UPDATE 2-Ecuador signs $1 billion loan deal with China

* Four-year loan has 6 pct annual fixed interest rate

* Oil-hungry China investing heavily in Latin America (Adds quote, context)

QUITO Aug 31 (Reuters) - Ecuador has signed a $1 billion loan deal with China for oil and infrastructure projects, the South American nation's Finance Ministry said on Tuesday.

Ecuador, a petroleum exporter holding the rotating presidency of OPEC this year, said the four-year loan from China has a 6 percent annual interest rate.

"Securing this loan allows us to close our budget financing for this year," Finance Minister Patricio Rivera said in a statement.

Commodities-hungry China is pouring money into Latin America, a major producer of natural resources. The Asian giant agreed last year to lend $10 billion to Brazil's Petrobras (PETR4.SA) (PBR.N) in return for guaranteed oil supply over the next decade.

China has also invested heavily in Ecuador since the Andean country cut itself off from the international capital markets by defaulting on $3.2 billion in global bonds in 2008. (Reporting by Hugh Bronstein; Editing by Diane Craft)