Finance

Ecuador Country Risk Falls to 404 Points �� Lowest Since 2015, Down 66% Year-Over-Year

Ecuador Brief||Source: El Universo

Key Indicator

Ecuador's country risk index fell to 404 basis points as of April 22, 2026, per the Central Bank of Ecuador (BCE). This represents:

  • 11-year low (lowest since 2015)
  • 66% decline from 1,186 points at the start of 2025
  • 83-point drop in April 2026 alone
  • Historical peak: 6,063 points (March 23, 2020)

Finance Minister Sariha Moya: "The confidence of international investors towards Ecuador is reflected in constant country risk reduction."

Macro Dashboard

IndicatorValuePeriodComparison
GDP growth3.7%2025Above multilateral forecasts
Trade surplus$6.227B2025
Non-petroleum export surplus$5.032B2025+$1.316B vs 2024
Inflation1.91%2025Among lowest in LatAm
International reserves$9.795BDec 2025+42% vs Dec 2024 ($6.899B)
Adequate employment37%Dec 2025+4 pts vs Dec 2024
Extreme poverty21.4%2025-6.6 pts vs 2024
Poverty rate8.3%2025-4.4 pts vs 2024

IMF Facility Status

The fifth review under Ecuador's approximately $5 billion IMF program was completed on April 22, unlocking a $394 million disbursement. Total 2026 transfers: approximately $3.7 billion. Four reviews remain, potentially unlocking an additional $1.276 billion through 2028.

The program carries fiscal conditions including revenue-side measures (see separate IVA expansion coverage) and spending constraints.

Context and Limitations

The trajectory is unambiguously positive. However, 404 basis points would still be considered elevated by investment-grade standards — comparable credits in the region trade tighter.

Adequate employment improved to 37% but remains structurally low. The non-petroleum export surplus ($5.032B) is the more durable indicator — it suggests diversification beyond oil is producing results, not just favorable commodity cycles.

What to Watch

  • Sub-400 threshold. A sustained move below 400 bps would represent the strongest credit signal since pre-2015 and could catalyze institutional interest in Ecuadorian sovereign paper.
  • IMF review cadence. Four reviews remain; any missed target would stall disbursements and likely reverse risk compression.
  • Non-petroleum export composition. The $5.032B surplus deserves disaggregation — shrimp, cacao, and banana contributions by share will clarify whether diversification is broad-based or concentrated.
  • Dollarization stability. Country risk at 404 effectively removes any credible dollarization-exit scenario from the pricing of Ecuadorian assets.

Sources: El Universo, El Telégrafo, Primicias

Source

El Universo — “Riesgo país de Ecuador llegó a su nivel más bajo en 11 años

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country-riskIMFsovereign-debtreservesGDPdollarization
Companies: BCE, IMF
Regions: National
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