Updated December 23, 2021
Dominican Republic
The Dominican Republic occupies the eastern two-thirds of
Since then, the Dominican Republic, for the most part, has
the Caribbean island of Hispaniola, which it shares with
seen steady economic growth and has developed
Haiti. The Dominican Republic is a key U.S. partner in the
democratic institutions. Led by former Presidents Leonel
Caribbean due to its comparatively large size, strong
Fernández (1996-2000, 2004-2012) and Danilo Medina
economy, and relative stability. The United States and the
(2012-2020), the center-left Dominican Liberation Party
Dominican Republic have maintained close commercial ties
(PLD) dominated Dominican politics.
under the Dominican Republic-Central America-United
States Free Trade Agreement (CAFTA-DR) and have
Political Situation
cooperated on regional security concerns under the
Internal divisions within the PLD led to the party’s defeat in
Caribbean Basin Security Initiative (CBSI).
July 2020 elections, which were postponed from May due
to the Coronavirus 2019 (COVID-19) pandemic.
Figure 1. Dominican Republic Facts
Opposition candidate Luis Abinader, a businessperson
standing for the Modern Revolutionary Party (PRM), won
the presidency with 53% of the vote, precluding the need
for a runoff. The PRM also won a majority in the Senate
and the Chamber of Deputies. The PLD now is the primary
opposition party.
Abinader remains popular (67% approved of his mandate in
an October 2021 poll). His government has managed the
health and economic effects of the pandemic, prioritized
transparency and anti-corruption, and developed a climate
resilience plan focused on boosting renewable energy use.
COVID-19
In August 2020, the Dominican Republic had the highest
per capita infection rate in the Caribbean and its hospitals
were at or over capacity for COVID-19 patients. The
incoming government increased the number of citizens
covered by the public health system and got commitments
to secure enough vaccines to immunize all of its citizens,
with a focus on vaccinating workers in key sectors,
including tourism. As of December 23, 2021, the

government had fully vaccinated 52.9% of the population.
Sources: CRS graphic. Map data from the International Monetary
With 4,223 deaths attributed to COVID-19, the mortality
Fund (IMF), U.N. Economic Commission on Latin America and the
rate in the Dominican Republic is low compared with other
Caribbean (CEPAL), and Trade Data Monitor (TDM).
countries in Latin America and the Caribbean.
Background
Corruption
After fighting to achieve its independence from Haiti in
Reflecting the Dominican Republic’s persistent challenge
1844 and from Spain in 1865, the Dominican Republic
with corruption, the country ranked 137 out of 180
embarked on a bumpy road toward democracy that included
countries in Transparency International’s 2020 Corruption
coups, dictatorships, and U.S. interventions (1916-1924 and
Perceptions Index. The country’s relatively weak judicial
1965-1966). Rafael Trujillo ruled the country as a dictator
system has been ineffective in tackling most corruption.
from 1930 until his 1961assassination, employing violent
Upon election, Abinader named the local representative of
tactics to quell opposition. Trujillo’s anti-communist stance
Transparency International as head of government
earned him tacit U.S. support. His successor, Joaquín
procurement and appointed an independent attorney
Balaguer, served as president from 1960 to 1962, 1966 to
general. The attorney general is pursuing high-profile
1978, and 1986 to 1996. Due to these leaders’ dominance,
corruption cases against her predecessor and former
the Dominican Republic did not develop into a modern
President Medina’s chief of security and health minister.
democracy until the 1990s. In 1994, an agreement
The Abinader government helped U.S. officials arrest a
commonly referred to as the Pact for Democracy removed
PRM legislator suspected of corruption in the United States.
Balaguer from power and paved the way for the country’s
first free and fair elections in 1996.
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Dominican Republic
Drug Trafficking
September 2021, the Dominican Republic, Costa Rica, and
According to the State Department’s 2021 International
Panama formed the Alliance for Development in
Narcotics Control Strategy Report (INCSR), most cocaine
Democracy, a forum to address economics and trade,
transiting the Caribbean passes through the Dominican
migration, and other issues of shared concern.
Republic, primarily through maritime routes. According to
the INCSR, drug seizures by Dominican forces demonstrate
The Dominican Republic continues to face economic
their capacity to stop drug flows but corruption hampers
challenges. The country ranked 115 out of 190 countries
U.S.-Dominican cooperation efforts. Dominican military
included in the World Bank’s 2020 Doing Business report,
data assert that cocaine seizures for the first half of 2021
performing relatively poorly on the ease of starting a
totaled 7,000 kilos, nearly matching the total for all of
business, getting electricity, accessing credit, paying taxes,
2020. A Dominican drug kingpin César Emilio Peralta,
and enforcing contracts. Although the Dominican Republic
sanctioned in 2019 under the Foreign Narcotics Kingpin
has made progress in improving social indicators in recent
Designation Act (21 U.S.C. 1901 et seq.), has been arrested
years, income inequality persists and poverty increased
in Colombia and is to be extradited to the United States.
from 21.0% in 2019 to 23.4% in 2020 due to the pandemic.
