Ecuador Economy
Is Ecuador a wealthy country?
Ecuador is substantially dependent on its petroleum resources, which accounted for about a third of the country's export earnings in 2017. Remittances from overseas Ecuadorian are also important.
In 1999/2000, Ecuador's economy suffered from a banking crisis that lead to some reforms, including adoption of the US dollar as legal tender. Dollarization stabilized the economy, and positive growth returned in most of the years that followed. China has become Ecuador's largest foreign lender since 2008 and now accounts for 77.7% of the Ecuador’s bilateral debt. Various economic policies under the CORREA administration, such as an announcement in 2017 that Ecuador would terminate 13 bilateral investment treaties - including one with the US, generated economic uncertainty and discouraged private investment.
Faced with a 2013 trade deficit of $1.1 billion, Ecuador imposed tariff surcharges from 5% to 45% on an estimated 32% of imports. Ecuador’s economy fell into recession in 2015 and remained in recession in 2016. Declining oil prices and exports forced the CORREA administration to cut government oulays. Foreign investment in Ecuador is low as a result of the unstable regulatory environment and weak rule of law.
n April of 2017, Lenin MORENO was elected President of Ecuador by popular vote. His immediate challenge was to reengage the private sector to improve cash flow in the country. Ecuador’s economy returned to positive, but sluggish, growth. In early 2018, the MORENO administration held a public referendum on seven economic and political issues in a move counter to CORREA-administration policies, reduce corruption, strengthen democracy, and revive employment and the economy. The referendum resulted in repeal of taxes associated with recovery from the earthquake of 2016, reduced restrictions on metal mining in the Yasuni Intangible Zone - a protected area, and several political reforms.
Ecuador Economy Data
What is the GDP of Ecuador?
| Currency Name and Code | US Dollar (USD) |
| GDP - Gross Domestic Product (PPP) | $182,400,000,000 (USD) |
| GDP - official exchange rate | $99,120,000,000 (USD) |
| GDP - real growth rate | -2.3% |
| GDP Per Capita | $11,000.00 (USD) |
| GDP by Sector- agriculture | 6.2% |
| GDP by Sector- Industry | 34% |
| GDP by Sector- services | 59.8% |
| GDP - composition, by end use |
household consumption: 62% government consumption: 13.3% investment in fixed capital: 25.5% investment in inventories: 0.1% exports of goods and services: 19.8% imports of goods and services: -20.7% |
| Population Below Poverty Line | 25.6% |
| Inflation Rate | 2.1% |
| Labor Force | 4,848,000 |
| Labor Force By Occupation- agriculture | 27.8% |
| Labor Force By Occupation- industry | 17.8% |
| Labor Force By Occupation- services | 54.4% |
| Unemployment Rate | 5.5% |
| Fiscal Year | calendar year |
| Annual Budget | $30,900,000,000 (USD) |
| Budget Surplus or Deficit - percent of GDP | -4% |
| Public Debt (% of GDP) | 33% |
| Taxes and other revenues - percent of GDP | 31.2% |
| Major Industries | petroleum, food processing, textiles, wood products, chemicals |
| Industrial Growth Rate | -3.2% |
| Agriculture Products | bananas, coffee, cocoa, rice, potatoes, cassava (manioc, tapioca), plantains, sugarcane; cattle, sheep, pigs, beef, pork, dairy products; fish, shrimp; balsa wood |
| Exchange Rate per US Dollar | 1 |
| Child Labor - % of children ages 5-14 | 8% |
| Child Labor - # of children ages 5-14 | 227,599 |
| Commercial Bank Prime Lending Rate | 9% |