Ecuador seeking ways to boost private sector participation in infra

Ecuador is looking to create instruments to strengthen the country's competitiveness and attract more private investment to the infrastructure sector, where there is a portfolio of projects worth a combined US$50bn.

"We're going to launch new instruments very soon" said the technical secretary of public-private associations, Roberto Salas, at the 2022 annual energy and oil meeting (Enaep), organized in Quito by the company Seminarium.

He said that these instruments would include "contingency funds and investment flow targeting instruments to give banks more credibility to finance projects."  

The official added that these two instruments would be particularly for projects in the energy area, while processes will be carried for other areas of infrastructure to guarantee the bankability and attractiveness of each project for which private sector funding is sought.

Salas said that the South American nation is analyzing successful processes in other countries to adapt them to the local reality and give its tenders more chances of success.

The country is also working on drawing up standard contracts, particularly for the construction of hospitals, schools and highways, in order to reduce the discretionary powers of officials when it comes to granting approvals for any tender.