Relations with Haiti
U.S. Relations
The Dominican Republic experiences periodic disputes
The Dominican Republic enjoys a strong relationship with
with Haiti, its neighbor and second-largest export market.
the United States, with extensive cultural, economic, and
The citizenship status and treatment of people of Haitian
political ties. Currently, more than 2 million Dominicans
descent living in the Dominican Republic has been a source
reside in the United States. Total U.S. foreign assistance to
of tension between the two countries. In June 2018, the
the Dominican Republic (obligations, latest full-year
Dominican Republic published a survey that found that,
available) amounted to $52.4 million in FY2019. That total
despite efforts to register people of Haitian descent since
included bilateral aid, as well as CBSI funds, Department of
2014, only 31% of that population possessed documents
Defense assistance, and Peace Corps funding. Under the
required for public benefits and formal sector jobs.
CBSI, the United States has provided the Dominican
Republic with support since FY2010 to reduce illicit drug
Tensions have been high along the Dominican-Haitian
trafficking, train police and prosecutors, and provide
border, a porous region where migrant smuggling and other
educational and job training programs for at-risk youth.
illicit activities are common. In February 2021, the
Dominican government announced the construction of a
U.S. bilateral aid to the Dominican Republic totaled $28.6
border barrier would commence in late 2021. President
million in FY2020 and an estimated $30.75 million in
Abinader closed the border following the July 2021
FY2021, some $23.3 million of which was for global
assassination of Haitian President Jovenel Moïse, but
health. The Biden Administration requested $28.5 million
humanitarian aid has entered into Haiti from the Dominican
in bilateral aid for the Dominican Republic for FY2022.
Republic. Human rights groups have criticized the
Neither the House (H.R. 4373) nor the Senate (S. 3075)
Dominican government for deporting more than 31,000
version of the FY2022 State and Foreign Operations
Haitians thus far in 2021 (30% more than in 2020).
appropriations measure specifies an exact funding amount
for the Dominican Republic. From FY2017 to FY2021,
Relations with China
U.S. humanitarian aid to support the Dominican
In May 2018, the Dominican Republic switched recognition
government in sheltering Venezuelan migrants (which
of Taiwan in favor of establishing diplomatic relations with
numbered 115,300 as of July 2021) totaled some $2.7
the People’s Republic of China. China reportedly promised
million. U.S. COVID-19 assistance for the Dominican
major investments, few of which have occurred. Abinader
Republic has exceeded $4 million.
has stated that China is no longer welcome to invest in
strategic sectors, such as ports and infrastructure. The
U.S.-Dominican investment, trade, remittance, and tourism
Dominican Republic purchased a large percentage of its
ties are extensive. U.S. foreign direct investment on a
COVID-19 vaccines from Chinese manufacturers.
historical-cost basis stood at roughly $274.5 million in
2020. Total trade increased from $9.8 billion (pre-CAFTA-
Economic Conditions
DR) to $14.7 billion in 2019 before falling to $12.7 billion
The Dominican Republic has been among the fastest-
in 2020, due to the pandemic. In 2020, Dominicans abroad,
growing economies in Latin America and the Caribbean.
primarily in the United States, sent a record $8.3 billion in
The country has the largest stock of foreign direct
remittances. U.S. tourists account for the largest number of
investment and the most diversified export structure of any
foreign visitors to the country.
U.S. partner country in CAFTA-DR. Foreign investment,
strong telecommunications and mining sector performance,
Bilateral trade and labor disputes have arisen. The U.S.
remittances, and tourism fueled pre-pandemic growth.
Department of Labor continues to monitor how the
Dominican government is working to reduce the use of
Due to the pandemic, the economy contracted by 6.7% in
forced and child labor. The Dominican Republic earned a
2020, according to International Monetary Fund (IMF)
Tier 2 ranking in the State Department’s 2021 Trafficking
estimates. The Abinader government used fiscal stimulus to
in Persons report, an improvement from its 2020 rank.
cushion the economic impact of job losses. U.S. demand,
combined with the vaccination campaign, have helped the
Clare Ribando Seelke, Acting Section Research Manager
construction, mining, and tourism sectors rebound, with the
IMF estimating 9.5% economic growth for 2021. In
IF10407
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Dominican Republic


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