Ecuador economic crisis Banco Progreso insolvent bank failure

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This site is about the Ecuador economic crisis, an insolvent Banco Progreso and bank failure Updated several times a week depending on the quantity of news

Economic Crisis ECUADOR CRISIS .

insolvent Banco Progreso .
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Bank Failure .
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Thank you for visiting the Ecuador Crisis page.
This is a collective effort in the form of a bulletin from those who live here, both Ecuadorian and foreign, to awake the world as to the real problems in Ecuador and what we feel some of the solutions should include from the perspective of citizens and residents.

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1. One important issue is to appeal to foreign countries who would give an aid package to Ecuador NOT TO DO SO until all foreigners are repaid their money and capital on deposit and frozen in Ecuadorian banks. On March 8, 1999, Ecuador froze all assets in all banks without regard to foreign or domestic funds. Deposits belonging to foreigners are foreign. That capital does not belong to Ecuador and it is highly unethical and with no regard for future foreign investment that Ecuador froze foreign funds. Ecuador has just eliminated itself from any foreign investment in the future.
Stipulate without exception with any aid package that all foreign capital is to be returned in full to all foreign depositors immediately whether or not they are living in or doing business in Ecuador. It would cost the donating country nothing to stipulate that, it could possibly save any "face" which Ecuador may have, and it would return illegally frozen foreign assets, any interest due and an open appology to all who were affected.
Spain respects its citizens abroad and has stipulated a prompt return of funds to their citizens living and doing business in Ecuador in their aid package, and we hope other countries follow suit. Spain holds their citizens' rights and capital in high regard and our hats go off to that country for its perception.

Ecuador's economic crisis, the insolvent mega-bank, Banco Progreso, corruption within the banking system and political system are all issues on this website.

2. The second important issue is to not take the easy way out and only give money aid to Ecuador, but give along with that, "advisors", who will keep the money on target, establish direct liason to the donating country, and give advice to Ecuador as well, if Ecuador is to receive a penny of monetary aid. What got Ecuador into this mess was years of no forsight, government corruption on all levels and no leadership. To break this cycle, send mandatory advisors who would also be "observers" in the economic and legislative fields and of course who would oversee and establish anti-corruption measures. Advisors would cost a lot less than hundreds of millions of dollars of "grab money" and could do a lot more good. If a laser beam isn't focused, it isn't potent. Same with donated aid packages, and advisors can maintain that focus. The problems in Ecuador stem from mismanagement, corruption and weak leadership, not from lack of potential. The government must be advised and overseen.
The massive corruption in all levels in Ecuador and the typical selfish, childish attitudes of its leadership toward the future can therefore be addressed and delt with with onboard, hands-on advisors. No real aid package should exclude this advisory aid. It is the most important part of a would be aid package and the least expensive for a permanent fix and prevention of a domino effect of crashing economies in the Latin American and "Pacific rim" trade and economic sectors. The advisors should be in part permanent residents now living in Ecuador who have a feel for what is happening here, Ecuadorian psychology and knowledge of the interior dynamics which make Ecuador tick.
If the government does not radically change soon, Ecuador will fall, with or without monitory aid. Economies are frail enough in Latin America as is without an out and out crash of one of it's key members, and Ecuador is indeed a key player for import and export to other Latin American countries. Advisors are mandatory for any degree of success to occur.

In the interest of reporting accurately, to the best of our knowledge, the facts presented are true and accurate concerning news. We do offer opinions and our opinions are that of well informed educated responsible people who are concerned gravely with the situation. And we need your help! The U.S. Congress is not being accurately informed by the State Department of the magnitude and causes of this crisis and there is no world news or other web sites which cover it either.
Feel free to contribute:
Drop us a line at: ecuador_crisis@yahoo.co.uk
Please put "contribute" in the subject line somewhere so it goes to the right mailbox.

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If you'd like to check the "world news" to find Ecuador issues
Heeeeeeere's Reuters!
We'll even give you an additional window to view it.
As we say in internet jargon, "just kill the new window" when you're done, no back buttons!
Point being, Reuter's doesn't even carry in their "world news" anything about Ecuador. L

Just to let you sample some of the pure garbage news the U.S. gets about Ecuador, here is a flash back to 1997 when Abdala Bucharam was impeached and the President of Congress, Fabian Alarcon (now in jail) was sworn in as president of Ecuador. But, look at this news article we dug up:
"February 10, 1997 -- Ecuador still has not resolved its political crisis, despite a weekend deal brokered by the armed forces. Beleaguered President Abdala Bucaram has been forced out of office, and Vice President Rosalia Arteaga has been sworn in as interim president. But Arteaga is suggesting she might stay in office for an extended period of time. NPR's David Welna reports from Quito that such a move would touch off another showdown with Ecuador's Congress, which is expected to select a new president tomorrow.

Interesting piece of misinformation. Unfortunately, Attorney Rosalea Arteaga, former Minister of Ecuacation was never sworn in. In fact, she was put in the closit by Alarcon in a paper position of vice president only. One of the most brilliant people in Ecuador, Mrs. Arteaga was silenced illegally. She, being vice president was legally entitled to the presidency but was literally forced from the option by a chauvenistic congress. This came from "All Things Considered" which can be found at:
http://iris.npr.org/news/national/1997/Feb/970210.ecuador.html

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If you would like to read a little about this website before entering, here is some factual data concerning its content.

We note that hardly anyone in countries outside of South America are exposed to news media which is carrying the story of the Ecuador economic crisis, a mega bank knows as Banco Progreso which is insolvent and the bank failure problems Ecuador is enduring. The Ecuador economic crisis is going to spread through out its neighboring trade partners if nothing is done. Also, foreign investors' capital has been locked up in all the banks, no exceptions, along with the capital freeze in general. We feel that this is absurd, the money was not Ecuador money, it was invested by trusting foreigners who saw a beneficial investment environment. These funds should therefore be released to the foreign investors immediately before any foreign aid package is granted to Ecuador.

The Ecuador economic crisis and bank failures result from an inefficient government, corruption in both the governemt and banking sector, unregulated banks which misrepresent the truth, and in the case of Banco Progreso's insolvent condition, out and out theft and "skim off" by the bank officers and owners. The president of Banco Progreso admitted that himself before the Television audience of Ecuador after having turned in his passport in front of T.V. coverage. An investigation into this is supposed to be going on but there has been no word to the public. The public fears that since there is such a huge amount of money involved, the government inspection into this Banco Progreso issue has been "bought off" as usual and that the stolen funds will never be returned. Progresso chiefs who gave ghost company loans and then pocketed the money are feared at large and the money is thought to be in Switzerland.

Join us in the countdown of events which led Ecuador into crisis, insolvent condition of Banco Progreso and bank failure.