Dominican Republic and Haiti: Country Studies

Glossary
Caribbean Basin Initiative (CBI)—A major United States foreign
economic policy toward Latin America and the Caribbean
enacted by the United States Congress as the
Caribbean Basin Economic Recovery Act in 1984. The act
was revised on August 20, 1990, and given an indefinite
life. Primarily a trade promotion program, the CBI provides
duty-free access to the United States market for some
3,000 products, provides expanded bilateral economic
assistance, and allows some limited tax breaks for new
United States investments in the region. The CBI has
helped serve as a catalyst toward economic diversification
in a number of Caribbean Basin countries.
Caribbean Community and Common Market (Caricom)—Caricom
was formed in 1973 by the Treaty of Chaguaramas,
signed in Trinidad, as a movement toward unity in the Caribbean.
The Dominican Republic is an observer; Haiti was
accepted as a full member in July 1997. The organization
is headed by a Community Council of Ministers, which is
responsible for developing strategic planning and coordination
in the areas of economic integration, functional
cooperation, and external relations.
colono(s)—As used in the Dominican Republic, refers to a small
independent sugarcane grower. In other Latin American
countries, the word usually designates a settler or a tenant
farmer.
Dominican Republic peso (RD$)—Dominican monetary unit,
divided into 100 centavos. The Dominican government
officially maintained a one-to-one exchange rate between
the peso and the United States dollar until 1985, when the
peso was allowed to float freely against the dollar for most
transactions. After experiments with multiple exchange
rates, all rates were unified in 1997 on a free-market basis
and at an initial rate of US$1 = RD$14. After Hurricane
Georges, official rate dropped to US$1 = RD$15.46. Commercial
rate was US$1 = RD$16 in October 1998.
fiscal year (FY)—The Dominican Republic's fiscal year is the
calendar year, except in the case of the State Sugar Council
(Consejo Estatal del Azucar—CEA), which runs in the
cycle of October 1
to September 30. Haiti's fiscal year is
557