Flights between the Asian country and Tocumen, a feasibility study to build a train to the border with Costa Rica and cooperation in financial, energy and maritime matters, are some of the results on offer from the agreements signed between the Chinese and Panamanian governments. Since the breakdown of Panama’s diplomatic relations with Taiwan and the new relationship with the Asian giant was announced in June of this year, the possibilities of creating and developing new business in Panama have multiplied, due to the implications that greater involvement in terms of investment by China would have for the country and the region.

The 19 agreements signed between the Varela administration and the Xi Jinping government cover practically all economic sectors, from financial cooperation through the banks Exim Bank and Bank of China for energy development in Panama, to sanitary and phytosanitary measures, development of economic and commercial zones, and the inclusion of Panama as an approved tourist destination.

Although Panama is not the first country in the region to reestablish diplomatic relations with China, it is the only country that has the necessary logistical and commercial conditions to become an ideal platform for Chinese investments.

From a statement issued by the Presidency of Panama:

The relationship between the Republic of Panama and the People’s Republic of China has taken on a new dynamism after a historic meeting between its leaders, Juan Carlos Varela Rodríguez and Xi Jinping, the first after the establishment of diplomatic relations, and in which they committed to continue strengthening their ties in search of the welfare of their populations.

The governors witnessed the adoption of some 20 documents, including 19 agreements and a Joint Declaration, which lay the foundations for this new stage and pose a new diplomatic, economic, commercial and tourism panorama for Panama.

Read full release (in Spanish).