Interview:Alberto Vallarino How has the sector been affected by the slowing issuance of construction permits? ALBERTO VALLARINO: The effects can be felt both in the public and private sectors. Public finances are affected by longer issuing and approval processes because the tax revenues that can be collected from building permits and construction activities are suppressed. Meanwhile, private…
Interview:Rafael Pérez-Pire What role do you expect wind energy will play in Panama’s future energy mix? RAFAEL PÉREZ-PIRE: Wind energy is playing an important role in Panama’s future energy mix. It is changing the current paradigm, where you have an energy mix composed primarily of hydro- and thermal-generated power. In May 2015 Panama reached an all-time high for energy demand – 1607…
Interview:Agustín de la Guardia What is the current mobile environment in Panama, and how can this be developed further? AGUSTIN DE LA GUARDIA: Panama’s mobile penetration is in excess of 200%, according to the International Telecommunications Union. With four operators competing in a predominantly pre-paid market (95%) and 95% of the population covered, prices have been forced down. The…
Interview:Jorge A Motta How can research and development (R&D) aid Panama’s service economy? How do you strengthen ties between universities and the private sector? JORGE MOTTA: Traditionally, R&D has been focused on life sciences rather than services. This is due to the important role that the health sector has played in the economy since the foundation of the country. Therefore,…
Interview:Carlos Fernández What impact do free trade agreements (FTAs) have on local agriculture and livestock producers, and what strategies could help mitigate this? CARLOS FERNÁNDEZ: Considering that food security has become a global priority, including for Panama, FTAs are essential for guaranteeing access to food for all citizens. These agreements are certainly beneficial, as they give…
Interview:Francisco Javier Terrientes Mojica What areas of public health care are you prioritising? What role can the private sector play? FRANCISCO JAVIERTERRIENTES: The main priority should be to significantly change medical attention so as to ultimately improve the quality of the public health care system. There is a consensus among stakeholders that the public health care system is…
Interview:Eduardo Morgan To what extent can regulations be improved to further encourage private sector activity? EDUARDO MORGAN: Panama is a very open country and the private sector plays a key role in the nation’s development. The government, regardless of the administration, has always been very aware of this, and this cooperation is reflected in our laws. So any regulatory modifications…
Since its emergence from the ocean to unite North and South America, Panama has been the preferred crossroad of the Western Hemisphere. During the Spanish colonial period the fairs of Portobelo, located on the country’s Atlantic Coast, were very popular. Merchants from all over both continents visited them to sell and showcase their products. At that time, Panama was also the transit route for Peruvian…
For decades, many countries in Latin America struggled with corruption, and Panama is no exception. Corruption has become more prevalent in the country’s psyche, however, as more Panamanian officials, including former president Ricardo Martinelli, were indicted recently for a series of alleged corrupt activities. A New Leaf Though many Panamanians grew accustomed to official impunity during the…
Panama is a small and open economy in which investment is normally well in excess of savings. In 2014 the current account deficit amounted to some $5.3bn, or 12% of GDP, according to the IMF. Preliminary data indicates that the deficit of the non-financial public sector rose from just over $1bn in December 2013 to $1.9bn (or around 4% of GDP) in December 2014. The main reason for the deterioration…
