Ecuador Eyes New Financing After World’s First Virtual Debt Deal

Ecuador is aiming to secure additional financing by the end of August to help plug its fiscal gap after wrapping up a deal to restructure $17.4 billion of debt, according to Finance Minister Richard Martinez, Bloomberg News reported. President Lenin Moreno’s administration is negotiating a new program with the International Monetary Fund as well as some $2 billion in bilateral loans from China. Martinez said the Asian Infrastructure Investment Bank is also considering a $50 million loan to support small and medium enterprises. “August is key,” Martinez said in an interview from Quito. “At the end of this month, we’ll have more clarity on how we’ll close the financing gap.” On Monday, Ecuador won overwhelming support from bondholders to restructure its international notes, significantly reducing the nation’s obligations over the coming decade. Read more