Instability affects consumption and investment in many local companies. In the long term, experts expect investor sentiment to continue to be affected by nationwide road closures.
Given the seriousness of the country’s current situation and its implications, such as high levels of uncertainty, potential difficulties could arise in the economy, such as weak investment and trade and decreased investor and consumer confidence, according to experts. In this sense, a month after the road closures, businessmen and economists consulted stated that sectors such as real estate, construction, trade, tourism and logistics could be negatively affected because uncertainty makes Panama unattractive to investors. “The climate of instability creates an image that affects confidence in the country and discourages investments,” expressed Rubén Castillo, President of the National Council of Private Enterprises (CONEP). For his part, Walter Leussinger, President of the American-Panamanian Business Council and member of the Panamanian Association of Real Estate Brokers and Developers, said:AcupirHe commented: “Panama’s image has deteriorated to the point that we are almost walking on a tightrope. For example, three United Airlines planes were unable to land in Panama for fear of the safety of the crew, and several ships were unable to stop in Panama and headed to Cartagena. “The investment climate is very bad.” Meanwhile, economist Irina Gomez Hollendoner stated that “the current events that the country is going through could undermine the confidence of investors who view Panama as one of the successful economies in Latin America and thus the country’s brand could be weakened.” Rene Quevedo An employment expert confirmed that “the current situation is already affecting the business and investment climate in the country.” This directly affected job creation, which suffered two “shocks” and two “aftershocks.”
Given the seriousness of the country’s current situation and its implications, such as high levels of uncertainty, potential difficulties could arise in the economy, such as weak investment and trade and decreased investor and consumer confidence, according to experts. In this sense, a month after the road closures, businessmen and economists consulted stated that sectors such as real estate, construction, trade, tourism and logistics could be negatively affected because uncertainty makes Panama unattractive to investors. “The climate of instability creates an image that affects confidence in the country and discourages investments,” expressed Rubén Castillo, President of the National Council of Private Enterprises (CONEP). For his part, Walter Leussinger, President of the American-Panamanian Business Council and member of the Panamanian Association of Real Estate Brokers and Developers, said:AcupirHe commented: “Panama’s image has deteriorated to the point that we are almost walking on a tightrope. For example, three United Airlines planes were unable to land in Panama for fear of the safety of the crew, and several ships were unable to stop in Panama and headed to Cartagena. “The investment climate is very bad.” Meanwhile, economist Irina Gomez Hollendoner stated that “the current events that the country is going through could undermine the confidence of investors who view Panama as one of the successful economies in Latin America and thus the country’s brand could be weakened.” Rene Quevedo An employment expert confirmed that “the current situation is already affecting the business and investment climate in the country.” This directly affected job creation, which suffered two “shocks” and two “aftershocks.”
Panama received millions of dollars in foreign investment in 2022.
