Ecuador, the smallest of the OPEC members, is working hard to diversify away from a dependence on oil exports.
So now the country’s leftwing president, Rafael Correa, is pushing for a new law to fast track mining contracts and investments in the Andean country. Continue reading »
Ecuador is on the brink of its biggest budget deficit on record. So there is talk of the Andean country biting the bullet and tapping the international debt markets for the first time since defaulting over four years ago.
Rafael Correa, the leftwing president seeking his second re-election next month, has been driving growth thanks to tax collection and public spending as the price of oil, which is Ecuador’s main source of revenue, has been losing steam. Could it happen? Continue reading »
Ecuador’s tussle with the UK over the fate of WikiLeaks founder Julian Assange might be dominating the headlines these days.
But investors would do well to pay closer attention to another battle that this small Andean country of 14.7m has been fighting: keeping its dollar-based economy intact. Continue reading »
It’s been a week to forget for Ecuador. On Monday, the Andean country startled investors by posting its weakest quarterly growth in two years. Concerns that falling oil prices could cause the country’s current account deficit to widen to unsustainable levels have prompted at least one analyst to speculate that President Rafael Correa might need to turn to China for help in avoiding a liquidity crisis.
On Thursday, Ecuador went cap in hand – not to China – but to the Latin American Reserve Fund, the Bogotá-based regional lender for a $514.6m loan. Continue reading »
With Ecuador’s cocoa crop coming in at about 4.5 per cent of world production, a miserable growing season is never going to rock the global market.
But given that Easter is upon us and Ecuador is the world’s biggest supplier of fine aroma cocoa, chocolate aficionados should spare a thought for the country’s farmers. Continue reading »
Ecuador’s love affair with China’s deep pockets shows no sign of slowing.
Rafael Correa, the leftist president, told reporters in Quito on Thursday the Opec oil-producing nation was dropping a planned international bond issuance this year in favour of a $1.7bn loan from China that is currently being negotiated. Continue reading »