Santo Domingo.- With a credit card that exceeded the RD 105,500 million (USD 1,824.5) at the end of 2023Dominican banking played a fundamental role in the development of the tourism sector during the past year. These resources financed hotel projects and related businesses.
The portfolio directed to this area experienced a growth of 6.7% with respect to the year 2022, according to the preliminary version of the Annual Report on Banking and Tourism of the Superintendency of Banks (SB).
As of December 2023, tourism received 10.6% of private commercial portfolio loans. Likewise, this line records 20,494 unique debtors and 24,004 loans in the financial system, for a year-on-year increase of 5.5% and 7.2% respectively.
Segregating by interest rate in foreign currency, it is evident that tourism manages a financing cost of 7.59% per yearversus 7.62% for the rest of the private sector.
Regarding risk, it is the second portfolio with the lowest delinquencies of the financial system, with solo 0.17 % of the overdue debt. In addition, of the entire capital owed in the portfolio to tourism, approximately 23.1% is backed with rateable guaranteeswhich means that for every RD$ 1 of borrowed capital in the system there are RD$ 4.3 in backup guarantees.
As a result, credit to this line item has remained at constant growthto one average nominal rate of 14.2% in the last five years.
By segregating loans by currency type, the 87.9 % of the tourism portfolio is denominated in American dollars and represents the 23.4% of the total portfolio in foreign currency of the financial system.
Multiple banking has a share of 98 % in the tourism credit portfolio. In turn, 91% of tourism financing is concentrated in three multiple banks with a greater amount of assets.
The report highlights the importance of this sector in the economy, because the hotels, bars and restaurants represent about 6.8 % of the gross domestic product (GDP) and employ 8.1% of the employed population in the Dominican Republic.
2024-01-17 18:32:39
#Bank #credit #tourism #amounted #million
