Skip to content
Subscriber Only
Markets
Economics

China Loans Boost Access to OPEC Nation After Ecuadorean Default

Ecuador’s inability to borrow in international markets after its 2008 default is drawing the nation closer to China as the world’s largest commodities consumer grants loans in exchange for access to oil and metals.

Home to untapped copper reserves similar to those of Chile and Peru, the world’s top producers, Ecuador has signed loans for $7.3 billion from China since 2009, or about one-third of the Andean country’s annual budget, according to data compiled by Bloomberg based on government announcements. President Rafael Correa is asking China for an additional $1.7 billion to prop up public spending before February’s elections, following a trail blazed by his ally, Venezuelan President Hugo Chavez.