Ecuador seeks renewed U.S. military funding and anti-narcotics support through a deal with Matrix Aviation, amid stalled cooperation.

The Ecuadorian government is intensifying its efforts to secure U.S. military aid and anti-narcotics funding as it grapples with escalating security challenges. In a move aimed at accessing foreign military financing, the Ministry of Defense has entered into an agreement with Matrix Aviation Inc., a U.S.-based company, as part of a broader diplomatic push for renewed security cooperation with Washington.

Defense Ministry Signs Agreement for U.S. Security Funds

On January 31, 2024, Defense Minister Gian Carlo Loffredo signed a memorandum of understanding (MOU) with Matrix Aviation, a Florida-based company specializing in defense and security solutions. The agreement, which does not initially involve financial commitments, is designed to facilitate Ecuador’s entry into U.S. military assistance programs, including the Foreign Military Financing (FMF) initiative and the International Narcotics and Law Enforcement Affairs (INL) program.

According to the agreement, if Matrix Aviation secures approval for expanded funding under these programs, it will become the exclusive entity authorized to handle these funds on Ecuador’s behalf. The memorandum emphasizes that the process will adhere to U.S. government regulations governing military assistance. The initiative aligns with broader efforts led by President Daniel Noboa, who is actively lobbying U.S. officials and legislators to restore military and security cooperation with Ecuador.

Diplomatic Lobbying for U.S. Security Cooperation

Ecuador’s diplomatic efforts to revive U.S. military assistance have been ongoing since a shift in Washington’s foreign policy deprioritized security funding. Under the Trump administration, a reassessment of foreign aid programs led to the suspension of military assistance to Ecuador, despite a history of close security collaboration. Before the freeze, bilateral security cooperation had peaked with the ratification of multiple military agreements, allowing U.S. military personnel to operate in Ecuador under diplomatic immunity. Additionally, the U.S. had pledged $95 million in security aid over five years, a plan that stalled due to the shift in policy.

To counteract this pause in cooperation, Ecuador hired U.S. consulting firm Mercury Public Affairs LLC on March 5, 2025, with a specific mandate to strengthen bilateral security ties and secure additional funding. One of the main objectives outlined in the contract with Mercury is to lobby for the reinstatement of Ecuador’s eligibility for FMF funding through the U.S. Congress.

Foreign Military Financing and Security Assistance

The U.S. government’s FMF program provides billions of dollars annually to allied nations, enabling them to procure American-made military equipment and strengthen their defense capabilities. For 2025, the U.S. has earmarked $6 billion for FMF programs, but Ecuador has not yet been listed as a recipient.

Historical data shows that Ecuador has previously benefited from FMF funding, receiving $155 million in 2023, $163 million in 2022, and smaller amounts in prior years. However, since 2024, there have been no new allocations listed for Ecuador on the U.S. State Department’s international assistance page.

FMF assistance is provided either as grants or low-interest loans, with the stipulation that funds must be used to purchase American-manufactured defense equipment. This mechanism ensures that while recipient nations strengthen their security, U.S. defense contractors also benefit from the allocated funds.

INL Program and Ecuador’s Anti-Drug Strategy

Ecuador is also seeking integration into the INL program, a U.S. initiative designed to combat transnational crime and drug trafficking. The INL program currently operates in 18 Latin American nations, including Colombia, Mexico, and Peru. By joining, Ecuador hopes to receive technical assistance, equipment, and funding to enhance its anti-narcotics efforts.

According to its official mandate, the INL collaborates with partner governments to strengthen criminal justice systems, support law enforcement reforms, and foster international cooperation in drug control. In September 2024, the U.S. Embassy in Quito signed a $25 million agreement through INL to help Ecuador counter organized crime, improve public safety, and reinforce the rule of law.

The recent agreement with Matrix Aviation stems from the company’s own proposal to Ecuador. On January 29, 2024, Steve Ortiz, the company’s vice president, reached out to the Ministry of Defense, offering assistance in securing U.S. military aid, particularly in acquiring specialized equipment for combating drug trafficking, border security, and human trafficking. Two days later, Ecuador formalized the agreement through the signed MOU.

Under the terms of the agreement, Ecuador’s Defense Ministry is obligated to provide Matrix Aviation with necessary data and intelligence to conduct a thorough financial, legal, and technical evaluation. Based on this analysis, the company is expected to present a detailed proposal outlining investment flows, timelines, and funding conditions for Ecuador’s security initiatives.

Although the memorandum grants Matrix Aviation an exclusive role in securing U.S. military funding, it does not prevent Ecuador from pursuing similar agreements with other entities. Moreover, any future contracts arising from this agreement would require additional legal scrutiny and potential financial commitments from Ecuador.

Ecuador’s Strategy: Military Bases and Foreign Special Forces

As Ecuador deepens its engagement with U.S. security programs, President Noboa is also exploring additional measures to address the country’s security crisis. His administration has openly discussed the potential return of foreign military bases to Ecuador, a controversial issue that has drawn both support and criticism. Additionally, Noboa has announced the arrival of foreign special forces to assist in counter-narcotics and counter-terrorism operations.

Among the most debated developments is Ecuador’s negotiation with American mercenary Erik Prince, founder of the private military company Blackwater. Prince’s involvement in Ecuador’s security strategy raises concerns over the privatization of military operations and the ethical implications of hiring private contractors for national security missions.

Looking Ahead

With Ecuador facing a surge in organized crime and drug-related violence, securing U.S. military aid and anti-drug funding has become a top priority for the Noboa administration. The agreement with Matrix Aviation represents one avenue through which Ecuador aims to unlock additional resources. Meanwhile, ongoing diplomatic lobbying efforts in Washington will determine whether Ecuador successfully reinstates its eligibility for FMF and INL programs.

As the government pursues these initiatives, questions remain about the long-term impact of increased U.S. security involvement in Ecuador and the conditions attached to such assistance. With no immediate guarantees of funding, the effectiveness of these efforts will depend on the political landscape in Washington and Ecuador’s ability to align its security priorities with U.S. strategic interests.