• ENGLISH
  • ESPAÑOL
facebook
twitter
  • National>Entertainment
  • National>Local Economics
  • National>Local Politics
  • National>Society
  • National>Sports
BREAKING NEWS
Police capture the State Comptroller General, Pablo Celi, for alleged organized crime
Jaime Durán Barba, the ‘electoral guru’ who was key in Guillermo Lasso’s victory
Guillermo Lasso: the US and Ecuador will once again be allies
Rafael Correa: We honestly believed we were winning, but our projections were wrong
The European Union will continue to ‘strengthen’ cooperation with the new Government of Ecuador
With 99% of the minutes scrutinized, Guillemo Lasso wins the Presidency with 52.42%
Ecuador applies two doses of vaccine for every 100 inhabitants. How many are administered in other 48 countries in America?
Ecuadorian migrant died after falling from the border wall between the United States and Mexico
On April 13, vaccination will begin in Guayaquil with doses of Sinovac, within the Municipality-Government agreement
Facebook removes 390 accounts, focused on Ecuador, from that social network and Instagram for ‘foreign interference’

Ecuador achieves financial relief after deferring payment of debt with Chinese bank

Posted On 06 Aug 2020

The Ministry of Economy reported that the agreement will allow “to reschedule payments on the current credit line , which was signed between both parties on April 29, 2016.”

Ecuador achieves financial relief after deferring payment of debt with Chinese bank

“This decision will allow the country a grace period of twelve months in the capital, after which payments will restart, without the original conditions changing, ” since the agreed interest rate will be maintained at 7.16 percent, he said. the State portfolio in a statement.

The loan provided for amortizations of 166.8 million dollars in the remainder of this year and 250.2 million between January and July 2021, which represents a financial relief of 417 million for the current government of President Lenín Moreno , whose period in power ends next May .

The deferred amount, of $ 417 million, will be paid in eleven payments of 37.9 million from the last quarter of 2021 to the second quarter of 2024, which is the maturity date of the debt with the CBD, added the Ministry .

“The reprogramming with CDB generates an important fiscal relief that contributes to face the humanitarian, sanitary and economic crisis that the country is going through , while new operations are executed and structural decisions are implemented,” the Ministry added.

In addition, he remarked that this agreement with the Chinese bank is “one more step within the comprehensive management strategy” of Ecuadorian debt, which includes the restructuring or exchange of papers with holders of Ecuadorian sovereign debt bonds.

Also access to new bilateral and multilateral financing to “overcome the challenges presented by the Ecuadorian economy,” added the State portfolio in its text.

After achieving this week the support of the bondholders to the debt swap plan, in Ecuadorian President Lenín Moreno , encouraged a forthcoming new credit agreement with the International Monetary Fund (IMF), which would open up new debt opportunities with other organizations multilateral .

The Minister of the Economy, Richard Martínez, recently highlighted the negotiation with the bondholders in “record time”, less than six months, with solutions that will reduce the capital of the country’s private debt by 1,540 million dollars .

In addition, the interest will be reduced from 9.2 percent to an average rate of 5.3 percent, and the term of said private debt will double from 6.1 to 12.7 years, so that the current bonds will mature. in 2030, 2035 and 2040.

Martínez assured that this operation with the Ecuadorian bondholders will generate an important relief in the flow of the fiscal box of his country, thanks to a better programming of the payment of liabilities, which will allow the release of nearly 11,000 million dollars until the year 2025. and more than 16,000 million until 2030.

https://www.larepublica.ec/blog/economia/2020/08/06/ecuador-logra-alivio-financiero-diferir-pago-deuda-banco-chino/

About the Author
  • google-share
Previous Story

The hearing to formulate charges against Abdalá Bucaram and his son Jacobo began in Guayaquil

Next Story

Lasso is trending on Twitter: ‘The one that appears in a video that circulates is me’

SEARCH

LATEST NEWS

Police capture the State Comptroller General, Pablo Celi, for alleged organized crime

Posted On 13 Apr 2021

Jaime Durán Barba, the 'electoral guru' who was key in Guillermo Lasso's victory

Posted On 13 Apr 2021

Guillermo Lasso: the US and Ecuador will once again be allies

Posted On 13 Apr 2021
Copyright © 2010 - 2019. All Rights Reserved. EcuadorTimes.net