Ecuador to receive disbursement of USD 500 million from the IMF
The government of the South American country expects the measure to be fulfilled after a meeting this Wednesday between IMF director Kristalina Georgieva and Ecuadorian Economy Minister Richard Martínez
Ecuador shows a deficit of USD 3.6 billion in 2019 and a similar figure is expected in the draft budget for 2020. In addition, the authorities have failed to comply with the tax reform agreed by the International Monetary Fund.
However, and after a meeting in Quito this Tuesday between IMF managing director Kristalina Georgieva and Ecuadorian Economy Minister Richard Martínez, Ecuador expects to receive a disbursement of USD 500 million from the international organization.
The IMF will remain monitoring the progress of the country’s economic plan in the third week of December “to make possible the pending disbursement of USD 500 MM,” Martínez said in his Twitter account.
Ecuador must comply with a tax reform established by the IMF in order to complete the disbursement of the $ 4.2 billion loan granted to the country in February. The sum is part of a total of 10,200 million dollars “that various financial organizations will lend to Quito in three years in support of the economic program of the government of Lenín Moreno“.
The tax reform, which was already submitted to the National Assembly, must be carried out to strengthen the Ecuadorian financial apparatus.
The World Bank (WB) is also providing support to Ecuador and a contribution of $ 500 million is expected after Martinez met with the agency’s director, Axel van Trotsenburg, to review “the programs they promote in the country and the disbursement delivery.”
M.Pino
Source: france24.com
