Ecuador: Selected Issues
IMF Staff Country Reports, December 19, 2024
Source details
- Canonical URL
- Ecuador: Selected Issues
Other formats
Bibliographic details
- Published: December 19, 2024
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798400297724.002
Summary and focus
- This Selected Issues paper focuses on boosting sustainable growth in Ecuador.
- Ecuador’s economic growth has slowed markedly since the 1990s, amid low investment, slowing employment growth, and anemic growth in total factor productivity (TFP) in the last decade.
- The security crisis poses additional risks to the growth outlook.
Key findings on growth performance
- Growth has slowed over time, driven by:
- Low investment.
- Slowing employment growth.
- Anemic growth in total factor productivity (TFP) in the last decade.
- Security deterioration is an added downside risk, including through the outflow of workers.
Policy recommendations and reform priorities
- Comprehensive reform strategy should focus on:
1. Improving the security situation and curbing the outflow of workers, including through job-rich opportunities for youth. 2. Revitalizing the business environment to attract investments. 3. Implementing reforms that can boost TFP.
- A range of other important reforms that could help boost potential gross domestic product include:
- Lifting regulatory constraints in product and service markets.
- Addressing efficiency and governance problems within state-owned enterprises.
- Ensuring sufficient and reliant access to energy.
- Diversifying the economy for the climate transition.
Subject areas and keywords
- Subject: Bonds, Climate change, Climate finance, Commodities, Electricity, Environment, Financial institutions, Gender, Women
- Keywords: B. climate finance trend, Bonds, Caribbean, Climate change, Climate finance, climate FINANCING Needs, D. policy option, Electricity, electricity production, Global, IMF staff calculation, Women
Content in this bundle
- Ecuador: Selected Issues; IMF Country Report No. 24/358; December 9, 2024