IMF says Ecuador has made ‘significant progress’

The International Monetary Fund (IMF) reports that Ecuador has shown “significant economic and social progress” within the last decade.

“Economic growth has averaged about 4.5% since 200, while inflation has decreased to about 3% a year,” an IMF report said. “Financial stability, achieved with dollarization, was preserved and, together with low inflation and growth sustained and increased social spending, helped reduce poverty and improve other social indicators,” the report said.

The IMF emphasized that high oil prices in recent years have generated extraordinary income for the governmnet, facilitating increased public spending. The report added that it expected oil prices to remain near current levels and continue to support government programs.

Despite its support of Ecuador’s public spending, the IMF cautioned that future expenditures on infrastructure and social programs may need to reined in to avoid budget deficits.