Ecuador closes 2015 with more debt

image: Expreso

The year is ending and there are still bills pending. The Government, according to its estimates, will end 2015 with a debt of around 34,000 million dollars. A constitutional limit of 6,000 million.

Until September, according to a report of the Secretariat of Public Funding of the Ministry of Finance, the state debt reached 32,430 million. This amount will decrease by 650 million next month, when 2015 bonds are paid.

According to Finance Minister Fausto Herrera, the payment of the bonds issued -something that Ecuador has never fulfilled- is a strategy to reduce the country risk. Until November 11, this indicator reached 1,179 points. A number that is not attractive for foreign investors.

With the offered payment, the number of pendings will be -if there are no other variations-  31,780 million.

The reduction, however, will be momentary. Minister Herrera announced that nearly 2,000 million, contracted with China and other creditors, will arrive later this month. The total debt is, $ 33,780 million.

Source: http://expreso.ec/expreso/plantillas/nota.aspx?idart=8671485&idcat=38229&tipo=2