Panama Country Risk Report Q3 2018
Gradually rising global trade volumes will drive Panama Canal usage, and a strong infrastructure pipeline will attract investment, supporting robust economic growth in Panama over the coming years.
Political gridlock in Panama will persist ahead of the general election in May 2019. A strong opposition in the National Assembly means that President Juan Carlos Varela's proposed constitutional referendum is unlikely to succeed.
The finance and logistics sectors will drive services export growth and help to narrow the country's current account deficit in the next five years, while foreign direct investment covers Panama's external financing needs.
The construction workers' strike in the second quarter of 2018 will impair growth because of the size of the sector and the temporary loss of wages for many Panamanian households.
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