In Panama, President Cortizo sanctioned the Law that establishes that from 2024, 100% of the resources retained by the Special Interest Compensation Fund will go to the agricultural sector.

After the National Assembly approved in third debate on October 2 the bill No. 4, which amends Law 4 of 1994, regarding the use of money that feeds the Special Interest Compensation Fund (FECI), the president of the Executive sanctioned the bill.

With the amendments to Law 4 of the FECI, the agricultural sector will begin to receive the distribution of 75% of the interest in a first stage and will gradually reach a 100% increase in 2024. The law provides that as of 2021 80% of the FECI will pass to the agricultural sector, in 2022 90%, in 2023 95% and in 2024 100% of the FECI will pass to the agricultural sector.

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A statement from the presidency explains that “… In addition, the Law indicates that it will be the responsibility of the Agricultural Cabinet to distribute the percentage destined to the agricultural sector, with the objective of promoting its sustained growth.
The new law expands the sectors that qualify to receive the discount on the interest rate including now sowing and agricultural work, improvement of productive facilities, purchase of animals, acquisition of land and investments in any of the activities. The Agricultural Cabinet Council will be able to expand the activities that receive the benefit of the law.”