With the proposed regulatory framework for Public-Private Partnerships in Panama, construction businessmen hope to ensure that the projects conclude with the required parameters and that the processes are transparent.

At the end of July, the Ministry of Finance presented a bill to modify the law regulating public contracting, which has among its objectives to take into account mechanisms that allow for price analysis, market investigations, citizen complaints, participation of civil society and the private sector, in addition to accountability, transparency, the mandatory nature of open contracting and disclosure of information.

On the specific issue of Public-Private Partnerships (PPP), the proposal creates the regime for this type of contracts, which must be approved by the Cabinet Council, an Advisory Committee and a Governing Body.

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Hector Ortega, president of the Panamanian Chamber of Construction (Capac), explained to Panamaamerica.com that “… creating a regulatory framework for the PPP ensures that the project reaches completion with the requested parameters. The works approved under the PPP contract must be planned by the State and, in addition, necessary for the population.”

Luis Pimentel, president of the Panamanian Association of Real Estate Brokers and Promoters (Acobir), stated that “… these regulations guarantee that there will be a greater participation of companies and more transparency. The reform to the Public Contracting Law and the regulation to the PPP creates or gives clear rules to enter public tenders. But additionally they want to give a greater opportunity to small enterprises.”