Ecuador

Sixth Review Under the Extended Arrangement Under the Extended Fund Facility and Financing Assurances Review-Press Release; Staff Report; Staff Statement; and Statement by the Executive Director for Ecuador

• Author(s): International Monetary, International Monetary Fund. Western Hemisphere Dept.,
• Publisher: International Monetary Fund
• Pages: 109
• ISBN_13: 9798400228681
  
• Language: en
• Categories: Business & Economics / Investments & Securities / Commodities / Energy , Business & Economics / Exports & Imports , Business & Economics / Labor / General , Business & Economics / Economics / Macroeconomics , Business & Economics / Money & Monetary Policy , Business & Economics / Public Finance , Business & Economics / International / Economics & Trade ,

Description:... Economic recovery is ongoing. Real GDP is expected to expand by 2.7 percent in 2022, slightly lower than expected in the last review due to the protests-related disruptions in June and slower growth in trading partners. Inflationary pressures have risen, driven by higher food and transport prices and non-tradeable services, with the headline inflation expected to reach 3.8 percent yoy at end-2022. Tighter financing conditions for all EMs, and an increasingly challenging domestic political environment sharply increased spreads and postponed international market access. The government remains committed to the Fund-supported program under the Extended Fund Facility (EFF) of SDR 4,615 million (661 percent of quota, about $6.5 billion) that was approved by the IMF Executive Board on September 30, 2020. Upon completion of the Sixth and final Review under the EFF-supported program—the first IMF program Ecuador will have completed in more than two decades— an additional SDR 497 million (about $700 million) would be made available.