Panama » Introduction

Basic Economic Facts

GDP composition by Sector

The economy of Panama is primarily established on a well-developed services sector, comprising of the Panama Canal, banking, insurance, government, the trans-Panamanian oil pipeline, and the Colón Free Zone. This is due to the key geographic location. The giveaway of the canal and military facilities by the US has given rise to new construction plans. 

American money is constantly flowing in the economy of Panama. In addition the wealthy people of Bolivia, Venezuela and Ecuador are also spending a lot of money here. Heavily weighted construction projects are also driving this economic boom and Panama skyline is showing the result. 

Several buildings are high-rises. The skeletal frames of these high-rise buildings are giving Panama City a look of an out-of-water coral reef. Additional 11,000 flats are coming online this year. Many of these flats already have been sold.

Panama has previously gone by a financial reform, an extremely hard Social Security Reform and hard time on the reclamation of the Panama Canal.  The most authoritative union in the country is SUNTRACS, the militant construction workers union, even though Panama has various foremost unions and labour organizations, as well as the large National Council of Organized Workers (CONATO) which itself is broken up into several large factions.