Ecuador’s President Correa Calls for More Oil Revenue; Threatens To Nationalize Foreign Companies

Ecuadorean President Rafael Correa.
Ecuadorean President Rafael Correa.
Ecuadorean President Rafael Correa.
Ecuadorean President Rafael Correa.

Today in Latin America

Top Story — Ecuadorean President Rafael Correa said he will push legislation to allow the expropriation of private oil companies from Spain, Brazil, Italy and China if they refuse signing his new services-based contracts.

Correa said that everyday millions of dollars went to private oil companies when they should be going to the state.

“The oil companies are playing with us. In the coming weeks there are going to be very considerable actions. I have no regard for these companies, which have abused our country,” Correa said, according to The BBC.

Ecuador is the fifth largest oil producer in Latin America, but 56 percent of the country’s 13.4 million inhabitants live in poverty and 80 percent of the country’s indigenous population live in poverty, according to the World Bank.

Also in 2008, Correa defaulted on loan worth $3.2 billion, calling international lenders “monsters.”

“I’m out of patience. We are sending a bill to Congress that would allow for the expropriation of oil fields should the companies not want to sign the new contracts,” Correa said during a televised address on Saturday.

Just Published at the Latin America News Dispatch

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Caribbean

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Central America

Andes

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  • A delegation from Uruguay is headed to the Netherlands to attend a hearing on a case Argentina brought against Uruguay regarding a paper factory built on a mutual border.

Image: Presidencia de la República del Ecuador @ Flickr.

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