PRMA calls for swift replacement in vacated posts at DDEC.

Puerto Rico Manufacturers Association Vice President Karen Mojica Franceschi

By THE STAR STAFF

The Puerto Rico Manufacturers Association (PRMA) is urging Gov. Jenniffer González Colón to swiftly appoint a permanent secretary to lead the Department of Economic Development and Commerce (DDEC), warning that continued uncertainty could undermine investor confidence at a critical moment for the island’s economy.

PRMA Vice President Karen Mojica Franceschi said the abrupt leadership changes at DDEC -- including the resignation of the official overseeing reshoring efforts -- have raised concerns in the private sector about the government’s ability to project stability and maintain momentum in key economic initiatives.

“What matters now is knowing what will happen at the Department of Economic Development,” Mojica said in a televised interview. “Consistency and the perception of Puerto Rico as a reliable regulatory system are essential for companies and investors.”

The governor has tapped DDEC Deputy Secretary Roberto Lefranc Fortuño to serve as interim secretary following the abrupt departure on Tuesday of former secretary Sebastián Negrón Reichard. Mojica emphasized that while the reasons for the shake-up will be evaluated in the appropriate forums, the private sector’s priority is to ensure continuity in policy execution.

“These disruptions -- whatever the reasons -- need to be addressed with agility,” she said. “But more important than speed is choosing the right person, someone with the expertise to lead at a time when Puerto Rico is undergoing a structural reform of its permitting system and working to streamline incentives.”

Mojica noted that several major investment projects are already in the pipeline, including expansions by companies currently operating on the island and new opportunities tied to global reshoring trends. Maintaining credibility, she said, is essential to securing those commitments.

“Puerto Rico must project internationally that it offers a trustworthy regulatory framework,” she added. “That message becomes even more important when the person in charge of reshoring efforts has also stepped down.”

Negrón Reichard resigned as DDEC secretary effective at noon Tuesday, a departure accompanied by the resignations of more than 10 senior officials across the agency.

In a written resignation letter, Negrón Reichard said he submitted his resignation to the governor after concluding that the mutual trust required to carry out the responsibilities of the position no longer existed.

The former secretary said the breakdown followed his referral of findings from an internal evaluation of a competitive process to the appropriate authorities. He stated that subsequent actions by La Fortaleza, including interventions through other officials in areas where the law delegates authority to the DDEC secretary, made it impossible to continue performing the role with the autonomy and integrity it requires.

Despite the leadership vacuum, Mojica highlighted that some functions have been insulated from political turnover. Invest Puerto Rico, the public-private entity responsible for promoting the island as an investment destination, continues its work uninterrupted. Still, she stressed that the government plays a decisive role in closing deals.

“The private sector attracts companies, but the government is the one that retains them with incentives and the tools needed to establish operations here,” she said.

Mojica said the PRMA stands ready to collaborate with the administration during the transition, whether by helping identify qualified candidates or ensuring ongoing initiatives do not stall. Protecting industrial operations and job creation, she said, must remain top priorities.

“Puerto Rico has the lowest unemployment rate in many years, and we want to keep it that way,” she said.

Asked whether the interim appointment of Lefranc Fortuño provides the stability the sector is seeking, Mojica described him as a long-standing collaborator who has worked closely with industry groups since the start of the administration.

“He has shown himself to be an ally of the private sector,” she said. “He has already reached out to the business associations to offer support and ensure continuity.”

Still, Mojica reiterated that the island needs a permanent, fully empowered secretary to guide economic development policy at a moment of significant opportunity -- and risk.