Santiago Matías Proposes Major Reduction In Dominican State

Entrepreneur and presidential hopeful Santiago Matías has called for a broad restructuring of the Dominican government, proposing the elimination of several ministries and state institutions as part of a plan to reduce public spending, borrowing and taxes.

Matías presented the proposal Monday in a post on X, arguing that a large government does not necessarily improve living conditions in the Dominican Republic and that public resources should be focused primarily on workers and entrepreneurs.

“A large state does not improve the lives of Dominicans, it only serves political patronage,” Matías said, linking the reduction of government agencies to his broader argument for easing the economic pressure on people who work and start businesses.

Institutions Included In The Proposal

The proposed restructuring would affect institutions covering a wide range of areas. Among them are the Ministry of Youth, Ministry of Women, Ministry of Housing, Ministry of Higher Education and Ministry of Justice.

Matías also listed several institutions connected to agriculture, food prices and social assistance, including the Coffee Institute, Grape Institute, Tobacco Institute, Sugar Institute, State Sugar Council (CEA), Institute for Price Stabilization (INESPRE), Institute of Aid and the Needle Institute.

Other entities named in the proposal include the Directorate of Information and Defense of Social Security Affiliates (DIDA), which assists social security beneficiaries; the National Competitiveness Council; the Southern Development Institute (INDESUR); the Northern Development Institute (INDENOR); and the National Migration Institute.

Focus On Debt And Taxes

The proposal is built around reducing the size of the public sector as a way to limit government expenditures and, in turn, reduce the need for additional borrowing. Matías also argues that savings from eliminating institutions could create room for lower taxes.

“A better country is built by supporting workers and entrepreneurs, not those who live off the state,” he said, presenting the reduction of government as an economic measure rather than simply an administrative restructuring.

For the Dominican Republic, where government institutions play roles ranging from higher education and social security assistance to migration and agricultural support, such a restructuring would potentially affect a broad range of public functions.

Questions Remain Over How Functions Would Be Transferred

The proposal does not specify how the responsibilities currently handled by the institutions on the list would be transferred, consolidated or maintained. It also does not provide details on the potential effect on the public services and programs associated with those entities.

That leaves the practical implementation of the proposal unresolved. Eliminating an institution does not necessarily eliminate the public function it performs, meaning that any future restructuring would have to determine whether those responsibilities were discontinued, moved to other agencies or absorbed into larger ministries.

Matías’ proposal therefore places the size and role of the Dominican state at the center of a broader political and economic debate. Its stated objectives are to reduce government spending, limit borrowing and ease the tax burden, while the details of how those goals would be achieved remain to be developed.