Ecuador to Boost Macroeconomic Stability with IDB Support

The Inter-American Development Bank (IDB) has approved a $500 million loan to enhance Ecuador's macroeconomic stability by bolstering its fiscal sustainability and stabilizing its money market.

The Program to Support Macroeconomic Stabilization in Ecuador, which has been approved by the IDB's Board of Executive Directors, will help cover the country's short-term lending needs and stabilize its economy, safeguarding its social protection programs. The operation will support the Government's efforts in its program with the International Monetary Fund (IMF).

This program, under the Special Development Lending (SDL) modality, is structured as a single loan operation to be disbursed in two tranches.

The $500 million loan has a seven-year repayment period, a three-year grace period, and an interest rate based on SOFR, plus 1.15%, plus the margin applicable to IDB loans financed with ordinary capital.