Sept 29 (Reuters) - Ecuador's President Rafael Correa won by a landslide a vote on Sunday to extend his hold over the OPEC nation's economy and political institutions with a new constitution.
After his win the leftist worried investors with threats to stop payments on foreign debt his government calls "illegitimate," but analysts say the leftist is more likely to seek a restructuring than an outright default.
Here are some details about Ecuador's $10 billion foreign debt and a government probe on loans:
* Ecuador has $3.9 billion in sovereign debt, widely traded in the market as global bonds due in 2012, 2015 and 2030. The global bonds due in 2012 and 2030 amount to $3.2 billion.
The 2015 paper, issued in late 2005, was not considered "illegitimate" in a government audit of debt. But the audit group said 2012 and 2030 bonds stem from an "illegal" renegotiation of defaulted Brady bonds in 2000. The audit says the renegotiation violated local laws and lacked transparency.
* Ecuador holds multilateral debt for $4.3 billion. Its biggest creditors are the Inter-American Development Bank with $1.9 billion and Andean Development Corp. with $1.7 billion. The country also owes $648 million to the World Bank, which Correa accuses of having "abusive" lending policies.
The audit group says most multilateral loans forced Ecuador to apply harmful policies and violated international treaties.
* In bilateral debt, Ecuador owes $1.58 billion to countries ranging from Brazil to Spain and Italy.
Based on the group's findings Correa last week threatened not to repay a $200 million loan from Brazil linked to a construction firm embroiled in a dispute over a dam.
Source: Finance Ministry data as of Aug. 31.
No comments:
Post a Comment