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Sustainability: Ecuador

March 2021

Ecuador was ranked among the top half of countries in the Environmental Sustainability Index globally due to its relatively low air pollution, rich water resources and rapidly increasing electricity production from renewable resources. Nevertheless, the country’s unique flora and fauna is threatened by deforestation and its waters are increasingly polluted. Moreover, food availability remains low and the country is one of the least climate change resilient nations on Earth.

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Overview:

The Country Briefings series examine market potential, economic and consumer trends impacting each country and how they are set to change.

Each Country Briefing covers one of these topics:

Economy, Finance and Trade: Understanding the structure, health and potential risks of an economy are important for decision-making within an existing operating environment as well as for expansion strategies. Real GDP growth, inflation and exchange rate fluctuations will directly impact consumer market potential. Import and export trade profiles help gauge how open an economy is to trade and investment, while analysis of government finances can be used to explore macroeconomic stability and susceptibility to economic shocks.

Income and Expenditure: Insights into income, wealth and expenditure of consumers are vital in helping businesses make strategic decisions with regards to which country (or even which region within a country) to enter, which consumer segment to target, which products or services to market, and at which price point. Other factors such as the size and expansion of the middle class and income inequality are also important in helping companies gauge the potential of a country market.

Households: Global shifts in gender, ageing, migration and housing are transforming the size, location,  general make-up as well as income and expenditure of households around the globe, with diverse implications for governments and companies. Households insights can help identify the decision-making processes and consumption tastes of different household groups and types within a country, and assess household appliance and digital readiness that is key for formulating market technology and internet strategies.

Business Dynamics: A stable and competitive business environment is vital to operate efficiently and attract inward investment. Businesses can assess these factors alongside challenges such as corruption, political instability and terrorism, also gain insight into business operating environment and make strategic investment decisions. Transport infrastructure, ICT readiness and labour force dynamics will also identify potential issues with a supply chain and the level of workforce skills.

Sustainability: Insights on key sectors directly related to the environmental sustainability of a country such as energy, water, pollution, environmental resilience, forest and biodiversity and food and agriculture help businesses to make strategic decisions in relation to environmental and sustainability trends, improve brand reputation and ensure long-term operations while ultimately growing the bottom line.

The briefings cover 103 countries and identify topics of crucial interest to planners, marketers and researchers.

Sustainability: Ecuador

HEADLINES

PROSPECTS

Solid investment into hydro energy to solve the electricity blackout issue in the country’s major cities
Growing fertiliser consumption to threaten the country’s rich waters
Palm oil plantations to continue threatening Ecuadorian rainforests
Water pollution to become an increasingly serious issue in rapidly developing Ecuadorian urban areas
COVID-19 pandemic could further reduce food availability in the country
Low coping capacities to cope with global warming is causing glacial melt in the mountains and increased precipitation in the rainforests

ENVIRONMENTAL SUSTAINABILITY INDEX

Chart 1 Environmental Sustainability Index Ecuador Chart 2 Global Sustainability Ranking: Ecuador Chart 3 Energy Ranking: Ecuador Chart 4 Energy Availability Landscape in Ecuador Chart 5 Energy Efficiency, Security and Equity Landscape in Ecuador Chart 6 Pollution Ranking: Ecuador Chart 7 Air Pollution in Ecuador Chart 8 Waste and Water Pollution Landscape in Ecuador Chart 9 Forest and Biodiversity Ranking: Ecuador Chart 10 Forest and Biodiversity Landscape in Ecuador Chart 11 Water Ranking: Ecuador Chart 12 Water Availability, Equity and Security Landscape in Ecuador Chart 13 Water Security and Efficiency Landscape in Ecuador Chart 14 Food and Agriculture Ranking: Ecuador Chart 15 Food and Agriculture Landscape in Ecuador Chart 16 Role of Agriculture in the Economy of Ecuador Chart 17 Environmental Resilience Ranking: Ecuador Chart 18 Environmental Resilience Landscape in Ecuador
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