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Ecuador Imposes 60-Day State of Exception in 7 Provinces After Diesel Subsidy Cut

Lawmakers have now endorsed the subsidy repeal, reinforcing Noboa’s push to cut a $1.1 billion annual cost.

Overview

  • President Daniel Noboa’s decree cites grave internal unrest and applies the emergency measure to Carchi, Imbabura, Pichincha, Azuay, Bolívar, Cotopaxi and Santo Domingo de los Tsáchilas.
  • The National Assembly approved a nonbinding motion supporting the diesel subsidy elimination, consolidating political backing for the reform.
  • Armed Forces and police are patrolling strategic roads, the executive branch was temporarily moved to Cotopaxi and the Vicepresidency to Imbabura to maintain government functions.
  • The government has begun targeted payouts, depositing over $1.1 million to more than 1,600 transporters and extending a $1,000 Bono RAÍCES to about 70,000 farmers, while ruling out reversing the policy.
  • Transport unions and CONAIE continue protests and road blockades over the diesel price jump from $1.80 to $2.80 per gallon and over persistent insecurity with reports of robberies and extortion on routes.