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                            A Special International Report Prepared by
                           The Washington Times Advertising Department - Published on April 21, 1999
                           [Home Page]

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Advertisers

(1) Bell South

(2)Banco del Pacifico

(3)PricewaterhouseCoopers del Ecuador Cia. Ltda.

(4)Corporación Financiera Nacional

(5)Ecuador's Free Trade Zones

(6)Andinatel

(7)Pacifictel

(8)La Universal

(9)CORPEI

(10)Hotel Oro Verde

(11)NABISCO

(12)Ecuador Ministry of Tourism

(13)Guayaquil

(14)Crowne Plaza Hotel • Casino, Quito, Ecuador

(15)JW Marriott Hotel, Quito, Ecuador

(16)Camara de Comercio, Ecuatoriano - Americana

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A Special International Report Prepared by The Washington Times
Advertising Department

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Written by
Zena Polin

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Marketing Director
Stephen Gatward

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For more information, call
The Washington Times International Advertising Department
at (202) 636-3035
(202) 635-0103 fax
e-mail: natlad@wt.infi.net

Copyright © 1999 News World Communications, Inc.

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Local governments balance diversity, history and growth

Each of the three main cities of Ecuador, Quito, Guayaquil and Cuenca, has its own personality, and as a result, its own problems and challenges. Quito can best be compared with Washington, D.C., the city of politics. Guayaquil has more the pace of New York, the city in which to do business. While Cuenca, the third sister, is really a quaint, colonial town with an entrepreneurial spirit.

Quito - The Washington, D.C. of Ecuador

The last mayor of Quito is probably Ecuador's best known. Jamil Mahuad left his post as mayor in August, 1998, made the walk across Independence Plaza and became President of Ecuador. This left his vice-mayor, Roque Sevilla, to fill his shoes. Sevilla, an environmentalist and co-founder of Fundacion Natura, a businessman, and a Kennedy School graduate is mayor for the remaining two years of Mahuad's mayoral term. He has many challenges ahead.

In September, 1968, Quito's Old Town was declared part of the world's cultural patrimony through UNESCO. It is the second largest and best-preserved city with this designation. With 362 monuments and 4,000 buildings protected, it is a wonderful place in which to stroll around on a sunny afternoon. At the same time it is a metropolitan center where 70,000 people live and 400,000 visit daily.

As far as tourism is concerned, Quito has "a lot of personality," begins Sevilla. The city also has a comparable advantage when it comes to other attractions, such as climate (the same all year round), cost (cheap), security (on the whole safe) and location (on the equator with pleasant weather and lots of light). Sevilla, an orchid grower, has even had his flowers win contests, and he boasts that in international competitions, Ecuador's flowers more than hold their own. Sevilla recently inaugurated an orchid garden in Carolina Park. It is up to Sevilla to combine Quito's charms to create an attractive place for tourists, investors and locals.

The mayor has interesting ideas for Quito. One is the promotion of nontraditional medicine. Throughout Quito's streets, homeopathic and natural pharmacies that promote the wealth of natural products that come from Ecuador's Amazon forest have replaced regular pharmacies. Another idea involves new ways to attract tourists. He would like to concentrate on saving Old Town by creating a pedestrian mall, putting in low emission buses (the electric trolley is already heavily promoted) and promoting security. At the same time he is working on an ambitious program to save The Virgin, a statue which stands on top of a hill overlooking the city, and to build a gondola across one of the surrounding mountains.

One of Sevilla's latest additions is the City Museum. The museum is part of the rehabilitation of Old Town. The building was used as a hospital for 400 years. With the help of the municipality and funding from the InterAmerican Development Bank, the hospital is now a museum that honors the everyday person. Entry to certain public areas is free, which encourages people to come and live with history. Patricia von Buchwald, Director of the Museum believes "free space helps us preserve our patrimony by letting people live with, in and around it."

Cuenca - An entrepreneurial town

Cuenca is unique among Ecuador's cities. With 100 percent drinkable water, lower crime, its own telecommunications system and artisan traditions, Cuenca is able to provide a relatively higher standard of living for its residents than its two sister cities.

Fernando Cordero was elected mayor by working with all the sectors of society and the economy. He is a dedicated person who even consented to be interviewed on a Saturday afternoon, the weekend of Carnival, which is when most other people are celebrating by throwing balloons at each other or heading to the beach. But the secret to his success is respect for diversity. According to Cordero, the key to making a city work is to promote social action through the creation of strategic alliances.

