Ecuador restores fuel subsidies to stop protests

Ecuador’s government has agreed to restore fuel subsidies in a deal with indigenous leaders to end mass protests that have brought the capital, Quito, to a standstill.

This came after the two sides held talks brokered by the United Nations and the roman catholic church.

The announcement after Sunday’s meeting sparked late night celebrations in Quito.

Fireworks were set off and car drivers honked their horns.

A joint statement said the government had withdrawn an order removing the fuel subsidies.

The two sides will now discuss a new law to ensure subsidies are not exploited by people who smuggle fuel to neighbouring countries.