BMI View: Panama's construction sector, already the largest in Central America, is expected to maintain asolid growth rate as major transport and energy infrastructure projects progress. The country is attractingsignificant foreign investment to a broad range of sectors and the government remains committed to anambitious infrastructure development programme in order to sustain the crucial construction sector.
Forecast & Industry Developments
Panama is undertaking efforts to diversify the domestic economy and expand production capacity.Investments such as the USD80mn aluminium container factor proposed by Envases Universales Ball dePanamá will help to support growth in the construction sector outside of transport projects, creating awider range of opportunities for construction firms.
The economic outlook for Panama is bright with the BMI Country Risk team noting that higher thananticipated shipping activity is bolstering the Panamanian government's intakes from canal and portusage, supporting government expenditure growth of 4.9% in 2017 and underpinning positive projectionsfor GDP growth.