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(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

Why Invest in Ecuador

• Democratic government, political stability, free-market economy, planned modernization of the state and deep structural reforms
• Direct foreign investment may be made in any productive sector without any prior authorization, under the same conditions as investments made by Ecuadorian citizens or corporations.
• Owners of direct foreign investments are entitled to transfer abroad, in freely, convertible foreign currency the net profits from their investments without limits.
• Free access to stock market and national finance system to obtain credits.
• The system to protect IPR is subjected to norms of the Common System. Owners of IPR are entitled to make claims and pursue indemnification if violations.
• Member of the WTO, Group of Three, Cartagena Agreement, MIGA.
• Free Trade Zones with Andean neighbors and Chile.
• Bilateral and economic cooperation agreements with Peru, Paraguay, Uruguay, Brazil, Argentina
• Enjoys the Trade Preference Law for Andean Countries with the United States - 95% of all non-petroleum products can enter the US duty free.
• Access to the Preferential Tariff System of the European Union and the Guaranteed System of Preferences granted by the mainland industrialized countries for the developing nations.
• Five free trade zones opened or planned.
• Maquila law authorizes exportation of goods with final added value incorporated in Ecuador. Also exempt from VAT and export fees and option to sell domestically.
• Prices set by market. No subsidies on industrial and agricultural products.
• Abundance of medium and high-skilled workers. Hiring and firing of workers is free and voluntary.
• Process of modernization of state with hydrocarbon, telecommunication and electrical sectors scheduled to be privatized.
• Recent peace agreement with Peru provides many commercial opportunities.
• Strategic geographic location - in the middle of the world and the middle of South America, along the Pacific Ocean and at the threshold of the Amazon. An alternative entryway to South America.

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