|ECUADOR SIGNS USD 571 MILLION LOAN DEAL WITH CHINA FOR HYDROELECTRICITY|
Oranjestad, October 20 2011 - Ecuador signed a UDS 571 million loan deal with the Eximbank in China to finance part of the construction of a central hydroelectric power station for the Andean Nation, consequently increasing the millionaire debt they hold with the Asian country.
According to the Ministry of strategic affairs, the loan will serve for the completion of the USD 672.1 million investment of the “Sopladora” project situated between the Azuay and Morono Santiago region, which will contribute to 487.8 megawatt (MW) to the country’s interconnected system.
The publication did not specify the conditions of the loan, which has been subscribed in China by both nations’ authorities. China became the only financier of Ecuador with a contribution of more than USD 6 billion for the finance of dams, credits for unrestrained funds and advance payments for crude sales. In an attempt to substitute thermal energy and reduce the costly imports of oil products, Ecuador’s president, Rafael Correa, stimulates the construction of eight strategic hydroelectricity projects.
Read more/source: www.elcomercio.com