2024-09-04 02:32:27
Finance Minister Juan Carlos Vega said that in 2024, around USD 300 million in sovereign guarantees will be allocated to the GADs for loans.
The Minister of Economy and Finance, Juan Carlos Vega, said on the morning of July 12 in an interview on Radio Sucesos that in 2024 around USD 150 million have been allocated to the Decentralized Autonomous Governments (GAD) in sovereign guarantees.
“There are requests for more than USD 300 million, about half of which has been allocated,” said Vega. The remainder is expected to be allocated this year. Among the guarantees allocated are those of the municipalities of Guayaquil and Portoviejo. Of these two, the Government already signed the one for Portoviejo on July 10. This guarantee is for a USD 50 million loan for the city’s water network.
And next week, the Finance Portfolio will assign the guarantee to the Prefecture of Manabí. Additionally, Vega said, a guarantee was assigned to the Municipality of Santo Domingo, with financing from the Government of South Korea.
Controversial guarantee
Following the announcement by the President of the Republic, Daniel Noboa, Minister Vega confirmed on July 8 that the Government would sign the guarantee to the Municipality of Guayaquil so that it can access an international loan for the construction of an aqueduct in Monte Sinaí, a popular area in the northwest of Guayaquil.
This is a USD 95.9 million loan, approved by the Andean Development Corporation (CAF) for Guayaquil, of which USD 46.9 million will be paid directly by the municipality. “This is a triumph for the people of Guayaquil. They are not alone,” wrote the mayor of Guayaquil, Aquiles Alvarez, in a message on X, after learning about the allocation. However, he said that he will be attentive to the signing of the guarantee.
According to Alvarez, the Minister of Finance informed him that the signing will take place no later than Monday, July 15.
This issue generated another dispute between President Noboa and Alvarez, who complained on several occasions about not having received a response from the Executive.
By: PRIMICAS