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Political uncertainty is very costly for Ecuador

Posted On 18 Apr 2017
They are not Ecuadorian nor can they vote, but international markets are aware of the impact of the elections in Ecuador and thus, react according to the events. They have done so in these elections, but in a contradictory way between the first and the second round.
After February 19, Ecuador’s country risk relaxed 24 points, coinciding with the day the president of the National Electoral Council confirmed that the runoff was inevitable.
Instead, during the week of uncertainty that followed the results of April 2, the indicator remained well above -and still remains- 700 points, after rising 34 points after the elections.
In both rounds, the previous week, the country risk – which measures how reliable the Ecuadorian economy is for international lenders – remained stable at around 600 points.

Source: http://www.expreso.ec/economia/ecuador-economia-elecciones-reconteo-riesgopais-JC1253380

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