This coming Sunday February 4 Ecuadorians (and legal residents who have registered to vote) will head back to the polls for a referendum ordered by the current sitting president Lenin Moreno.
Ecuadorians will answer 7 questions aimed basically at overturning much of what the previous President Correa did in office.
The main question that will effect real estate in Ecuador is the one asking if Ecuadorians would like to overturn the new (exaggerated) capital gains (plusvalia) tax that was instituted last year.
Another highlight is the question that will re-establish term limits basically making it illegal for Correa or anyone else to sit indefinitely as a president-dictator.
Other questions seem to be no-brainers like having to do with strengthening child abuse laws and limiting mining and oil exploration in the Amazon. I mean, who is going to vote against going tougher on child abusers? Id like to see that class when the teacher asks… “ok, raise of hands please, who disagrees with going harsher on child abusers?”
I love it.
And if the capital gains tax gets abolished or bumped down to what it was before the property prices in Ecuador could jump both in the short and long term.
Market re-activated.
Democracy is once again restored in Ecuador, for a while there it was questionable if we would be the next Venezuela.
Stay tuned!
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