Overview: In March 1987 the economy was badly affected by an earthquake that destroyed 32 kilometers of oil pipeline, effectively cutting off oil exports for over six months and causing an estimated loss in revenue of $950 million. The cost of the earthquake is estimated at $1 billion, if infrastructure repairs and fuel imports are included. The destruction fell on an economy already hard hit by a sharp drop in oil prices in 1986. Ecuador continues to face large balance-of-payments difficulties despite a recovery in oil revenues and increased coffee production in 1988. The government has recently resumed talks with private creditor banks after having formally suspended interest payments in January 1987.

GDP: $9.4 billion, per capita $940; real growth rate 5% (1988 est.)

Inflation rate (consumer prices): 85.7% (1988)

Unemployment rate: 8.5% (1987)

Budget: revenues $1.8 billion; expenditures $2.6 billion, including capital expenditures of $574 million (1987 est.)

Exports: $2.4 billion (f.o.b., 1988); @m5commodities--petroleum 44%, coffee, bananas, cocoa products, shrimp, fish products; @m5partners--US 58%, Latin America, Caribbean, EC countries

Imports: $1.7 billion (c.i.f., 1987); @m5commodities--transport equipment, vehicles, machinery, chemical, petroleum; @m5partners--US 28%, Latin America, Caribbean, EC, Japan

External debt: $10.7 billion, medium and long-term (1988)

Industrial production: growth rate - 1.1% (manufacturing, 1987)

Electricity: 1,834,000 kW capacity; 5,777 million kWh produced, 565 kWh per capita (1988)

Industries: food processing, textiles, chemicals, fishing, timber, petroleum

Agriculture: bananas, coffee, cocoa, sugarcane, corn, potatoes, rice; an illegal producer of coca for the international drug trade

Aid: US commitments (FY70-87), $436 million; Western (non-US) countries, ODA and OOF bilateral commitments (1970-86), $1.1 billion; Communist countries (1970-87), $64 million

Currency: sucre (plural--sucres); 1 sucre (S/) = 100 centavos

Exchange rates: sucres (S/) per US$1--428.34 (December 1988), 301.61 (1988), 170.46 (1987), 122.78 (1986); 401.4 (commercial rate, December 1988)

Fiscal year: calendar year

NOTE: The information regarding Ecuador on this page is re-published from the 1989 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Ecuador Economy 1989 information contained here. All suggestions for corrections of any errors about Ecuador Economy 1989 should be addressed to the CIA.