Panama economy on the rise: Latin America slows

The Economic Commission for Latin America and the Caribbean (ECLAC) raised its economic growth projection for Panama to 4.5% in 2026, an upward revision from the 4.4% estimated last August.

The adjustment comes at a time when the organization is warning of a slowdown in the economies of Latin America and the Caribbean, affected by greater external risks, inflationary pressures and more expensive financing conditions.

According to new projections released  Thursday, October 22, the Panamanian economy would maintain a growth of 4.5% in 2027, which would place it among the fastest-expanding in Central America and above the Latin American average.

ECLAC projects a growth rate of 4.4% for Panama by 2025, while for 2026 and 2027 it projects growth of 4.5% each year. If these estimates are met, the country would maintain a relatively stable growth rate throughout the period analyzed.

The outlook is different for Latin America and the Caribbean as a whole. ECLAC has lowered its expectations for regional growth and projects expansion of just 2.0% in 2026, down from 2.4% in 2025.