Dominican Republic urged to embrace tech for future job growth

Dominican Republic urged to embrace tech for future job growth
Banking & Financial Services
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Ajay Banga, 14th president of the World Bank | Linkedin

The Dominican Republic stands at a crossroads as it seeks to harness technological advancements to transform its labor market. A World Bank report titled "The Future of Work in Central America and the Dominican Republic" highlights the potential for automation to create new jobs by reducing costs and increasing productivity, which could drive greater demand.

Despite not starting from scratch, the Dominican Republic faces challenges that may hinder progress. These include high levels of informality in employment, a significant number of young people who are neither working nor studying—referred to as “ninis”—and ongoing gender disparities in workforce participation. Additionally, there is a notable skills gap, with nearly 40% of employers struggling to fill vacancies due to a lack of technical skills or work experience among candidates.

Technology adoption remains low; only 10% of workers use digital tools intensively, and just 13% engage in online gig work. The World Bank's recent Spring Meetings underscored the urgency of embracing technological progress. Globally, 1.2 billion young people will enter the labor market over the next decade but will face competition for only 420 million available jobs.

The World Bank is actively supporting initiatives in the Dominican Republic aimed at strengthening its workforce and protecting human capital. The INSPIRE program is one such effort designed to increase labor force participation among young beneficiaries of SUPÉRATE by providing technical training, apprenticeship programs, and entrepreneurship support.

Furthermore, through a loan agreement, efforts are underway to improve health systems and infrastructure to ensure a healthier workforce capable of meeting evolving market demands. The World Bank also emphasizes expanding access to digital technologies for small and medium-sized enterprises (SMEs), enhancing education with key digital skills, and adapting social protection systems for platform-based work.

As technology continues to redefine job roles globally, the Dominican Republic has an opportunity to secure a more prosperous future by effectively riding this wave of change.