Ecuador has suffered from high external vulnerability, poor macroeconomic performance, and poor governance. A succession of external adversities - linked to the volatility of oil prices and violent variations in capital flows - and natural calamities, all in combination with poor economic management, resulted in macroeconomic imbalances, with negative impact on growth and social development. The book is meant to be informative rather than exhaustive. The chapters are instruments for initiating a frank and cordial dialogue, and to gather valuable insights from authorities on all these subjects. The chapters show that the views of the World Bank and the new Gutierrez administration coincide in making poverty reduction the central strategic goal of both the new government's agenda and future Bank assistance in Ecuador.