According to the IMF, the Central American country has been the most dynamic economy in Latin America in the last three decades, reaching one of the highest per capita incomes in the region.

A report published by the International Monetary Fund (IMF), and signed by Alejandro Santos, Panama‘s mission chief, and Metodij Hadzi-Vaskov, chief economist in the Western Hemisphere Department, explains that the country’s growth is important, since the economy has grown at around 6% per year for a quarter of a century, well above other countries with traditionally strong growth such as Chile, the Dominican Republic and Peru, as well as twice the growth rate of Latin America as a whole.

Panama also achieved one of the highest levels of per capita income in the region, surpassing other countries such as Argentina, Mexico and Uruguay.

In the last thirty years, GDP per capita quintupled from about $5,000 in 1990 to over $25,000 in 2018, foreign trade and the financial system prospered, and public debt contracted in proportion to GDP. In addition, poverty was greatly reduced, while investment reached levels similar to those of the Asian tigers.

One of the recommendations for the country is to improve financial transparency, the exchange of tax information and the investment climate. By further strengthening financial transparency and integrity, Panama could benefit even more from its exceptional geographical location and regional financial center to support investments in international logistics, transport and trade and in a financial core.

See full report.