There is still expectation about what the agreements consist of and the numbers being handled.

Ecuador's country risk fell 40 points following the news that it reached a technical agreement with the International Monetary Fund. In this way, the country registered an indicator of 1,119 points on April 25, 2024. Exactly on April 24, it had been located at 1,159 points. The recent country risk indicator is the lowest of the entire government of Daniel Noboa, in which it has reached over 2,000 points. But also lower than the risk registered on January 25, 2023 (1,164).

The technical agreement with the IMF, which must still be approved by the IMF Executive Board, plans to lend Ecuador some US$ 4,000 million, in 48 months (four years).

According to Fausto Ortiz, former Minister of Finance, this decrease, which he considers “small”, is not surprising, because the agreement had already been known weeks ago and the decrease had been occurring in a “slow but declining” manner. The only thing new in this announcement that was already taken for granted is the amount (US$ 4,000 million) and that it has already been approved.

The lower country risk, which is measured by JP Morgan, means greater confidence in international markets that the Ecuadorian Government or State will honor external obligations.