At the height of its economic success, Panama seems to be seizing the opportunity to expand medical infrastructure. Funding for health in both the public and private sectors is rising along with spending per capita on medical services. Five new hospitals under construction are expected to add 1500 new beds and benefit some 658,000 patients, boosting the quality of health care in areas outside of the…
As Panama enters a new stage of economic maturity, the quality of its education system has claimed a pivotal role for authorities and the private sector alike. Curricular reform has significantly improved performance across the board: coverage for initial education rose 12.1% from 2011 to 2012, while coverage for primary and pre-middle school education rose 2.1% and 0.8%, respectively. In the World…
According to the National Institute of Statistics and Census, the agriculture sector grew 6% in 2011 and 3.9% in 2012. However, its contribution to GDP fell from 8% at the start of the millennium to 2.5% in the third quarter of 2013. One of four key pillars of economic growth in the Strategic Plan 2012-14, the sector has faced a number of challenges. The rapid pace of urbanisation, accompanied by a…
One of four key pillars of economic growth in the Strategic Economic Plan 2010-14, the tourism sector has experienced rapid development in the past decade. According to the World Travel & Tourism Council, the sector contributed an estimated 13.1% to national GDP and was responsible for 12.4% of total employment. Panama City has seen a surge of international hotel chains enter the market in recent years,…
According to the National Public Services Authority, ICT revenues rose from $743m in 2007 to $957m in 2013, maintaining a contribution to national GDP of around 3%. Much of this growth has been generated through the expansion of mobile services and broadband, which continue to offer significant room for growth. Fixed-line connections also registered significant expansion, rising 14% year-on-year in…
With demand for power estimated to grow around 7.5% per year until 2016 and maintaining annual averages of 5.6% in the following 10 years, managing the balance between demand and supply is a key concern for Panama. In other utility segments, such as water, rising consumption levels are exposing decades-long underinvestment in infrastructure networks. As a result, ambitious investment plans – from…
A major driver of GDP growth over the past decade, the construction sector generated more than $2.5bn in 2013, accounting for around 9% of GDP, a year-on-year (y-o-y) increase of 30%, according to the Panamanian Chamber of Construction. Public infrastructure works are leading this surge, but the private sector is also playing a significant role through residential and commercial developments. The real…
Double-digit GDP growth for four of the past seven years, moderate inflation and high employment have had a positive impact on Panama’s retail sector. According to the National Institute of Statistics and Census, retail revenues increased 19.1% between 2011 and 2012, outpacing those of other service segments, and attracting growing interest from potential foreign entrants, particularly from the US.…
Growing at double-digit rates in each of the past five years apart from 2009, the transportation and logistics sector contributed 24.1% to GDP in 2012 and is identified as one of four pillars of economic growth in the Strategic Economic Plan 2010-14. To secure the future of the sector the administration is investing $9.6bn, equivalent to 70% of public sector investment, from 2010 to 2014 in infrastructure…
Following the heavy investment in infrastructure projects of the past few years, the insurance sector has enjoyed a prosperous period. The industry is estimated to be managing assets of around $1.9bn, of which investments comprise $1.3bn, or 70% of the total. As a result of Law 12 of 2012 a new legal framework was created to regulate the sector, bringing it more in line with international standards…
