Gunmen shot Fernando Villavicencio on Wednesday evening, and ahead of the August 20 election, the president has now declared a state of emergency.
Despite the tragedy, the election will go ahead as planned.
The anti-corruption presidential candidate was assassinated less than two weeks before the elections.
Now, the government says the state of emergency will be in place for 60 days.
Lasso announced the policy on Thursday after a meeting of his security cabinet.
He also ordered the nationwide mobilisation of the armed forces to protect citizens and manage the election process.
The early presidential and parliamentary elections, scheduled for August 20, are to go ahead as planned, the Ecuadorian leader said while declaring a three-day nationwide state of mourning.
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Unknown gunmen fired at presidential candidate, Fernando Villavicencio, as he got in a car following a political rally in Quito around 6:20 p.m. on Wednesday evening, local media reported.
The South American country’s Attorney General’s office said that a suspect was badly injured in an exchange of fire with security personnel, and later died on the way to hospital.
Six people have been arrested, added Lasso.
Prosecutors also said that nine people were injured in the attack, including a parliamentary candidate and two police officers.
Lasso called Villavicencio’s murder a political crime with elements of terrorism.
“We have no doubt that this murder is an attempt to sabotage the electoral process,” he said.
