The country risk of Ecuador grew every day and is already close to 2000 points. At the close of trading on Wednesday, November 8, the indicator He stood at 1,934 pointsaccording to data from the Central Bank of Ecuador (BCE).

The present figure represents a an increase of 111 points in just one dayas of Tuesday the 7th, it closed at 1,823 points.

The country risk is prepared by the investment bank JP Morgan and represents a type a thermometer that measures market perception on the solvency that the state has in relation to its obligations abroad. The higher the financial ratio, the less favorable the perception of investors and creditors.

A significant increase in the indicators occurred after the meetings that the newly elected president Daniel Noboa had with foreign investors and investment banks in the USA, during his tour from November 4 to 7.

Among the organizations the president spoke with were JP Morgan, the Americas Society/Council of the Americas (As/coa), Barclays and the International Monetary Fund (IMF).

Noboa set off alarm bells when he surprised by saying Ecuador was in charge risk of falling into default public debt in 2026 or 2027, if it does not increase public revenue.

Newly elected president of Nobo announces tax reform for December to increase tax revenues and avoid ‘defaults’

In order to avoid debt default and fund his government plan, the president-elect has indicated that he needs a “bridging loan” of multilateral organizations and also announced that he will present a tax reform with tax cuts.

When Noboa won the presidential election in the second round, Ecuador’s country risk decreased. On Sunday, October 15, the day of the election, 1,839 points were registered, and on Monday it was 1,748.

Between the data from Monday, October 16, and the results from November 8, country risk increased by a total of 186 points.