Joaquín Balaguer and the industrialization of Dominican Republic

The political and economic history of the Dominican Republic during the second half of the 20th century is closely tied to Joaquín Balaguer. Following the fall of the Trujillo dictatorship, Balaguer sought to transition the nation from a vulnerable subsistence agrarian economy toward an industrial and agro-industrial model.

His strategy focused on macroeconomic stability and massive infrastructure investment. Key projects included the construction of large hydroelectric dams, such as Tavera, Valdesia, and Sabana Yegua, which provided the necessary energy and water control for industrial and agricultural expansion. Additionally, the electrification of rural and urban areas enabled small and medium enterprises to mechanize production. A central component of this industrial push was Law No. 299 of 1968 regarding Industrial Protection and Incentives.