QUITO, Ecuador (AP) -- Ecuador's military took the unusual step Monday
                  of issuing a public statement on the country's political situation, saying
                  irresponsible conduct by "certain leaders" is threatening democracy.

                  In a statement published in the country's main newspapers, the armed forces
                  warned that the only way for Ecuador's democracy to survive is by meeting
                  the basic needs of the population.

                  "It's absurd and dangerous that certain leaders and political, economic and
                  social groups use their power to provoke constant clashes, scandals and
                  strikes without offering any significant strategies or objectives beyond
                  electoral and material ones," the military statement said.

                  The military said it was speaking out because of "the grave political,
                  economic and social crisis" confronting the small Andean nation.

                  Ecuador is struggling with a crushing foreign debt, currency devaluation and
                  50 percent annual inflation, the highest in Latin America.

                  President Jamil Mahuad's government has been mired this past year in
                  savage political infighting, and often violent demonstrations by students,
                  transportation workers and rural Indian groups.

                  Ecuador last month became the first nation ever to default on hundreds of
                  millions of dollars in foreign Brady bond debt when it missed a $44.5 million
                  interest payment.

                  Mahuad's centrist government announced last week that it also would default
                  on its Eurobond debt. Ecuador is planning to meet with foreign creditors
                  Wednesday in New York.

                  The nation's total public debt is $13 billion and is expected to top 117
                  percent of gross domestic product by the end of the year.

                  A $400 million loan agreement with the International Monetary Fund,
                  expected to trigger $1 billion in international aid, hinges on Congress
                  approving a balanced budget for next year, ending years of deficit spending.

                  Mahuad's budget proposal has been stalled for more than three weeks in a
                  Congress dominated by his political rivals. Rightist parties oppose tax
                  increases, while left-of-center opponents object to spending cuts, especially
                  for social programs.