 percent consolidated at June 2026. Interest takes about 23 percent of projected revenue. S&P rates the country BB, Moody's Ba2 and Fitch BB-.

USD figures use the Banco Central de la República Dominicana reference selling rate of RD$60.9007 per US dollar for 29 October 2026, the latest row in its published rate file on the verification date. Conversions are for orientation only. Official US dollar figures published by the Banco Central or the budget are shown as published.

Key facts

Central government revenue, 2027 bill	1510574.5 DOP millionProyecto de Ley PGE 2027 art. 11, as of 2026-09-25 · pending
Central government spending, 2027 bill	1837856.0 DOP millionProyecto de Ley PGE 2027 art. 12, as of 2026-09-25 · pending
Central government deficit, 2027 bill, share of GDP	3.4 %Proyecto de Ley PGE 2027 art. 61, as of 2026-09-25 · pending
Revenue to GDP, 2027 bill	15.7 %Presupuesto Ciudadano 2027, as of 2026-09-25 · pending
Gross financing sources, 2027 bill	464126.0 DOP millionProyecto de Ley PGE 2027 art. 16 and art. 61, as of 2026-09-25 · pending
Interest on the debt, 2027 bill	351327.1 DOP millionProyecto de Ley PGE 2027, as of 2026-09-25 · pending
Deadline to submit the budget	1 October dateConstitución art. 128 num. 2 lit. g, as of 2024-10-27 · in force
Debt ceiling goal for 2035	40 % of GDPLey 35-24 art. 4, as of 2024-08-02 · in force
Primary spending growth ceiling	projected inflation plus 3.0 percentage points ruleLey 35-24 art. 5, as of 2024-08-02 · in force
Spending threshold for disaster suspension	0.3 % of GDPLey 35-24 art. 8, as of 2024-08-02 · in force
Non financial public sector debt to GDP	47.9 %Deuda pública consolidada trimestral, as of 2026-06-30 · in force
Consolidated public debt to GDP	57.7 %Deuda pública consolidada trimestral, as of 2026-06-30 · in force
Consolidated public debt	81179.4 USD millionDeuda pública consolidada trimestral, as of 2026-06-30 · in force
External share of non financial public sector debt	71.0 %Informe de Avance 2027, Tabla 15, as of 2026-05-31 · in force
Average interest rate on non financial public sector debt	7.6 %Informe de Avance 2027, Tabla 16, as of 2026-03-31 · in force
S&P long term foreign currency rating	BB (stable) ratingInforme de Deuda Pública marzo 2026, as of 2026-03-31 · in force
Moody's long term rating	Ba2 (stable) ratingInforme de Deuda Pública marzo 2026, as of 2026-03-31 · in force
Fitch long term foreign currency rating	BB- ratingInforme de Deuda Pública marzo 2026, as of 2026-03-31 · in force

The rule

1. The Executive prepares the budget bill and must submit it to Congress by 1 October each year. The 2027 bill was delivered to the Chamber of Deputies on 25 September 2026, one week before the deadline. The Consejo de Ministros approved it on 17 September 2026.Constitución de la República 2024; Presidencia note of 25 September 2026, art. 128 num. 2 lit. g and art. 233, 2026-09-25 official text · verified 2026-10-30

2. Congress can add or change budget items only with two thirds of those present in each chamber, or by an absolute majority of all members if the bill arrives late. Any law creating a payment obligation for the State must identify its funding. If no budget passes by 31 December, the prior year's law applies with the adjustments set in the organic budget law.Constitución de la República 2024, art. 234, art. 235, art. 237 and art. 239, 2024-10-27 official text · verified 2026-10-30

3. The 2027 bill projects central government revenue of RD$1,510,574.5 million (15.7 percent of GDP) and spending of RD$1,837,856.0 million (19.2 percent), for a deficit of RD$327,281.5 million (3.4 percent). Financing sources are RD$464,126.0 million, of which RD$147,589.1 million domestic and RD$316,536.9 million external, and financial applications RD$136,844.5 million. Status: bill, not law. No vote in either chamber was found as of 30 October 2026.
Example: Deficit RD$327,281.5 million. / About US$5,374.0 million.Proyecto de Ley de Presupuesto General del Estado 2027, art. 11, art. 12, art. 15 and art. 16, 2026-09-25 official text · verified 2026-10-30

4. The bill's consolidated budget, adding autonomous bodies and social security institutions, totals RD$2,084,127.4 million, with revenue of RD$1,620,001.4 million, spending of RD$1,944,738.7 million and a deficit of RD$324,737.3 million. The figure of RD$2,036,844.2 million announced on 17 September was the earlier total at the Consejo de Ministros.Proyecto de Ley de Presupuesto General del Estado 2027, art. 4, art. 5 and art. 9, 2026-09-25 official text · verified 2026-10-30

