Ecuador

Ecuador’s PPP framework has developed rapidly in recent years, with reforms increasingly focused on translating its regulatory architecture into project preparation. The Organic Law for Economic Efficiency and Job Generation (2023) and its 2024 implementing regulation strengthened the framework, followed by detailed guidance on project eligibility, prioritization and approval.^1,2,3 In late 2025, the dedicated PPP secretariat was incorporated into the newly formed Ministry of Infrastructure and Transport, which became the Ministry of Infrastructure and Technology in 2026. The PPP functions continue through a dedicated vice ministry.^4,5 The framework also provides for centralized interinstitutional approval of PPP projects and specialized oversight of their fiscal implications.^6,7

Ecuador is gradually building a pipeline under its newer PPP framework, although most projects remain in preparation. Seven central-government projects were prioritized and entered into the National PPP Registry in 2024, comprising six road corridors and the Esmeraldas port terminal. The pipeline has subsequently expanded, with additional projects in locations including Guayaquil, Quito and the Galápagos.^8,9,10 Existing concessions have also continued to attract investment, including expansion of the Puerto Bolívar terminal.¹¹ The growing pipeline signals increasing use of the new framework, but recent market activity still largely consists of projects in preparation or further investment in concessions awarded before the current regime became operational.

The government has maintained explicit support for PPPs, incorporating them into its 2025-29 National Development Plan as a means of improving transport connectivity, expanding telecommunications networks and supporting cleaner electricity supply.¹² Since taking office in 2023, the current administration has implemented PPP reforms, introduced guidance for project preparation and selection, and advanced projects through the national registry. Political and institutional disagreements have complicated investment reforms in the past, including the rejection of a proposed investment law under the previous administration.¹³ Nevertheless, the current framework retains executive backing, with published sectoral commitments and regulatory measures increasingly focused on translating PPP policy into viable projects.

Ecuador performs particularly well in project preparation and sustainability, ranking 3rd regionally, with its environmental and social sustainability framework ranking 1st. Its framework embeds environmental assessment, climate resilience and social considerations across project preparation rather than treating them primarily as downstream safeguards. Risk management and contract monitoring also ranks 3rd, supported by standardized contract supervision and disaster-risk management, where Ecuador is joint 1st. These capabilities build on a comprehensive regulatory and institutional framework, including clear project-approval processes and dedicated capacity for managing the PPP program.

Financing remains Ecuador’s principal challenge, ranking 16th overall and 23rd for access to capital. This reflects both broader financial constraints and a relatively young PPP market with a limited transaction record under the newer framework, giving financing channels less opportunity to develop. As the pipeline advances, further priorities include strengthening bidder feedback, developing regular public reporting on project implementation and establishing a comprehensive methodology for ex-post evaluations.

Ecuador has made substantial progress in translating its PPP framework into operational tools. Project preparation and sustainability rose from 55.9 to 75.4, driven by a standardized qualitative tool for value-for-money pre-feasibility assessment, stronger preparation capacity, a formal process for addressing project viability gaps, and greater integration of climate and employment considerations. Risk management and contract monitoring rose from 69.8 to 77.2, supported by stronger disaster-risk provisions and standardized contract supervision. The national PPP registry and new ex-post evaluation requirements provide further evidence of institutional development, although implementation remains at an early stage.