Ecuadorean Bill May Push Public Debt ‘Out of Control’

Proposed changes to Ecuador’s public finance law may swell government debt and allow fiscal accounts to get “out of control,” the president of brokerage Albion Casa de Valores SA said.

Plans to exempt short-term treasury notes from being classified as public debt and a lack of restrictions on the amount the government can issue each year may let the South American country take on more debt than it should, Paul Palacios, head of the nation’s third-largest brokerage, said yesterday in a telephone interview.