On Friday 23 January, the European Commission concluded negotiations with Ecuador on the first Sustainable Investment Facilitation Agreement (SIFA) negotiated with a Latin American country (see EUROPE 13750/11).
According to the institution, this agreement, once formally adopted, will “improve the business climate” for European and Ecuadorian investors and “encourage additional sustainable investment”.
In particular, it focuses on simplifying investment authorisation procedures, publishing investment measures online and improving dialogue between investors and the authorities. The aim is to help small and medium-sized enterprises (SMEs) that are finding it difficult to invest abroad.
The agreement, which is intended to be based on respect for international order and environmental and climate commitments, also includes specific provisions for investment in renewable energy and raw materials in a dedicated annex.
In addition, the EU has pledged to support Ecuador with an €8 million project entitled “Improving Ecuador’s Investment Climate and Energy Transition”, aimed at removing the main obstacles to investment and helping to create a more predictable regulatory environment.
Following these political conclusions, the EU and Ecuador will follow their respective procedures with a view to formally signing and concluding the agreement. (Original version in French by Pauline Denys)