Finance Minister Dr. Irving McIntyre has asked Dominica’s Parliament to approve a credit facility of approximately EC$68.6 million from the International Development Association (IDA), aimed at strengthening the country’s fiscal and climate resilience.
McIntyre made the request on Tuesday, September 22, 2026, during the Second Meeting of the Fourth Session of the Eleventh Parliament of the Commonwealth of Dominica.
The proposed facility amounts to SDR18.5 million, equivalent to about EC$68.6 million, and is being sought under provisions of the Loans Act
that allow Parliament to authorize the Minister for Finance to borrow for general development purposes.
The Government said Dominica has experienced repeated economic shocks over the past 11 years, stemming from climate-related disasters, health emergencies and geopolitical developments, which have contributed to reduced revenues and increased public expenditure as measures were implemented to cushion their impact on residents.
Under the proposed terms, the loan would carry an interest rate of 0.75 percent per annum, together with a 0.5 percent commitment charge. It
would include a 10-year grace period, followed by repayment through 60 semi-annual installments beginning October 15, 2036.
McIntyre told Parliament that the facility is intended primarily to refinance more expensive existing debt, while improving the Government’s liquidity position and supporting continued efforts to manage the country’s debt.
The Finance Minister said Government had been pursuing fiscal consolidation through reductions in non-essential expenditure, cost-
saving measures and targeted investments intended to expand productive economic activity.
“We have been building the country’s resilience to shocks and reducing the country’s debt,” McIntyre said, adding that economic growth had continued, driven largely by productive-sector activity and major infrastructure development.
He also disclosed that work was advancing on a debt-for-development swap that could provide a further EC$108.7 million in financing at an interest rate of less than two percent, allowing more expensive debt to be refinanced over a longer period.
McIntyre maintained that the Government was seeking to balance economic growth, debt management, social protection and climate resilience while operating in a challenging global environment.
He said the proposed IDA financing would help reduce the cost of existing debt and ease pressure on Government’s finances. “It is a loan which is intended primarily to refinance more expensive debt,” he told Parliament, urging members to support the resolution authorizing the facility.
