The performance of the Panamanian banking sector is above the world average and global banking records the best results since the financial crisis of 2008, indicates the Global Banking Annual Review 2024 report, from the consulting firm McKinsey & Company.

According to the document, the global banking sector has experienced its best year since the financial crisis of 2008. With revenues that reached approximately US$7 billion and a net income of US$1.1 billion, the sector has shown a Return on Tangible Capital (RoTE) of 11.7%, exceeding the average of the last ten years of 10.2%.

However, despite these impressive results, market scepticism persists, reflected in a book price-to-value ratio of 0.9, the lowest among its industrial peers.

As for Latin America, according to the report, the growth of banking has been accelerated by digitization and the rise of fintech, improving financial inclusion.

In the case of Panama, the RoTE of the banking sector was 12.7%, above the world average, but below countries such as Brazil (16%), Mexico (21%) and Chile (19%). Colombia leads in profitability with a RoTE of 48%.