Ecuador sees PPPs as key for economic recovery

The administration President Guillermo Lasso sees public-private partnerships in the energy, public works and telecommunications sectors as key for Ecuador's economic recovery.

The business-friendly Lasso took office on May 24.

Finance minister Simón Cueva told a press conference in Quito that PPPs in the sectors that will drive the economic reactivation will free up government funds for social projects while at the same time contributing to the country's development through infrastructure works.

Ecuador plans a series of PPPs with combined investments of at least US$5bn in various sectors, transport and public works minister Marcelo Cabrera said in a recent interview with BNamericas.

MULTILATERAL FUNDING

The Andean nation's fiscal needs for this year will be supported by around US$1.5bn from the IMF, Cueva said at the conference.

Of the total, US$800mn is set to come by the end of this month after the IMF board approves the last review of Ecuador's economic program while the remaining US$700mn is scheduled for year-end.

Next year Ecuador expects to receive an additional US$1bn from IMF, in addition to funding from other multilateral entities, which will add up to US$4bn for this year and 2022.