On Sunday, November 17, the National Assembly voted by 70 votes to 33 against with 32 abstentions to reject the Tax Reform bill presented by the Executive Branch. However, on the same day, President Lenin Moreno announced that he would present a new initiative, to maintain the aim of “strengthening dollarization” by guaranteeing the independence of the Central Bank. 

It should be noted that, in order to prevent this bill from being rejected and shelved, the Executive has been meeting with the main leaders of the opposition parties all week. The Government’s aim is to reach the Assembly with the greatest possible degree of consensus and thus try to guarantee its sanction in the short term.

The bill will enter the Assembly as a matter of urgency, meaning that the Legislative Power will have a term of 30 days to approve, modify or reject the bill as soon as it is received. Otherwise, the Executive has the power to enact it as an executive order.