The economy of Ecuador is based mostly on exports of bananas, oil, shrimp, gold, other primary agricultural products and money transfers from nearly a million Ecuadorian emigrants employed abroad. In 2002, oil accounted for about one-third of public sector revenue and 40% of export earnings. Ecuador is the world's largest exporter of bananas ($936.5 million in 2002) and a major exporter of shrimp ($251 million in 2002). Exports of non-traditional products such as flowers ($291 million in 2002) and canned fish ($333 million in 2002) have grown in recent years. Industry is largely oriented to servicing the domestic market.

Deteriorating economic performance in 1997-98 culminated in a severe financial crisis in 1999. The crisis was precipitated by a number of external shocks, including the El Niño weather phenomenon in 1997, a sharp drop in global oil prices in 1997-98, and international emerging market instability in 1997-98. These factors highlighted the Government of Ecuador's unsustainable economic policy mix of large fiscal deficits and expansionary money policy and resulted in an 7.3% contraction of GDP, annual year-on-year inflation of 52.2%, and a 65% devaluation of the national currency in 1999.

Ecuador (ⁱ/ˈɛkwədɔr/ E-kwə-dawr), officially the Republic of Ecuador (Spanish: República del Ecuador [reˈpuβlika ðel ekwaˈðor], which literally translates to the "Republic of the Equator") is a representative democratic republic in South America, bordered by Colombia on the north, Peru on the east and south, and by the Pacific Ocean to the west. It is one of only two countries in South America, (along with Chile), that do not have a border with Brazil. The country also includes the Galápagos Islands in the Pacific, about 1,000 kilometres (620 mi) west of the mainland.

The main spoken language in Ecuador is Spanish. Ecuador straddles the equator, from which it takes its name, and has an area of 275,830 km² (106,500 sq mi). Its capital city is Quito, which was declared a World Heritage Site by UNESCO in the 1970s for having the best preserved and least altered historic center in Latin America. The country's largest city is Guayaquil. The historic center of Cuenca, the third largest city in the country, was also declared a World Heritage Site in 1999, for being an outstanding example of a planned inland Spanish style colonial city in the Americas. Ecuador is also home—despite its size—to a great variety of species, many of them endemic, like those of the Galápagos islands. This species diversity makes Ecuador one of the 17 megadiverse countries in the world. The new constitution of 2008 is the first in the world to recognize legally enforceable Rights of Nature, or ecosystem rights.