Consumer Price Index of Ecuador entering 2013

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Parque Machalilla near Puerto Lopez, Ecuador.

At the start of 2013 it was reported by the INEC (Instituto Nacional de Estadisticas y Censo) that the consumer price index in Ecuador was at $595.70 (per month) compared to $578.04 at the end of 2011.

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2012 Ecuador Inflation Closed at 4.16% Annual

villas-in-ecuador

As reported by the INEC (Instituto Nacional de Estadistica y Censos) in Ecuador in 2012 the annual inflation was 4.16% compared to 5.41% from 2011. A noticeable decrease.

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Minimum Wage Increase for 2013

pigs-ecuador

The President of Ecuador announced this week the new minimum wage in Ecuador would be raised for 2013 from $292 USD per month to $318 USD per month due to inflation and production figures.

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How to Fly to Ecuador Dirt Cheap in 2013

fly cheap to ecuador

People often complain about how expensive it is to fly to Ecuador.

But it’s true when compared to closer destinations like Costa Rica or Mexico.

Flights from the US/Canada to Ecuador can often cost $1000 or more.

For some it’s a deal-breaker.

But it doesn’t have to be.

I’m spoiled.

I often get to Ecuador from the US for under $180 and now you can too.

Here’s how… But first, remember I said “cheap” not necessarily “comfortable”.

To start, you have to get from where you live in the US to Miami or New York City.

I buy two separate flights. One to Miami/NYC and another to South America.

Or I do it even cheaper and hitchhike, AMTRAK or take the Greyhound bus to Miami.

Then once you’re in Miami (or New York) buy a one way flight from Miami to Armenia, Colombia on my favorite budget airline (that doesn’t yet fly to Ecuador) Spirit Airlines.

Armenia in western Colombia is the closest city to Ecuador they fly.

If you buy at least a month in advance you can get a flight often less than $150, for instance, now I’m seeing flights in late January and early February on the Spirit website for around $135 to Armenia from Miami with taxes and everything included.

In fact, you’ll find Colombia to actually be a nice place to visit.

Plus, Colombia is a place that doesn’t require a roundtrip ticket to enter. Whereas Ecuador officially does require the return although most the time they don’t enforce it yet sometimes the airlines will not let you on the plane to Ecuador without the return passage.

I know, it’s confusing but it is what it is.

Colombia is far removed from the bloody 80’s, 90’s and Escobar years. I should know, I lived there for a year recently and learned of this strategy because I wanted to visit some old friends and get from the US to Ecuador cheap.

A really nice area to visit near Armenia is the “Coffee Triangle” or “Eje Cafetero”.

Once in Armenia take the 2 ½ hour bus ($4-5) to Cali, another interesting town and a famous salsa dance Mecca.

Once in Cali hop a little crop-duster-type plane to Tulcan on the Ecuadorian border with one of the several tiny Colombian airlines that aren’t well advertised on the net like Satena. I’ve caught flights as low as $65.

Or to it even cheaper hop one of the frequent daily buses (15 hours, $20-30) from Cali to Tulcan.

It’s a scenic ride and one beautiful stop along the way is Popayan, a pearly-white colonial town in the southern hills of Colombia.

Then from Ipiales, Colombia cross the border to Tulcan (Ecuador), get your passport stamped and hop one last bus 4-5 hours ($5) to Quito.

That’s it! You made it!

If you’ve been keeping track, if you fly to Colombia and bus it the rest of the way you can get from Miami, USA to Ecuador one way for around $175 in 2013.

Especially great for people who are coming to Ecuador one way!

OR if you are over 65 and have an Ecuadorian Cedula meaning you are an Ecuador resident OR Ecuadorian citizen, you can buy national or international flights for HALF PRICE, any time of the year with the Ecuadorian airlines of Aerogal, LAN or TAME. Preferably buy in person at the airports or by over phone to get the senior discount.

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Ecuador government refunds foreigners the VAT tax

ecuador vat refund

It’s nice to be treated special just for being a foreigner in Ecuador.

In fact, for those that know about the program, foreigners don’t even have to pay the sales tax on items made in Ecuador.

It’s true, the Ecuador government is now refunding foreign “tourists” the sales tax they paid on items made-in-Ecuador and on hotel stays when the invoice amounts over $50.

The sales or VAT tax in Ecuador is 12% and that is the amount that is refunded.

All you have to do to receive your refund is save your receipts (facturas) and fill out the brief form you can pick up on a little stand just outside of the check in lines for international flights in Guayaquil and Quito.

Also, you’ll want to bring an envelope and a copy of your passport.

Then present your goods at the SRI-CAE counter in the check in luggage lounge in Quito or Guayaquil or if no one is attending deposit the envelope with your invoices, copy of passport and form in the mailbox located in the pre-boarding (departure) lounges in the international airports in Quito and Guayaquil.

The refund accreditation is carried out only through a credit card that must be under the name of the applicant.

There are no limits to the refunded amount, so if you’re not sure if an item you bought qualifies for the refund, just deposit the invoice anyway and see what happens.

Afterward, you can check the status of your refund using your passport number through the official Ecuador SRI website sri.gob.ec.

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