Breaking news, politics, economy, visas, safety, and lifestyle updates for expats living in Ecuador.
Ecuador's Semana Santa holiday runs April 3-5 with Good Friday as a national holiday. Banks and government offices close, IVA drops to 8% for tourism, and major processions take place across Quito, Guayaquil, Cuenca, and Riobamba. Here's your practical guide.
Colombia has indefinitely suspended electricity exports to Ecuador as part of an escalating trade war. Ecuador normally imports 8-10% of daily demand from Colombia, and replacing that power with costlier generation is running approximately $2 million per day.
Ecuador and Colombia have imposed tit-for-tat tariffs reaching 50% on hundreds of goods, putting approximately $2.8 billion in annual bilateral trade at risk. Colombia has also suspended electricity exports and faces retaliatory pipeline fee increases from Ecuador.
A New York Times investigation found that a joint U.S.-Ecuador military strike in early March, promoted by Defense Secretary Pete Hegseth as destroying a drug trafficking camp, actually destroyed a cattle and dairy farm in San Martin. Workers reported beatings, choking, and electrical shocks by soldiers.
Gasoline and diesel prices in Ecuador are expected to increase approximately 5% when the monthly band adjustment takes effect on April 12. Extra and ecopais gasoline currently at $2.89/gallon and diesel premium at $2.82/gallon are being pushed higher by WTI crude above $100/barrel.
Ecuador's government announced intentional homicides dropped 28% in March 2026 year-over-year, following a two-week nightly curfew in four provinces. The curfew provinces -- Guayas, Los Rios, El Oro, and Santo Domingo -- are not major expat areas, but the security trend is nationally significant.
The U.S. Trade Representative and Ecuador formalized a reciprocal trade deal covering approximately $2.786 billion in goods. U.S. beef tariffs will phase to zero over three years, pork tariffs are mostly eliminated, and Ecuador secures preferential treatment for over 90% of the U.S. agricultural schedule.
Executive Decree 348 temporarily reduces Ecuador's IVA from 15% to 8% for tourism services from April 3-5 during Semana Santa. The cut covers accommodation, food and beverage, tourist transport, travel agencies, and ecotourism operations.
Banco Bolivariano issued Latin America's largest biodiversity bond at $120 million, backed by IDB Invest ($50M), IFC ($50M), and FMO ($20M). The 5-year bond funds sustainable agriculture, freshwater and marine ecosystem protection, waste management, forestry, and ecotourism.
The World Bank forecasts Ecuador's economy will grow just 2% in 2026, among the lowest rates in Latin America. A fiscal deficit of 3-4% of GDP, expiring security contributions, weakening oil receipts, and likely tax reform paint a challenging picture.
A U.S. Army Corps of Engineers study warns that Coca River erosion could reach the 1,500 MW Coca Codo Sinclair hydroelectric plant's water intake by 2026. The plant provides roughly one-third of Ecuador's national electricity. Recent rains have improved reservoir levels, and a new 200 MW plant has come online.
Ecuador's Registro Civil has extended walk-in service for cedulas and passports through July 31, 2026. No online appointment is needed. All agencies operate Monday through Friday, 8 AM to 5 PM. Cedula costs range from $5 for first issuance to $16 for renewal.
