Changes

The Ecuadorian economy is based on petroleum production, manufacturing primarily for the domestic market, and agricultural production for domestic consumption and export. Principal exports are petroleum, bananas, shrimp, flowers, and other primary agricultural products. In 2006, oil accounted for 59% of total export earnings. Ecuador is the world's largest exporter of bananas (about $1.2 billion in 2006) and a major exporter of shrimp ($588 million in 2006). Exports of nontraditional products such as flowers ($436 million in 2006, a three-fold increase in 10 years) and canned fish ($575 million in 2006) have grown in recent years.  

The Ecuadorian economy is based on petroleum production, manufacturing primarily for the domestic market, and agricultural production for domestic consumption and export. Principal exports are petroleum, bananas, shrimp, flowers, and other primary agricultural products. In 2006, oil accounted for 59% of total export earnings. Ecuador is the world's largest exporter of bananas (about $1.2 billion in 2006) and a major exporter of shrimp ($588 million in 2006). Exports of nontraditional products such as flowers ($436 million in 2006, a three-fold increase in 10 years) and canned fish ($575 million in 2006) have grown in recent years.  

Ecuador's economic performance has been solid since it adopted the dollar as its national currency in 2000, following a major banking crisis and recession in 1999. Since 2000, growth has averaged over 5% per year. In 2006, economic growth was 3.9%, inflation was 2.9%, and both petroleum and non-petroleum exports expanded. This performance has taken place in spite of the political turbulence, thanks to the stability brought by dollarization, high oil prices, strong domestic consumer demand, and growing remittances (over $2.5 billion a year) from Ecuadorians living abroad. Per capita income has increased from $1,296 in 2000 to an estimated $3,088 in 2006, while the poverty rate fell from 51% in 2000 to 38% in 2006.  

Ecuador's economic performance has been solid since it adopted the dollar as its national currency in 2000, following a major banking crisis and recession in 1999. Since 2000, growth has averaged over 5% per year. In 2006, economic growth was 3.9%, [[inflation]] was 2.9%, and both petroleum and non-petroleum exports expanded. This performance has taken place in spite of the political turbulence, thanks to the stability brought by dollarization, high oil prices, strong domestic consumer demand, and growing remittances (over $2.5 billion a year) from Ecuadorians living abroad. Per capita income has increased from $1,296 in 2000 to an estimated $3,088 in 2006, while the poverty rate fell from 51% in 2000 to 38% in 2006.  

Ecuador did not improve its overall competitiveness during this period of economic and export growth. In 2006, it slipped three positions in both the World Bank's Doing Business Index (from 120 to 123) and the World Economic Forum's Competitiveness Index (from 87 to 90), as other nations have moved more aggressively to adapt to globalization.  

Ecuador did not improve its overall competitiveness during this period of economic and export growth. In 2006, it slipped three positions in both the World Bank's Doing Business Index (from 120 to 123) and the World Economic Forum's Competitiveness Index (from 87 to 90), as other nations have moved more aggressively to adapt to globalization.