Ecuador expects to stabilize its debt in 2022 and start reducing it

Finance Minister Simón Cueva attributes the difficulties of the current crisis not only to the covid-19 pandemic, which caused a 7.8% contraction of GDP in 2020, but also to structural factors of the national economy, such as not having reserve funds.

RIO DE JANEIRO, BRAZIL - Ecuador expects to stabilize its debt in 2022 after a decade of constant increase, make it around US$63 billion, and then start reducing it thanks to the measures introduced by the Government of Guillermo Lasso to lower the public deficit and reach fiscal balance in 2025.

"Next year we should be stabilizing because we will still have a central government fiscal deficit of 2.5% of GDP," said Finance Minister Simón Cueva, in an interview with Efe in which he reviewed the country's financial situation after the "worst crisis" that Ecuador has experienced . . .

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