Panama: GDP -2016 // Update 2020
Updated: Aug 29, 2020
Panama Economic Outlook - 2020 & Covid19
The Panama government announced on Monday, May 11, the plans to begin a six-phased reopening of its economy starting from Wednesday, May 13, amid the ongoing coronavirus disease (COVID-19) pandemic. According to reports, e-commerce, mechanical workshops, spare parts, technical services, industrial fishing, and aquaculture will be allowed to reopen in the first phase. The dates of the reopening of additional sectors in the next phases are yet to be determined, though reports suggest that the second phase will include the reopening of the construction sector, non-metallic mining and industry, and religious services and sports activities under social distancing conditions.
Panama's economy is small, very much open, highly diversified, dollar-driven, and highly competitive by regional standards. The country experienced strong growth of 3% in 2019, driven by the financial sector, infrastructure spending, and revenue from the Panama Canal.
According to the updated forecasts from 14th April 2020, due to the outbreak of the COVID-19, GDP growth is expected to fall to -2.1% in 2020 and pick up to 4% in 2021, subject to the post-pandemic global economic recovery. Source: https://www.focus-economics.com/countries/panama
Panama Economic Outlook - 2020
Economic growth accelerated in the final quarter of 2019, after slumping to a near one-decade low in the third quarter. A strengthening services sector spearheaded the upturn, thanks to sturdier wholesale and retail trade growth. This more than outweighed a slowing industrial sector, which came despite rocketing output from the Cobre Panama mine, while a downturn in the primary sector also restrained the overall acceleration. Turning to Q1 2020, strong momentum appears to have carried over from Q4 2019, although the negative impact of coronavirus on global trade is likely affecting activity in the Panama Canal. Meanwhile, in its recent Article IV concluding statement, the IMF highlighted the country’s improving external position and stable fiscal dynamics; however, the Fund conveyed concern regarding reputation damage following Panama’s recent reentry to the EU’s “call for action” blacklist due to its tax-haven status.
2016 - GDP Up 5.2% in June 2016 // PIB crece 5,2% ( 2016)
In the first quarter the economy grew by 5.2% compared to the same period in 2015, driven internally by the activities of financial intermediation and construction.