20000311

IMF, World Bank

to consider $ two bn

to Ecuador

WASHINGTON: Top officials at the IMF, the World Bank, the Inter-American Development Bank and the Andean Development Corporation said on Thursday they would ask their executive boards to approve a loan package for Ecuador worth two billion dollars.

The US Treasury Department welcomed the announcements, adding that it would separately give 90 million dollars of aid "for specific security and development needs this years."

A statement from the World Bank said the credits would be made available over the next three years to support the government's economic and structural reform initiative.

If approved by the boards, some 900 million dollars would be available for Ecuador over the next 12 months.

The funds would be earmarked to support the replacement of the local currency with the US dollar as well as to shore up the banking system and to strengthen social welfare programmes for the poor.

In the proposed package, the International Monetary Fund would contribute 300 million dollars, the World Bank 425 million, the Inter-American Development Bank 620 million dollars and the Andean Development Corporation 700 million.

The US Treasury Department welcomed the "Substantial additional support for Ecuador."ÑAFP