Ecuador SME Credit Rises 12% as Cooperatives and BanEcuador Drive Placement

Credit placement to Ecuadorian small and medium-sized enterprises increased by about 12% from January through May 2026 compared with the same period of 2025.

The reported increase represents approximately USD 600 million to USD 700 million in additional financing during 2026.

Funding Mix

Within the 12% increase, private banks accounted for 30% of the credit granted. Cooperatives and public banking, especially BanEcuador, accounted for 70%.

The broader national productive-credit portfolio also expanded. From January to May 2026, the national financial system placed USD 14.746 billion in credit by economic activity, up 2.5% from USD 14.392 billion in the same period of 2025.

The Ministry of Economy and Finance also reported that active productive-credit operations increased 5.4% across corporate, business and SME subsegments.

Access Conditions

To qualify as an SME in Ecuador's financial system and access preferential rates, a company must record annual sales of at least USD 300,000.

Average SME interest rates at banks are reported between 11% and 12% for companies above the USD 300,000 annual-sales threshold. Cooperative rates can reach 16%, although cooperatives are described as more open to lending to the segment.

Most SME financing is going to working capital, including inputs, raw materials and short-term operating expenses. Less than 15% of the credit is reportedly used for machinery or long-term assets.

What to watch

• Whether the 12% SME-credit growth rate holds through the second half of 2026.
• Whether cooperatives and BanEcuador continue to account for most incremental SME placement.
• Whether the USD 300,000 sales threshold limits access for smaller firms.
• Whether more credit shifts from working capital toward machinery and long-term assets.