The Recycob company will manage the portfolio of the closed banks

The financial services company Recycob (the former Cofiec Bank), will be in charge of the portfolio management of the closed banks once the Debt Restructuring Law of Public and Private banks comes into force, which was approved by the Assembly on Tuesday.

This was confirmed by Jose Guzman, an independent legislator and member of the Legislature’s Economic Regime Commission, and the advisor to that body, Fernando Buendía.

The name of this company had been included directly in the original bill, but it was deleted. In fact, this is the only company that meets the established profile.

According to the Law, the Central Bank of Ecuador will sell the portfolio resulting from the credit and non-credit operations arising from the 1999 crisis to a company of “ancillary services of the national financial system specializing in collections of publicly-owned property.”

The deadline for payment shall be 15 years from the sale and will be agreed by the parties.

According to Buendía, the Recycob company has 97% of shares in the public sector, as it is owned by the National Finance Corporation (CFN) and the Bank of the IESS (Biess).