Economy « EMBASSY OF PANAMA IN JAPAN

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◉ Panama is one of the fastest growing economies of Latin America and the Caribbean.

◉ In 2014, the economy grew at a rate of 6.2% overtaking the region’s average of 2.5%, and it is expected to be 6.1% in 2015.

◉ Although the world economy has been shown a slow recovery from the 2009 Lehman shock, the Panamanian economy has kept a healthy growth trend due to the heavy investment in public works such as the expansion of the Panama Canal, the operation of the Line 1 of Metro, construction of the Line 2 of Metro, redevelopment of roads and avenues in Panama city, the expansion of Tocumen International airport and the construction of the South Terminal, the building of a new international airport in the central provinces of Panama, the widening of roads in the countryside, among others infrastructure projects.

◉ The Panamanian economy is based on a well-developed service sector, mainly in the areas of international trade, business services, logistics and finance. In 2015, the services sector is estimated to account for 77% of our gross domestic product.

◉ As for the manufacturing sector, it represented 20% of the economy, while the agricultural sector amounted to 3%.

◉ Panama has an export-oriented model of development, based on a competitive social market economy, where the government performs as regulator and facilitator of economic activities, eliminating distortions and providing incentives for private foreign investment.

◉ In fact, Panama enjoys a number of laws aimed at creating a business environment with competitive taxation for foreign corporations, as well as flexible labor and immigration regimes.

◉ Indeed, a dramatic change has taken place in the direction and structure of our economy in the past 23 years after the re-establishment of democracy, and particularly with a strong acceleration in economic growth from 2000 when the Panama Canal was transferred to Panamanian jurisdiction, incorporating Canal activities to the development of the national economy .

 

GDP
US$ 43,777millions (2015)
GDP – Real Growth Rate
5.4% (2017)
GDP – per capita
US$ 11,849 (2015)

 

Other country indicators

 

Sources :
Contraloría General de la República, Statistics and Census Direction(Only Spanish)
Contraloría General de la República, Comercio Exterior(Only Spanish)
The World Bank
The World Factbook