Ecuador

This artist and entrepreneur sells his clay and plaster sculptures to tourists that visit his hometown of Pujili in Cotopaxi.  Access to USAID-supported micro-credit allowed him to purchase raw materials used for his artwork. 

Overview

Ecuador is a developing country with a lower-middle per capita income. U.S. assistance to Ecuador focuses on promoting democracy, enhancing security and counter-narcotics cooperation, improving the management of natural resources, and furthering economic development.  USAID’s vision is for Ecuadorians to create an equitable, sustainable economy with strong democratic institutions.

Ecuador has enjoyed civilian rule since 1979, yet its democracy remains fragile. None of the previous three elected presidents finished their terms in office, and eight presidents have served over the last decade. Ecuador is a key ally in regional U.S. efforts to combating narcotics and human trafficking and terrorism.

To address development challenges such as poverty, and lack of good governance and economic opportunities, USAID programs in Ecuador focus on increasing support for the democratic system; improving the quality of life of the population living along Ecuador’s borders; promoting sustainable and equitable economic development; and conserving biodiversity.

Programs

Governing Justly & Democratically

USAID assists in strengthening Ecuador’s democratic system by supporting local governments, enhancing access to justice, broadening civil society participation in key democratic processes, and promoting transparent and inclusive elections.  With USAID support, 64 local governments have implemented participatory planning processes and have improved municipal management practices to enhance service delivery.  USAID also mobilized
about 1,915 persons, with high participation by youth, to oversee a constitutional referendum and two provincial elections.

Economic Growth

USAID contributes to poverty reduction by promoting trade and competitiveness and essential economic reforms.  USAID has won the confidence of the government and the private sector by emphasizing practical solutions, creating jobs, and building public-private alliances for growth.  USAID also supported the reorganization of Ecuador’s financial sector, increasing compliance with international best practices that support trade and investment.  USAID has been instrumental in promoting the value-chain methodology in Ecuador, organizing small producers and business to become specialized suppliers for large firms with local and international markets.  In 2008, approximately 223 new full-time equivalent jobs were created, and revenues increased for 1,865 small and medium firms involved in the program. 

Investing In People

USAID contributes to the economic and social development of the northern and southern border regions.  The objectives of the program are to increase job and licit income opportunities, strengthen local governments’ capacity, and develop clusters to improve production and market opportunities at national and international levels.  In 2008, USAID’s Alternative Development program created 2,754 new full-time equivalent jobs.  Average family incomes increased by 22 percent from $983 to $1,200.   USAID developed sustainable farm-level production and marketing systems for 10 “anchor” firms and their respective backward-linked and forward-linked farmers producing cacao, coffee, broccoli, and milk.  From the program’s inception in 2001 through 2008, more than 101,477 families have benefited from the construction of 80 bridges, 136 potable water systems, 52 sewage systems, and 15 small irrigation systems.

USAID efforts focus on the conservation of natural resources in Ecuador, particularly in the National System of Protected Areas, indigenous territories, and watersheds. In 2008, USAID assistance faciliated improvements in the management of 659,747 hectares (ha) of critical ecosystems.  This includes 540,159 ha of indigenous land with secure tenure, marked boundaries, and participatory surveillance systems.  USAID supported replication of the Quito Water Fund in four sites, in which water users pay into a conservation endowment.  USAID also financed non-destructive productive activities and improved management practices to reduce threats to biodiversity and improve water quality.  USAID programs trained 1,901 people in best management practices to conserve natural resources.    

USAID also supports the following activities in Ecuador: combating trafficking in persons, including prevention and protection of victims; inclusive development to promote the participation of persons with disabilities in democratic processes and labor integration; Centers of Excellence for Teacher Training to improve reading and writing teaching skills; and disaster preparedness and humanitarian assistance for victims of natural disasters.