European Parliament Library

Panama’s Growth Prospects, Determinants and Sectoral Perspectives, Kimberly Beaton, Metodij Hadzi-Vaskov

This paper estimates medium-term potential growth for a country undergoing significant structural and secular changes. Our forward-looking framework, incorporating three analytical approaches for examining economic prospects, constitutes an important complement to typical backward-looking methods that filter or extrapolate historical data. In particular, the opening of the expanded Panama Canal in 2016 highlights significant structural changes underway in the Panamanian economy. We first analyze growth determinants and find that Panama is well-placed to maintain its business model, with improvements in education and governance important to support growth. Second, the current pipeline of investment projects can help sustain investment-led growth, although at a more moderate pace. Third, further development of the logistics and tourism sectors holds promise to further build on Panama’s comparative advantage
Table Of Contents
Cover -- Contents -- ABSTRACT -- I. INTRODUCTION -- II. DETERMINANTS OF GROWTH: HOW DOES PANAMA COMPARE? -- A. Recent Growth Performance -- B. Growth Determinants -- III. INVESTMENT AS A DRIVER OF GROWTH: CAN HIGH INVESTMENT BE SUSTAINED OVER THE MEDIUM-TERM? -- A. Contribution to Growth from Large-scale Investment Projects -- B. Growth Accounting and Factors of Production -- IV. TRANSFORMING PANAMA INTO A GLOBAL LOGISTICS HUB: WHAT CAN PANAMA LEARN FROM SINGAPORE? -- A. Singapore's Success Story -- B. Where Does Panama Stand? -- V. LEVERAGING CONNECTIVITY TO STRENGTHEN TOURISM -- A. Panama's Tourism Sector - Taking Stock -- B. Performance of the Tourism Sector -- C. Opportunities to Strengthen Panama's Tourism Sector -- VI. CONCLUSIONS -- VII. REFERENCES -- FIGURES -- 1. Recent Economic Performance -- 2. Infrastructure Quality Indicators Relative to GDP per Capita (2014) -- 3. Education Performance -- 4. Cost of Finance -- 5.Survey-based Competitiveness Indictors -- 6. Singapore: Sectoral Performance -- 7. Port Performance -- 8. Panama and Singapore: Logistics Performance Index -- 9. Panama and Singapore: Survey-based Competitiveness Indictors -- 10. Tourism's Contribution to the Economy -- 11. Tourism Arrivals by Market -- 12. Tourism Sector Competitiveness -- 13. Tourism Performance and Market Share -- TABLES -- 1: Overview of Ongoing and Planned Investment Projects -- 2. Growth Accounting: Estimated Average Contribution to Growth -- 3. Singapore and Panama: Comparing Logistics-Relevant Features
Literary Form
non fiction
Physical Description
1 online resource (31 pages)
Specific Material Designation
Form Of Item

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