Economics
Ecuador Starts Debt Talks as Economic Strains Mount
- Moreno government will convene bondholder call this week
- Ecuador has distinction of second-most defaults since 1800
A street vendor in Quito during the government-ordered lockdown on May 7.
Photographer: Agencia Press South/Getty Images South AmericaThis article is for subscribers only.
Ecuador is kicking off the first round of creditor talks this week with the goal of releasing an initial debt restructuring offer as early as late June, according to people with direct knowledge of the matter.
President Lenin Moreno’s administration is pressing to avoid a hard default and to regain access to credit markets. The South American nation convened a call with its biggest bondholders, including a group led by BlackRock Inc. and Ashmore Group Plc, on Wednesday as it looks to plug a multibillion dollar financing gap for 2020, said the people, who requested anonymity because the talks are private.