CAF and Ecuador sign two loans for 325 million dollars

Bogotá, Dec 7 (EFE) .- The Development Bank of Latin America-CAF and the Ministry of Finance of Ecuador signed two loans on Tuesday for a total of 325 million dollars to support the vaccination plan against covid-19 and the reactivation of economic production.

“With these financial resources we hope to support the fiscal management of the National Government and contribute to promoting the availability and timely execution of public resources,” said the executive president of the CAF, Sergio Díaz-Granados, during the CLXXIII board of directors of the Bank that was held today in the Colombian city of Cartagena de Indias.

The first loan, of 75 million dollars, is intended for the Government to acquire “efficient, effective and safe” vaccines against covid-19, as well as strengthen the logistics for immunization, according to the CAF in a statement.

“We continue to offer agile and efficient financing facilities to support the management that the authorities are carrying out in their vaccination plans and the strengthening of the health sector, to improve the well-being of the population,” Díaz-Granados explained.

The second loan, for 250 million dollars, “seeks to support the sustainability of public finances and guarantee a sustainable debt trajectory that helps to consolidate confidence in macroeconomic stability,” according to the financial organization.

This credit will be destined, therefore, to promote the reactivation of production for a “sustainable economic development and inclusive and supportive growth”, as well as to strengthen the social protection system, so that it affects the affected sectors in their subsistence economy. .

CAF’s strategy in Ecuador has among its priorities the consolidation of the sustainability of the economic system, the promotion of productivity and competitiveness for growth with equity and social inclusion.

During the 2016-2020 five-year period, CAF approved credit and technical cooperation operations to Ecuador for a total of 4,380 million dollars.

Likewise, total disbursements in that period amounted to 3,707 million dollars and the portfolio of the Andean country at the end of August 2021 reached a total of 3,859 million dollars.

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