Ecuador Has Budget Surplus in First Half, President Correa Says

Sept. 20 (Bloomberg) -- Ecuador registered a budget surplus in the first half that will allow the government to keep investing, President Rafael Correa said.

Ecuador's central government had a surplus of $508 million and public-sector entities such as municipalities and state-run universities had a $2.17 billion surplus, he said today in his weekly television address.

``This surplus is excessive,'' Correa said. ``We have to boost our efficiency in investing.''

On Sept. 28, Ecuador will hold a referendum on a new constitution that calls for raising spending on health and education. Correa this week replaced Finance Minister Wilma Salgado after she said that Ecuador faces a budget deficit of about $2.4 billion next year and recommended slowing the pace of spending.

``$3.9 billion in investments will be carried out this year,'' Correa said.

With high prices for crude oil, the OPEC member's main export, Ecuador has met its repayment schedule on its $3.9 billion in foreign debt during Correa's term.

To contact the reporter on this story: Stephan Kueffner in Quito at skueffner@bloomberg.net

To contact the editor responsible for this story: Andrew J. Barden at barden@bloomberg.net