Upon receiving his ceremonial sash and being sworn in as the 47th president of Ecuador this week, conservative banker Guillermo Lasso described himself as “a man who is not afraid of challenges.”
Indeed, relishing a challenge is a crucial attribute for leaders of the Andean nation. After more than 420,000 cases and 20,000 deaths, the pandemic has left Ecuador reeling. The economy shrank by 7.5 percent last year, while poverty, violence, and unemployment rates went in the opposite direction. Meanwhile, less than 3 percent of the population are fully vaccinated against the coronavirus.
Perhaps against his nature, Mr. Lasso will have to navigate the economic chaos without resorting to austerity measures or taking big international loans. A history of crippling foreign debts still haunts Ecuador and led to a public uprising against the outgoing Lenín Moreno government, meaning Mr. Lasso would be a fool to go to the International Monetary Fund cap in hand.
In an attempt to break Ecuador’s economic crisis cycle, Mr. Lasso has promised to create jobs through tax cuts, increase wages, and boost exports by way of a tête-à-tête relationship with the U.S. government. And Mr. Lasso will look to his neighbors for support, hoping to ingratiate himself to South...
Search
