The Association of Multiple Banks of the Dominican Republic (ABA) highlighted that one of the foundations of Dominican economic stability is the resilience and robustness of the indicators of the financial system, which occupies top positions in the region in terms of liquidity, profitability, low delinquency and solvency.
The ABA reported that the equity solvency of multiple banks (an indicator that measures the degree of capital robustness) stood at 15.3% as of December 2022, well above the 10% regulatory requirement; meanwhile, the delinquency of the portfolio, measured through the delinquency index, stood at 1.0%, and the coverage index at 427.8 as of January of this year, indicators that reflect a healthy state of banking assets in the Dominican Republic.
Regarding the international context, the union reaffirmed that, as reported by the Monetary Board, the country’s multiple banking has no correspondent business relationship with Silicon Valley Bank and Signature Bank, entities that recently closed operations in the United States of America .
Similarly, he recalled that the country managed to emerge unscathed from the global crisis of 2008, thanks to the regulations implemented since the first decade of this century in the financial system and the continuous strengthening of multiple banks in capitalization and comprehensive risk management and innovation.
In a press document, the ABA pondered that multiple banks and the regulatory and supervisory authorities of the financial system maintain constant communication and in real time, in order to monitor the operation of the sector and maintain a proactive attitude in the face of any situation that could affect the Dominican Republic.
“We reaffirm our commitment to the well-earned trust that users place in the banking sector, by placing their resources in their hands so that, in turn, we continue to make multiple investments and facilitate credits to boost the productive sectors and well-being of Dominican families. ”, expressed the union.