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Weekly Report - 30 September 2021 (WR-21-39)

ECUADOR: Lasso’s tax and labour reform bill ruled unconstitutional

Ecuador’s President Guillermo Lasso suffered a setback to his economic plans on 29 September, when the national assembly’s administrative council (CAL) ruled that a mega-bill to reform the tax system and labour regulations was unconstitutional. The government may still be able to secure the reforms by resubmitting its proposals as separate bills. Welding the tax and labour proposals together was a risky move, exposing the Lasso administration to flak from both the Left and the Right, and a change of strategy could increase the likelihood of at least one aspect of the rejected bill being approved.

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