“Generate more activity in construction” is the request of the builders’ union to the Bank of Ecuador Social Security Institute (Biess), since currently the ratio of mortgage loans to unsecured and secured loans is “practically one to seven” and this must be reversed, said Joan Proaño, vice president of Constructores Positivos.

Proaño indicated that Biesso’s participation in the mortgage loan market in 2012 was 70%, however, this percentage in 2023 was only 30%.

He also indicated that the placement of mortgage loans in 2012 amounted to 1,120 million dollars, now it has fallen to 588 million dollars and that by 2024 it is estimated that it will grow by 10 percent. “Due to the situation in the country and the high cost of funds abroad, Ecuadorian banks will reduce the placement of mortgage loans,” he said.

In this regard, he said that it is important that Biess through “adequate managerial leadership” implements actions in order to increase mortgage credit, encourage the purchase of apartments, reduce the housing deficit and thus have more sources of employment. . “Let’s not forget that Biess is not just any bank, it is a member’s bank, it belongs to all of us, and the main source of income of IESS is contributions, we must encourage that, as much formal employment as possible. and higher contributions, only then will we be able to pay pensions”, he indicated.

According to Proaño, the delivery of unsecured loans is favored at the moment, which they say “seems to be delivered very well, but that’s the only thing that encourages” consumption. “There will be $4,000 million in mortgage loans, unsecured loans. When IESS Bank started, it was practically one-to-one between mortgage, unsecured and secured loans, now the ratio is practically one to seven, we have to turn this around, we have to have a direction, and Biess is the one that is called to generate more activity in construction”, he emphasized.