Ecuador’s exports to Andean countries totaled $1.93 billion between January and November of last year, down 36% from $3.03 billion in the same period of 2008, the central bank said Friday.
Ecuadorian imports from the Andean countries totaled $2.7 billion in the same period, down 38% from $4.39 billion in the previous year.
The Andean countries are Bolivia, Colombia, Ecuador, Peru and Venezuela.
The central bank added that $802 million, or 42%, of the exports went to Peru; $623 million, or 32%, to Colombia; $491 million, or 25%, to Venezuela; and the remainder to Bolivia.
On the import side of the ledger, the report said that $1.3 billion corresponded to Colombia; $812 million to Venezuela; $540 million to Peru; and $10 million to Bolivia.
In 2008, Ecuador’s exports to Andean countries totaled $3.20 billion, while imports from these countries totaled $4.67 billion
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Ecuador posts $332 million trade deficit for 2009
Ecuador posted a trade deficit of $332 million last year compared with a surplus of $910 million in the previous year, the nation's central bank reported Friday.
The central bank added that during 2009, Ecuador posted an oil-trade surplus of $4.6 billion and a nonoil-trade deficit of $4.9 billion.
The central bank said exports fell 26% to about $13.76 billion last year from $18.51 billion a year before.
Imports fell 20% to about $14.09 billion from $17.60 billion in the year-earlier period.
The central bank added that exports of oil products last year amounted to $6.96 billion, or 51% of the total, while nonpetroleum products reached $6.80 billion, or 49%.
Among exports, crude oil led at $6.28 billion, followed by bananas at $1.99 billion, shrimp at $651 million, and fresh flowers at $546 million.
Of total imports registered in 2009, raw materials were $4.67 billion, capital goods $3.93 billion, and consumer goods $3.07 billion.
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Economy Minister predicts a trade surplus for 2010 following deficit in 2009
Ecuador’s Minister of Economic Policy Coordination, Diego Borja, forecast Wednesday that the Andean country will post a trade surplus of around $265 million this year.
Borja told lawmakers that last year Ecuador posted a trade deficit of $382 million compared with the surplus of $881 million registered in 2008.
According to Borja, Ecuador's trade balance was affected by the world economic crisis.
Last year, to stave off the effects of the global financial crisis, the government increased trade tariffs and established new tariffs for imported products.
Borja said that without those measures Ecuador would have posted a trade deficit of around $2.5 billion in 2009.
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Business confidence falls in December according to Deloitte business survey
Business confidence in Ecuador fell 2% in December compared to the previous month, said a report from Deloitte & Touche.
Ecuador's rating of 82 points in Deloitte's December Business Confidence Index was the lowest since July, when it stood at 98.4 points out of a possible 250 points.
In its monthly report, Deloitte said electricity rationing and the government's new tax reform package, approved in December, diminished confidence among business people.
Losses in the business sector due to energy rationing from November to December--when severe drought reduced production at the country's biggest hydroelectric plant--totaled $1 billion, Deloitte said.
Of the businesses surveyed by Deloitte, 32% said electricity shortages seriously affected their business, while 51% were affected to a lesser extent. Only 17% of respondents were unaffected by blackouts.
Although many businesses, including banks and manufacturers, generated their own power during the shortages, 72% said generating energy wasn't the responsibility of the private sector.
On the issue of the tax reform package, 46% believed the reforms would affect their business, with the financial and industrial sectors seen as the most affected.
Among other changes, the new tax package doubles the country's capital outflow tax to 2% from 1% and adds a new tax on paper used to print newspapers and magazines.
About 73% of business leaders surveyed said the country's socioeconomic situation was making it difficult to attract foreign investment.
Asked about the possibility of improved economic conditions, 54% were less optimistic than the previous month.
Only 34% reported increased sales during December, while 41% reported decreased sales, compared to November.
The survey found 48% had noted a drop in accumulated sales compared to the same period of the previous year.
The survey also said about 32% of businesses in the commercial, financial, industrial and service sectors had to lay off workers in December.
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Ecuador’s unemployment rates ends 2009 at 7.9%; under-employment remains a major problem
Ecuador’s urban unemployment rate was 7.9% for the last quarter of 2009, from 9.1% in the third quarter, the National Statistics and Census Institute, or Inec, said Monday.
Underemployment - the percentage of Ecuadoreans employed in the informal sector or who work on an occasional basis - stood at 50.5% compared with 51.7% in the previous quarter, Inec said.
Ecuador's economically active population is estimated around 5 million. The Inec report covers the cities of Quito, Guayaquil, Cuenca, Ambato and Machala.
President Rafael Correa has said his government plans measures to boost small businesses and increase public investment to promote production.
According to official data, the government has invested $5 billion in public-sector works programs in 2009 and plans to invest around $6 billion during 2010.
Recently, President Correa said that without public investment the unemployment rate would have been between 14% and 16% last year.
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