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Weekly Report - 21 January 2021 (WR-21-03)
ECUADOR: US debt deal draws international interest
Adam Boehler, the chief executive of the US government’s Development Finance Corporation (DFC), described last week’s US$3.5bn agreement with Ecuador as a “novel approach” to development financing. While the deal is indeed unusual, its apparent focus on reducing Chinese influence over Ecuador’s economy, to the benefit of US-owned companies, drew comparisons from many observers to Cold War-era superpower competition. Other governments across the region will be watching with interest to see if Ecuador is able to work this dynamic to its advantage – if so, such agreements could soon become more commonplace.
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