5. The bill authorizes issuing public debt of up to RD$464,126.0 million or its equivalent in foreign currency, locally or abroad. International placements must have a term of at least five years. Interest on the debt is budgeted at RD$351,327.1 million, about 23 percent of revenue.
Example: Interest RD$351,327.1 million. / About US$5,768.9 million.Proyecto de Ley de Presupuesto General del Estado 2027, art. 61 and art. 62, 2026-09-25 official text · verified 2026-10-30

6. In the bill, central government capital spending rises to RD$257,763.8 million, up 19.7 percent on the initial 2026 budget, against 12.3 percent for current spending. Education, health and social protection are about 43 percent of the budget. Education functions receive RD$364,399.5 million.Presidencia note of 25 September 2026 on the 2027 bill, Nota de prensa, 2026-09-25 official text · verified 2026-10-30

7. The bill's macro frame, updated in August 2026, assumes real growth of 4.75 percent in 2027, nominal GDP of RD$9,594,604.2 million (US$153,273.1 million), average inflation of 4.50 percent, an average exchange rate of RD$62.60 and WTI oil at US$74.9 a barrel.Proyecto de Ley de Presupuesto General del Estado 2027, Panorama macroeconómico 2026 a 2030, Cuadro 5, 2026-09-25 official text · verified 2026-10-30

8. The 2026 budget is Ley 99-25, amended by Ley 43-26. The current version has revenue of RD$1,384,293.2 million, spending of RD$1,669,220.0 million and a deficit of RD$284,926.8 million, with interest of RD$311,003.4 million. In September 2026 alone the central government ran a deficit of RD$27,521.3 million.DIGEPRES, Informe de Ejecución Presupuestaria septiembre 2026, Tabla 1, 2026-10-07 official text · verified 2026-10-30 · changed: Ley 43-26 amended the 2026 budget; initial spending of RD$1,622,833.4 million became RD$1,669,220.0 million.

9. Medium term debt goal: by 31 December 2035 the debt of the Gobierno General Nacional, from all sources, must not exceed 40 percent of nominal GDP.Ley 35-24 de Responsabilidad Fiscal de las Instituciones Estatales, G. O. 11159 of 5 August 2024, art. 4, 2024-08-02 official text · verified 2026-10-30

10. Spending rule: in no fiscal year may primary spending of the Gobierno General Nacional grow faster than projected average annual inflation plus 3.0 percentage points. The Ministry may adjust the rule if a legal change produces a permanent and structural rise in revenue, with a report to Congress. Primary spending excludes interest.
Example: With 4.50 percent projected inflation for 2027, the ceiling on primary spending growth is 7.50 percent. / The rule is a growth rate, so the ceiling is the same in any currency.Ley 35-24 de Responsabilidad Fiscal, art. 3 and art. 5, 2024-08-02 official text · verified 2026-10-30

11. The rules can be suspended by decree for up to one fiscal year in two cases: a disaster, epidemic, war or similar event declared under a state of exception that requires spending above 0.3 percent of GDP, or a recession, meaning negative growth or projected growth below 1 percent. The rule must then be restored within three years, closing at least one third of the gap each year.Ley 35-24 de Responsabilidad Fiscal, art. 8, 2024-08-02 official text · verified 2026-10-30

12. Public officials who breach the rule face personal liability and sanctions, and the Ministry must publish a Marco Fiscal de Mediano Plazo each year with four year projections.Ley 35-24 de Responsabilidad Fiscal, art. 7 and art. 11 to art. 17, 2024-08-02 official text · verified 2026-10-30

13. Consolidated public debt was US$81,179.4 million at June 2026, or 57.7 percent of GDP: US$49,097.8 million external and US$32,081.5 million domestic. Non financial public sector debt was US$67,370.7 million (47.9 percent). The Banco Central accounts for US$16,044.8 million (11.4 percent).Banco Central, Deuda pública consolidada trimestral, Sector (US$) and Sector (%PIB), 2026-06-30 official text · verified 2026-10-30

14. At May 2026 non financial public sector debt was 71.0 percent external, and global bonds alone were 56.1 percent of the total (US$38,123.0 million). Multilateral lenders held 11.7 percent and bilateral lenders 3.2 percent. At March 2026 the average rate was 7.6 percent: 6.5 percent on external debt with 11.3 years average life, and 10.7 percent on domestic debt with 6.9 years.DIGEPRES, Informe de Avance 2027, chapter 6, citing Crédito Público, Tabla 15 and Tabla 16, 2026-07 official text · verified 2026-10-30

15. Debt reports go to Congress quarterly, within 30 days after each quarter, by law. The foreign currency share was 65.7 percent at March 2026, down from 66.8 percent at December 2025. Debt was 48.1 percent of GDP at December 2025.Ley 6-06 de Crédito Público; Informe de Deuda Pública marzo 2026, art. 27, 2026-03-31 official text · verified 2026-10-30

