{"id":10171,"date":"2014-04-29T11:25:19","date_gmt":"2014-04-29T16:25:19","guid":{"rendered":"http:\/\/panamaadvisoryinternationalgroup.com\/blog\/?p=10171"},"modified":"2014-04-29T11:25:19","modified_gmt":"2014-04-29T16:25:19","slug":"foreign-companies-boost-panama-boom-but-lack-personnel","status":"publish","type":"post","link":"https:\/\/panamaadvisoryinternationalgroup.com\/blog\/foreign-companies-boost-panama-boom-but-lack-personnel\/","title":{"rendered":"Foreign companies boost Panama boom but lack personnel"},"content":{"rendered":"<p><a href=\"http:\/\/panamaadvisoryinternationalgroup.com\/blog\/wp-content\/uploads\/2014\/04\/it-personel.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-10172\" title=\"portrait of a female technician\" src=\"http:\/\/panamaadvisoryinternationalgroup.com\/blog\/wp-content\/uploads\/2014\/04\/it-personel.jpg\" alt=\"\" width=\"588\" height=\"392\" srcset=\"https:\/\/panamaadvisoryinternationalgroup.com\/blog\/wp-content\/uploads\/2014\/04\/it-personel.jpg 588w, https:\/\/panamaadvisoryinternationalgroup.com\/blog\/wp-content\/uploads\/2014\/04\/it-personel-300x200.jpg 300w\" sizes=\"auto, (max-width: 588px) 100vw, 588px\" \/><\/a><\/p>\n<p>Here is another great article that I read in Newsroom Panama about the continued challenge facing companies that want to do business here in Panama.\u00a0\u00a0 SINCE the introduction in 2007 of a program to smooth the way for  foreign companies to establish regional headquarters in Panama  multinationals have flocked into the country, contributing massively to  the economic boom.<span style=\"line-height: 1.5;\"> Initiated by the previous government, the <span>SEM<\/span> ( Headquarters Multinational Enterprises) <span>programhas<\/span> attracted 106 foreign companies, as recorded by the Ministry of Commerce and Industry ( <span>Mici<\/span> ).<\/span><\/p>\n<p>Two recent arrivals on the Isthmus are <span>Quala<\/span> Inc., from the British Virgin Islands and <span>Devanlay<\/span>, from France. <span>Quala<\/span> Inc., sells personal products , and <span>Devanlay<\/span> SA., distributes <span>Lacoste<\/span> shirts , but companies along with the other 104 registered, they are not here because of the size of the local market.<br \/>\n&#8220;One aspect is clear : the industries that come to Panama cannot think  only in terms of our domestic market of 3 million people ,&#8221; said <span>Jos\u00e9<\/span> Pacheco Deputy Minister of Foreign Trade, in a recent interview for the Oxford Business Group\u2019s <span style=\"color: #ff0000;\">British Journal of Economic Research. <\/span><br \/>\n&#8220;Our main advantage for producers is our logistics platform. A Panama &#8211;  based industry can distribute its products to countries in Central  America and the Caribbean more easily than elsewhere , not only because  of our facilities and the number of vessels using our ports &#8230; but also  by the large number of free trade treaties \u00a0we have.&#8221;<br \/>\nPacheco said that since August 2007, when the special regime was  created, the foreign businesses have contributed $700 million to the  economy, &#8220;without the indirect investment that arises from the purchase  of cars by executives , as well as rentals and purchases of houses and  other expenditures&#8221;<br \/>\nThe World Bank recognizes that money from outside Panama\u2019s borders ,  injected into the economy , accounts for 9 % of the country\u2019s GDP.<\/p>\n<p>The Incentives Act of August 2007 , created exemption from income tax for the <span>SEM<\/span> companies for services performed outside the country , along with  immigration and labor benefits, which have add to the strength that the  economy has enjoyed locally in recent years reports La <span>Prensa<\/span>.<br \/>\nOther benefits such as connectivity provided by five telecommunications  fiber optic cables that pass through Panama , &#8220;ensure excellent voice  and data services\u201d said deputy minister Pacheco, and investment grade  rating agencies have, add to the attractions for big business in Panama.<br \/>\nCHALLENGES<br \/>\nthere are many challenges ahead to continue to attract these businesses .<br \/>\nBoth Pacheco and President of the Chamber of Commerce, Industries, <span>Jos\u00e9<\/span> Luis Ford, agree that it is the lack of a qualified personnel that is  the main deficiency of a country with 3.4 million inhabitants, whose  labor force corresponds to a third of that figure.<br \/>\nFord notes that one of the functions of a special <span>SEM<\/span> commission is to guide the Government in to supply these needs , especially technicians and staff who are fluent in English.<br \/>\nThe Deputy Minister said that the Government through the <span>Inadeh<\/span> (National Institute of Professional Training for Human Development )&#8221;  empowers labor in key activities&#8221; adding that &#8221; there is a key feedback  from the public and private sectors about these shortcomings . &#8221;<br \/>\nBut a country growing in all directions cannot wait for <span>Inadeh<\/span>. Schools and public and private universities to do their part, &#8220;It is a burden that can be very expensive ,&#8221; says Ford<br \/>\n&#8221; The only way for to Panama to meet the demand for staff will be the  same way the Canal and the railway were built . We are experiencing a  massive building program, all without structures for the need to import  massive workforce to meet the needs of this great development.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Here is another great article that I read in Newsroom Panama about the continued challenge facing companies that<\/p>\n","protected":false},"author":5,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-10171","post","type-post","status-publish","format-standard","hentry","category-news-articles-panama-perpsective"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.7 (Yoast SEO v27.7) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Foreign companies boost Panama boom but lack personnel  - Blog and Newsletter<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/panamaadvisoryinternationalgroup.com\/blog\/foreign-companies-boost-panama-boom-but-lack-personnel\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Foreign companies boost Panama boom but lack personnel\" \/>\n<meta property=\"og:description\" content=\"Here is another great article that I read in Newsroom Panama about the continued challenge facing companies that\" \/>\n<meta property=\"og:url\" content=\"https:\/\/panamaadvisoryinternationalgroup.com\/blog\/foreign-companies-boost-panama-boom-but-lack-personnel\/\" \/>\n<meta property=\"og:site_name\" content=\"Blog and Newsletter\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/profile.php?id=100088396493750\" \/>\n<meta property=\"article:published_time\" content=\"2014-04-29T16:25:19+00:00\" \/>\n<meta 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