Ecuador raises taxes to pay for earthquake damage

President Rafael Correa is raising taxes and imposing a one-off levy on millionaires to rebuild cities devastated by Ecuador’s worst earthquake in decades.

In a televised address, Mr Correa said damages from the 7.8-magnitude quake would probably run into the billions of dollars, adding to already heavy economic hardships in the OPEC nation triggered by the collapse in world oil prices.

The task of rebuilding should not fall only to communities in the quake’s path but would require sacrifices from all segments of Ecuadorean society according to their ability to contribute, Mr Correa said.