The "Better Your Neighborhood" program is an example of the success of this cooperation. "We work with all sectors of society, from the poorest to the wealthiest in order to improve neighborhoods. We provide direct subsidies and work with banks to provide low interest, two to five year loans."

People know of Cuenca as a tourist attraction where they can buy high quality Panama Hats, visit Inca ruins, relax in mineral baths and swim in 200 lakes. With all this richness, Cuenca is working with UNESCO to be declared a part of the cultural patrimony. Cordero hopes that this designation will be approved in the next year.

Ecuador's third city is also an entrepreneurial one. Its Industrial Park is already filled with national and international companies who find skilled, easily trained, inexpensive labor, a pleasant climate and a welcoming administration. The next step is a Free Trade Zone (FTZ) on the outskirts of the city. FTZs are top of President Mahuad's agenda and Cuenca's has just opened. Companies such as Tony Lama's will make some of their apparel in Ecuador.

Guayaquil - The business center

Leon Febres Cordes, Guayaquil's much beloved mayor was also Ecuador's president from 1984 to 1988. Most Guayaquilenos jokingly say that Cordes "is the owner of Ecuador" and is "the heart of the country." Unfortunately, he has suffered some health setbacks in recent months and has spent much time in Miami recuperating from eye surgery. In his place, we interviewed Guillermo Lasso, Governor of the Province of Guayas.

As President of the Bank of Guayaquil, Lasso brings in a banker's attitude to the Governor's office. He is a firm believer in using the law to promote security, order and economic growth. He supports the governmental declaration of a state of emergency for the province. To combat delinquency during this temporary state, liquor can not be served after midnight (2:00 am on weekends), everyone must carry identification, and additional police patrol the streets and highways.

Lasso faces many difficult challenges as he tries to deal with this diverse province - one that has high poverty, but also extreme wealth from bananas, shrimp, cocoa and coffee.

"Guayaquil is a city of businessmen," Lasso says. "The economic activity is in the hands of the private sector. Almost 75 to 80 percent of Ecuador production comes from Guayas." At the same time, not all levels of society have access to this wealth. This inequality has led to many social problems.

"We are trying to better equip the national police and we are working with the armed forces to combat delinquency," Lasso explains. "We are doing this with a respect for human rights. We are against gangs, many of which are controlled from outside of Ecuador." At the same time Lasso is trying to make people's lives easier by strengthening government institutions and making it easier for people to get service at government offices.

In order to attract more tourists and help spread the wealth in downtown Guayaquil, Lasso proudly talks about one of the province's most ambitious projects - Malecon 2000. "This new development will change the face of the city and move the focus towards the river," he believes. "This will increase tourism and have a large social and economic impact on the region."

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Table of Contents

(1) President Mahuad announces new economic plan

(2)
Ambassador addresses economic and political concerns

(3)
US Ambassador prepares to say "Good-bye" to Ecuador

(4)
Foreign Ministry promotes Ecuador to the international community

(5)
Banks working to promote investment and development

(6)
Who's Who in the Ecuadorian Government

(7)
On the road to peace

(8)
Doing business in Ecuador

(9)
Why Invest in Ecuador

(10)
Preparing the country for peace and promoting education

(11)
Education key to economic and social development

(12)
Useful Contacts in Ecuador

(13)
Investors will have the option of five Free Trade Zones

(14)
Free Trade Zone Incentives

(15)
Telecommunications industry prepares for privatization

(16)
Conam in charge of privatizing, modernizing and decentralizing

(17)
Promoting Ecuador's traditional and nontraditional products to the world

(18)
Ecuador's rich cultural patrimony - From Indigenous music to internationally recognized artists

(19)
Traditional products

(20)
Dining in Ecuador

(21)
Local governments balance diversity, history and growth

(22)
Protecting the environment through education and eco-tourism

(23)
Geography

(24)
Tourism is a vehicle for sustainable development

(25)
Congress plans to work with government to conquer economic crisis

(26)
Quito - A Capital City

(27)
Guayaquil - The Pearl of the Pacific

(28)
Galagapos - The Enchanted Islands

(29)
Cuenca - The Athens of Ecuador

(30)
Preparing infrastructure for international trade