{"id":26367,"date":"2019-06-25T14:18:30","date_gmt":"2019-06-25T19:18:30","guid":{"rendered":"https:\/\/panamaadvisoryinternationalgroup.com\/blog\/?p=26367"},"modified":"2019-06-25T14:18:30","modified_gmt":"2019-06-25T19:18:30","slug":"construction-rebound-challenge-new-government","status":"publish","type":"post","link":"https:\/\/panamaadvisoryinternationalgroup.com\/blog\/construction-rebound-challenge-new-government\/","title":{"rendered":"Construction Rebound: A Challenge for the New Government"},"content":{"rendered":"<p><a href=\"https:\/\/panamaadvisoryinternationalgroup.com\/blog\/wp-content\/uploads\/2019\/06\/slow-growth.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone  wp-image-26368\" src=\"https:\/\/panamaadvisoryinternationalgroup.com\/blog\/wp-content\/uploads\/2019\/06\/slow-growth.jpg\" alt=\"\" width=\"703\" height=\"416\" srcset=\"https:\/\/panamaadvisoryinternationalgroup.com\/blog\/wp-content\/uploads\/2019\/06\/slow-growth.jpg 500w, https:\/\/panamaadvisoryinternationalgroup.com\/blog\/wp-content\/uploads\/2019\/06\/slow-growth-300x177.jpg 300w\" sizes=\"auto, (max-width: 703px) 100vw, 703px\" \/><\/a><\/p>\n<p>In Panama, the elected <a class=\"hlink\" title=\"Government\" href=\"https:\/\/www.centralamericadata.com\/en\/search?q1=content_en_le:%22Government%22&amp;q2=mattersInCountry_es_le:%22Panama%22\">government<\/a> will have among its main challenges to facilitate the necessary conditions for the reactivation of construction in the country, which has reported negative figures for the last two years.<\/p>\n<p>Since the beginning of 2017 investments in <a class=\"hlink\" title=\"construction\" href=\"https:\/\/www.centralamericadata.com\/en\/search?q1=content_en_le:%22construction%22&amp;q2=mattersInCountry_es_le:%22Panama%22\">construction<\/a> in the country have decreased and the situation does not seem to improve. Data from the Office of the General Comptroller of the Republic detail that the performance of the construction sector in 2018 was negative, as the cost of new construction, additions and repairs totaled $1,311 million, a figure 39% lower than the $2,144 million reported in 2017.<\/p>\n<p>The beginning of 2019 is still marked by the downward trend, since in the first quarter of this year construction costs reached $322 million, 28% less than what was reported in the same period of 2018.<\/p>\n<p>See &#8220;<a href=\"https:\/\/centralamericadata.com\/en\/article\/home\/Mercado_inmobiliario_se_satura\" target=\"_blank\" rel=\"noopener noreferrer\"><u>Real Estate Market is Saturated?<\/u><\/a>\u201d and &#8220;<a href=\"https:\/\/centralamericadata.com\/en\/article\/home\/Nuevas_inversiones_en_construccin\" target=\"_blank\" rel=\"noopener noreferrer\"><u>New Investments in Construction<\/u><\/a>\u201d<\/p>\n<p>Faced with this situation, directors of the <a class=\"hlink\" title=\"Panama\" href=\"https:\/\/www.centralamericadata.com\/en\/search?q1=content_en_le:%22Panama%22&amp;q2=mattersInCountry_es_le:%22Panama%22\">Panama<\/a>nian Chamber of Construction (Capac), have made representations to <a class=\"hlink\" title=\"In\u00e9s Samudio\" href=\"https:\/\/www.centralamericadata.com\/en\/search?q1=content_en_le:%22In%C3%A9s+Samudio%22&amp;q2=mattersInCountry_es_le:%22Panama%22\">In\u00e9s Samudio<\/a>, new head appointed to head the Ministry of Housing and Land Management.<\/p>\n<p>Among Capac&#8217;s main requests is the increase in the amount of the <a class=\"hlink\" title=\"preferential interest rate\" href=\"https:\/\/www.centralamericadata.com\/en\/search?q1=content_en_le:%22preferential+interest+rate%22&amp;q2=mattersInCountry_es_le:%22Panama%22\">Preferential Interest<\/a> Law for housing construction from the current $120,000 to $150,000. This is not the first time that this measure has been proposed, <a href=\"https:\/\/centralamericadata.com\/en\/article\/home\/Construccin_espera_mejores_tiempos\" target=\"_blank\" rel=\"noopener noreferrer\"><u>since in November 2018, the sector guild already contemplated it<\/u><\/a>.<\/p>\n<p>Regarding other proposals, Laestrella.com.pa states that &#8220;<em>&#8230; They also proposed to the incoming minister to update the leasing law as a new business model and to evaluate the construction of <a class=\"hlink\" title=\"leasing\" href=\"https:\/\/www.centralamericadata.com\/en\/search?q1=content_en_le:%22leasing%22&amp;q2=mattersInCountry_es_le:%22Panama%22\">lease<\/a>d buildings. In addition, they promoted lease-purchase to get out of existing inventories.<\/em>&#8221;<\/p>\n<p>The article adds that &#8220;<em>&#8230; the guild suggested to the new authorities to use more efficient construction systems and give attention to maintenance programs for public sector works, as well as pumping systems, water treatment plants, wells and water storage tanks.<\/em>&#8221;<\/p>\n\n<div class=\"wpcf7 no-js\" id=\"wpcf7-f16536-o1\" lang=\"\" dir=\"ltr\" data-wpcf7-id=\"16536\">\n<div class=\"screen-reader-response\"><p role=\"status\" aria-live=\"polite\" aria-atomic=\"true\"><\/p> <ul><\/ul><\/div>\n<form action=\"\/blog\/wp-json\/wp\/v2\/posts\/26367#wpcf7-f16536-o1\" method=\"post\" class=\"wpcf7-form init\" aria-label=\"Contact form\" novalidate=\"novalidate\" data-status=\"init\">\n<fieldset class=\"hidden-fields-container\"><input type=\"hidden\" name=\"_wpcf7\" value=\"16536\" \/><input type=\"hidden\" name=\"_wpcf7_version\" value=\"6.1.6\" \/><input 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the<\/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":[242,12,241,39,248,34,33,62,42,219,11,249,243,7,255,246,244,44],"class_list":["post-26367","post","type-post","status-publish","format-standard","hentry","category-news-articles-panama-perpsective","tag-boca-chica-real-estate","tag-boquete","tag-boquete-real-estate","tag-buenaventura","tag-casco","tag-casco-antiguo","tag-casco-viejo","tag-coffee-in-panama","tag-estate-homes-in-panama","tag-move-to-panama","tag-offshore-real-estate","tag-panama-offshore-real-estate","tag-panama-papers","tag-panama-real-estate","tag-panama-real-estate-bocas-del-toro","tag-relocate-to-panama","tag-rum-in-panama","tag-travel-to-panama"],"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\/ 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