Actualidad Dominican Republic

New classification of MSMEs

Modification of Act 488-08

The Dominican Republic’s Chamber of Deputies has passed modifications to three articles of Act 488-08, 19th December 2008, establishing a Regulatory Framework for the Development and Competitiveness of Micro, Small and Medium-sized Enterprises (MSMEs).

The Act reclassifies MSMEs so that policies, programmes and public initiatives to promote, support and regulate MSMEs are better fitted to their needs, their reality and the specifics of the sector in which they operate, as provided for in the new article 2-bis.

Classification of MSMEs

The amendments to articles 1 and 2 of Act 488-08 alter the thresholds for employee numbers and the annual gross sales* figure, removing the reference to the asset volume previously stipulated in Act 488-08. The new classification of MSMEs is as follows:

    • Microenterprise:
  • Up to 10 employees (15 in the modified Act)
  • Annual gross sales of up to RD 8mn (6mn in the modified Act)
    • Small enterprise:
  • Between 11 and 50 employees (16 to 60 in the modified Act)
  • Annual gross sales of up to RD 54mn (6mn – 40mn in the modified Act)
    • Medium-sized enterprise:
  • Between 51 and 150 employees (61 to 200 in the modified Act)
  • Annual gross sales of up to RD 202mn (40mn – 150mn in the modified Act)

Business Registry

Article 22 has also been amended to create the MSME Business Registry, which will be kept up by the Ministry for Industry, Trade & MSMEs, free of charge and voluntary for companies, which will certify the classification by size of companies. Certificates issued will be valid for one year.


*NOTE: Figure annually index-linked to the Consumer Price Index.