Quito, February 11, 2025 - The World Bank approved Additional Financing for Ecuador to strengthen social protection systems, ensuring a greater impact on the most vulnerable populations. This support includes measures to address the effects of climate change and improve child development services for the population of Ecuador and that in human mobility, with the participation of local governments.
The US$110 million in funding will contribute to the Social Safety Net project implemented by the Ministry of Economic and Social Inclusion, the Social Registry Unit, and the Ministry of Public Health. US$10 million of these funds originate from a Global Concessional Financing Facility (GCFF) grant.
The new resources will enable the updating of the Social Registry with the participation of local governments. This model will also integrate information on the climate vulnerability of the most impoverished households, which have high levels of chronic malnutrition. Additionally, it includes climate-related disaster preparedness actions for families with limited economic resources.
"The Ecuadorian government's policy seeks to protect children from poor households that are at risk of malnutrition, cognitive delay and disaster threats, regardless of nationality. Comprehensive action must be taken through intersectoral packages, with support from multilateral cooperation organizations such as the World Bank," said the Minister of Economic and Social Inclusion, Zaida Rovira.
A key part of the project will focus on cash transfers and child development services for poor households with children during the first 1,000 days of life. These transfers will be conditional on the provision of health and child development services. The population in human mobility will also benefit from these services, all of which will contribute to reducing chronic malnutrition in children.
"The approval of this additional financing reflects the World Bank's commitment to the most vulnerable sectors and poverty reduction in Ecuador. These resources are expected to have a significant impact on the lives of thousands of Ecuadorians," said Boris Weber, World Bank Resident Representative in Ecuador. "The country's investment in reducing chronic malnutrition in children has produced significant results. These resources have managed to reduce malnutrition indicators and support hundreds of families in the raising and development of their children," he said.
The project will also help close gaps in the supply of nutrition services provided by the Ministry of Health in the parishes prioritized by the Ecuadorian Government's "Ecuador Grows Without Chronic Childhood Malnutrition" strategy.
About the Global Concessional Financing Facility:
The Global Concessional Financing Facility (GCFF), established in 2016, provides concessional financing to middle income countries hosting large numbers of refugees. To date, the GCFF has provided Ecuador with US$60.10 million in grants which enabled US$1.6 billion in loans on concessional terms to help the country address the impact of the refugee influx. The GCFF contribution made available to the Social Safety Net Project Additional Financing was provided by the Government of the United States.
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Learn more about the work of the World Bank in Latin America and the Caribbean: www.worldbank.org/lac
