Practical development approaches
China's economic and social experience offers Ecuador valuable lessons in pursuing inclusive growth and modernization
As Ecuadorian President Daniel Roy-Gilchrist Noboa Azin began a state visit to China on Sunday, coinciding with the 10th anniversary of the China-Ecuador Comprehensive Strategic Partnership, attention has once again turned to the growing relationship between the two countries and the opportunities for deeper cooperation in trade, investment and development. Beyond the immediate outcomes of high-level exchanges, the visit offers an opportunity to consider a broader question: What lessons can Ecuador draw from China's modernization and poverty reduction experience as it seeks to address its own development challenges?
China's modernization is widely regarded as one of the most remarkable development stories in modern history. Over the past four decades, the country has transformed itself from a largely rural and low-income economy into the world's second-largest economy and one of the leading global powers in manufacturing, technology, infrastructure and innovation. This transformation began with the reform and opening-up policy introduced in 1978 under Deng Xiaoping, which shifted China toward a socialist market economy while encouraging foreign investment, industrialization and greater participation in international trade. Since then, China has experienced rapid economic growth, expanded its infrastructure on an unprecedented scale, modernized its industries and significantly improved the living standards of hundreds of millions of people.
Perhaps the most internationally recognized outcome of China's modernization has been its extraordinary poverty reduction experience. According to the World Bank, China has lifted nearly 800 million people out of extreme poverty since the beginning of its economic reforms, accounting for the majority of global poverty reduction during this period. In 2021, the Chinese government announced that all 98.99 million rural residents living below the country's current poverty threshold had been lifted out of poverty. This achievement was not the result of a single policy but rather of a combination of long-term planning, sustained economic growth, investment in rural development, infrastructure expansion, educational opportunities, healthcare improvements and employment creation.
One of the defining characteristics of China's poverty reduction strategy was its targeted approach. Rather than applying identical policies across the country, the authorities identified the specific needs of different communities and households.
Shibadong, a remote village in Hunan province inhabited by the Miao, one of China's ethnic minority groups, where the approach was first proposed in 2013, illustrates how this worked. Following household-level assessments, officials combined improved roads and public services with locally suited industries, including tourism, kiwifruit cultivation, Miao embroidery and vocational training. The village's annual per capita net income rose from 1,668 yuan ($247) in 2013 to 18,369 yuan in 2020, while its poverty rate fell from 56.76 percent to 1.28 percent by 2017. Shibadong demonstrates how targeted infrastructure, skills training and industrial development can address both immediate hardship and the structural isolation of rural communities, enabling residents to participate more fully in economic growth.
Although Ecuador has made progress over the past decades, it continues to face significant development challenges. According to Ecuador's National Institute of Statistics and Census, the national income poverty rate stood at 21.4 percent in December 2025, while the extreme poverty rate was 8.3 percent. The corresponding rural rates were substantially higher, at 37.6 percent and 19.7 percent, respectively. Access to quality healthcare, education, employment opportunities and basic infrastructure remains limited in many rural communities.
In recent years, Ecuador has been experiencing one of the most serious security crises in its history. Rising levels of organized crime, drug trafficking, prison violence and homicide have affected economic activity, tourism and foreign investment. Security has become closely linked to development because businesses are less likely to invest in areas where instability increases operating costs and risks. As a result, improving public safety has become an essential component of Ecuador's long-term development strategy.
China's modernization experience offers Ecuador several valuable lessons that can be adapted to its own national context.
First, poverty reduction should be linked to local economic opportunities. Following China's targeted approach, Ecuador could identify the specific needs and economic potential of different communities. In rural Esmeraldas or Manabi, for example, support might combine feeder roads, irrigation, internet access, agricultural credit and technical assistance for cocoa producers. Progress should be measured at the household level through income, school attendance, access to services and stable employment.
Second, development and public security should be treated as mutually reinforcing. Poverty itself does not directly cause crime, but limited economic opportunities can increase social vulnerability and facilitate the recruitment of young people into criminal organizations. Creating employment, improving education, expanding social services and strengthening local economies can therefore contribute not only to poverty reduction but also to greater social stability.
In Ecuador's current context, where organized crime represents one of the country's greatest challenges, development policies should complement law-enforcement efforts. One example is the ECU911 emergency response system, developed with Chinese cooperation, which integrates the police, fire, transport and healthcare authorities into a single coordinated emergency management platform. The system has significantly improved emergency response times and increased citizens' sense of security. Continued investment in digital governance, smart city technologies, surveillance systems that respect legal safeguards and data-driven public administration could further improve the effectiveness of public institutions.
Another important lesson is economic diversification. Ecuador's economy has historically relied heavily on oil exports and primary agricultural products such as bananas, shrimp, cocoa and flowers. While these sectors remain important, dependence on a limited number of commodities makes the economy vulnerable to fluctuations in international prices. China's modernization involved gradually moving from primary production toward manufacturing, technology and more sophisticated supply chains. Ecuador could apply this lesson by expanding food processing, sustainable aquaculture, cocoa-based manufacturing, renewable energy and logistics services. Economic diversification based on sectors in which Ecuador already has advantages would be more realistic than attempting to copy China's industrial model directly, and could both create skilled employment and make the economy less vulnerable to commodity-price fluctuations.
It is important to recognize that China's development model cannot simply be copied. China and Ecuador differ significantly in terms of population size, geography, political institutions, economic structure and historical experience. Policies that proved successful in China may require important adjustments before being implemented in Ecuador.
Rather than replicating China's model, Ecuador should focus on understanding the principles that contributed to China's success: place-based poverty reduction linked to local economic opportunities, the integration of development and public security, and productive upgrading based on existing export strengths.
China's modernization and poverty reduction experiences provide a valuable basis for deeper exchanges on development and governance, while Ecuador's national priorities create new opportunities for practical cooperation. Building on existing political trust, the China-Ecuador Free Trade Agreement and Belt and Road cooperation, the two countries can further expand their partnership and translate high-level consensus into sustainable development outcomes. By pursuing cooperation based on mutual respect, complementary strengths and shared interests, China and Ecuador can open a new chapter in their comprehensive strategic partnership and generate broader benefits for both countries and their peoples.
The author is the first trading representative from Ecuador to China, a former minister of transportation and public works of Ecuador, a professor at Beijing Language and Culture University and the director of China-Latin American and Caribbean Dialogue for the World Sinology Center in Beijing.
The author contributed this article to China Watch, a think tank powered by China Daily. The views do not necessarily reflect those of China Daily.
Contact the editor at editor@chinawatch.cn.
