The economy of Ecuador
is based primarly on exports of bananas, oil, shrimp and flowers.
Ecuador is the world's largest exporter of bananas, and a major
exporter of shrimp. Industry in Ecuador is largely oriented to
servicing the domestic market.
In the late 1990s,
Ecuador suffered through a large economic crisis, resulting in a
collapse of the banking system and defaults on its external debt. In
2000, Congress approved a series of structural reforms that helped
to stabilize the economy. Included in these reforms was the adoption
of the US dollar as legal tendar. Dollarization stabilized the
economy and resulted in positive growth throughout the following
years, aided by high oil prices and greater diversification of