Agreement with European Union facilitates access to government contracts

With regard to the agreement with the European Union, Ecuador covenanted that the public contracts performed by the central state bodies, such as ministries, will have a threshold of economic protection (i.e. reserve for national enterprises), lower than sub-central entities bids, such as municipalities or prefectures, according to sources from the negotiation.

Below these thresholds, the country may restrict the access of foreign investment and accept only the proposalt of national companies. This means more openess to foreign companies in contracts with the central government, since the amount amount for national companies is lower.

Likewise, on the flip side, priority is given to domestic investment concerning contracts of sub-central entities, which are theclosest to the citizens.

The figures set for each type of contract have not been publicly specified, even though it makes ​​reference to international agreements.