Ecuador Through Historic Trade Crisis

Ecuador through historic trade crisis

The impetus to production, imports through tariffs and taxes increased outflow of foreign exchange (ISD) are unable to reverse the trade deficit in Ecuador, becoming a historic amount comparable with the start of dollarization in 1999.

Central Bank data indicates that the total trade balance between January and October 2011, recorded a negative balance of $ 1,276 million. However, the imbalance is greater in the non-oil trade balance (imports exceed exports by $ 6.875 million between January and October).

The largest increases that were implemented in the first ten months of 2011 were raw materials ($ 1,173 million), followed by capital goods ($ 621 million) and consumer goods ($ 455 million) compared to 2010.

The government says that there is a country’s development. “80% of what is important are these elements, which is not bad. If you import this means that it is happening. But, we must become less dependent on external sector and that is obtained by substituting imports, “said Santiago Leon, Coordinating Minister for Production.

(BG)