Brazil recalls Ecuador ambassador

Diplomatic row over repayment of Brazilian loan escalates.

    Rafael Correa has said Ecuador may not repay
    its international debts [AFP]

    Credit crunch

    Celso Amorim, the Brazilian foreign minister, has previously warned that if Ecuador defaults on a loan from the BNDES, as Brazil's national development bank is known, it would end bilateral trade between the two nations.

    "Whoever knows diplomatic practices knows exactly what this [recall] means," Amorim said in Sao Paulo on Friday.

    "We have wide co-operation with Ecuador and we will examine this co-operation in light of these decisions."

    Wall Street credit rating agencies have said Ecuador is among the least credit worthy countries in Latin America.

    The country defaulted on $5.8 billion in bonds in 1999, also amid a sharp fall in oil prices.

    SOURCE: Agencies


    YOU MIGHT ALSO LIKE

    Meet the deported nurse aiding asylum seekers at US-Mexico border

    Meet the deported nurse helping refugees at the border

    Francisco 'Panchito' Olachea drives a beat-up ambulance around Nogales, taking care of those trying to get to the US.

    The rise of Pakistan's 'burger' generation

    The rise of Pakistan's 'burger' generation

    How a homegrown burger joint pioneered a food revolution and decades later gave a young, politicised class its identity.

    'We will cut your throats': The anatomy of Greece's lynch mobs

    The brutality of Greece's racist lynch mobs

    With anti-migrant violence hitting a fever pitch, victims ask why Greek authorities have carried out so few arrests.