16. Ratings per the public debt office at March 2026: S&P BB stable, Moody's Ba2 stable after its upgrade of August 2025, and Fitch BB-. That report still showed a positive Fitch outlook; a Reuters headline carried by TradingView reports Fitch moved it to stable in April 2026 while affirming BB-. Treat the Fitch outlook as secondary sourced. A regional central banks report for the second quarter of 2026 confirms the same three ratings but still prints Fitch as positive.Informe de Deuda Pública marzo 2026, section VIII, Gráfico 16, 2026-03-31 official text · verified 2026-10-30 · changed: Moody's upgraded the country to Ba2 in August 2025. Fitch outlook reported as changed to stable in April 2026 (secondary source).

Year	Status	Balance (% of GDP)
2023	Executed	deficit 3.0
2024	Executed	deficit 3.1
2025	Executed	deficit 3.5
2026	Closing estimate	deficit 3.2
2027	Bill	deficit 3.4

Central government balance as a share of GDP. Source: Presupuesto Ciudadano 2027. 2026 is a closing estimate; 2027 is the bill.

Item	RD$ million	US$ million
Revenue	1,510,574.5	24,803.9
Spending	1,837,856.0	30,177.9
Deficit	327,281.5	5,374.0
Gross financing	464,126.0	7,621.0
Interest	351,327.1	5,768.9

2027 bill in RD$ million and US$ million at RD$60.9007. Source: Proyecto de Ley PGE 2027.

Perimeter	US$ million	% of GDP
Consolidated	81,179.4	57.7
External	49,097.8	34.9
Domestic, net of intra government debt	32,081.5	22.8
Non financial public sector	67,370.7	47.9
Banco Central	16,044.8	11.4

Public debt at June 2026. Source: Banco Central, Deuda pública consolidada trimestral.

Step	Date	Rule
Advance report and budget policy	Mid year (July 2026 for the 2027 budget)	Ley 423-06 process, Informe de Avance
Bill goes to Congress	By 1 October	Constitución art. 128
Congress votes	By 31 December, or prior law applies	Constitución art. 239
Monetary Program approved	Within 30 days after promulgation, no later than 31 December	Ley 183-02 art. 26

Budget timetable for a calendar year.

Worked example

Debt interest in context. RD$351,327.1 million of interest (about US$5,768.9 million) divided by RD$1,510,574.5 million of revenue is 23.3 percent, so roughly RD$23 of every RD$100 collected goes to interest before any service or investment.
Spending rule arithmetic. Inflation projected at 4.50 percent gives a 7.50 percent ceiling. On a primary spending base of RD$1,000,000 million (about US$16,420 million) for the Gobierno General Nacional, the largest rule compliant increase would be RD$75,000 million (about US$1,231 million).
Hedging logic. A government that plans RD$62.60 per dollar in 2027 while the market is at RD$60.9007 has budgeted for about 2.8 percent weakening. Compare that with your own planning rate.

Step by step

1. Follow the 2027 bill in the Chamber of Deputies and the Senate; a bicameral committee handled the 2026 bill, per press.
2. Read the quarterly debt report (Ley 6-06 art. 27) and the monthly DIGEPRES execution report for actual results.
3. Watch the first Marco Fiscal de Mediano Plazo publications and any decree under Ley 35-24 art. 8.
4. Check the tax side in Ley 30-26 of June 2026, which is covered in the reform tracker, before modelling tax revenue.
5. Confirm the ratings directly on the agencies' sites before quoting them in a financing document.

Common traps

Quoting RD$2.037 trillion as the budget. There are three totals: RD$2,036,844.2 million at the Consejo de Ministros, RD$2,084,127.4 million consolidated in the bill and RD$1,974,700.5 million for the central government including financial applications.
Testing the spending rule on central government numbers. Ley 35-24 art. 5 applies to the Gobierno General Nacional, which includes local governments and other bodies. The headline budget does not.
Using the July advance as the plan. The Informe de Avance projected a 2.9 percent deficit in 2027; the bill proposes 3.4 percent. The advance's path of 46.3 percent debt at end 2026 and 44.5 percent in 2030 also predates the August update, and June 2026 debt was already 47.9 percent.
Comparing debt figures on different perimeters. Non financial debt (47.9 percent) includes bonds held by the Banco Central; consolidated debt (57.7 percent) adds the Banco Central and nets intra government holdings.
Assuming peso debt is free of currency risk for the sovereign. External debt includes pesos: 12.8 percent of external debt was in pesos at March 2026, and 8.6 percent of domestic debt was in dollars.
A typo in the bill. Art. 61 writes 3.4 percent in figures but words that read three point zero. The figure matches the budget tables.

Sources

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