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ECUADOR'S FINANCIAL SYSTEM - Coggle Diagram
ECUADOR'S FINANCIAL SYSTEM
Objective
To analyze the role of the financial sector in the country and the need for its control by society and the state.
CONSTITUTION OF THE FINANCIAL SYSTEM
This system is made up of various types of institutions, both public and private. Types of financial systems:
Public banks
They administer state funds
Includes the Central Bank
Development Bank
Housing Bank of Ecuador
Pacific Bank, etc.
Cooperatives of saving and credit
Smaller institutions that offer small loans.
Private banks
The strongest institutions and cover the entire national territory.
Mutualists
Financial institutions that offer mortgage loans for the construction or purchase of a home.
GEOGRAPHIC LOCATION
Before the crisis of 1999, the financial centers were located in Guayaquil
Today, they are mostly in Quito
Cooperatives have grown a lot
ECUADOR'S FINANCIAL SYSTEM
The weight of the financial sector has been called the era of financial capital dominance.
Banks have seized money from the public in exchange for interest.
Banks give money to the public in exchange for another interest.
The large banks have merged with financial companies etc, becoming a power of great economic importance.
The banking sector has expanded to more complex operations such as foreign currency exchange, collection payments, money transfers, etc.
LAST YEARS
Pichincha Bank is the most powerful institution in the country with the largest asset deposits and assets of the 21st century.
They are followed by Guayaquil Bank, Produbanco and Pacific Bank.
Regarding cooperatives, the geographical distribution is more homogeneous in the provinces, however, there is more concentration in the Pichincha bank.
Mutualists
decreased because 1999 economic crisis
Mutualistic and the financial societies, which in the past were numerous, have diminished.
CONTROL OF THE FINANCIAL SYSTEM
AGD
After the bad experience of the Deposit Guarantee Agency (AGD), the Financial Liquidity
The Deposit Insurance Corporation's mission is to protect public deposits in private financial institutions.
1999 CRISIS
The guarantee system for public deposits in financial institutions was very incipient.
