The skyline in Panama City, Panama

Panama Economy

Panama's economy in numbers:

Nominal GDP of USD 76.5 billion in 2022.

GDP per capita of USD 17,411 compared to the global average of USD 10,589.

Average real GDP growth of 4.9% over the last decade.

Share of the region's population
Share of the region's GDP

Economic structure:

In 2021, services accounted for 70% of overall GDP, manufacturing 5%, other industrial activity 22%, and agriculture 3%. Looking at GDP by expenditure, private consumption accounted for 54% of GDP in 2020, government consumption 17%, fixed investment 24%, and net exports 5%.

GDP by economic sector
GDP by type of expenditure

International trade:

In 2021, manufactured products made up 3% of total merchandise exports, mineral fuels 0%, food 14%, ores and metals 80% and agricultural raw materials 1%, with other categories accounting for 2% of the total. In the same period, manufactured products made up 64% of total merchandise imports, mineral fuels 17%, food 18%, ores and metals 1% and agricultural raw materials 0%, with other goods accounting for 0% of the total. Total exports were worth USD 21 billion in 2022, while total imports were USD 30 billion.

Key exports
Key imports
Key export partners
Key import partners

Economic growth:

The economy recorded average annual growth of 4.9% in the decade to 2022. To read more about GDP growth in Panama, go to our dedicated page.

Fiscal policy:

Panama's fiscal deficit averaged 3.4% of GDP in the decade to 2021. Find out more on our dedicated page.

Unemployment:

The unemployment rate averaged 6.5% in the decade to 2021. For more information on Panama's unemployment click here.

Inflation:

Inflation averaged 1.6% in the decade to 2022. Go to our Panama inflation page for extra insight.

Exchange Rate:

From end-2012 to end-2022 the balboa stayed on the same level vs the U.S. dollar. For more info on the balboa, click here.
The economy likely fared worse in 2023 than in 2022, with growth slowing year on year in January–October. Panama Canal activity was curbed by restrictions imposed due to the protracted drought amid the El Niño weather event: In November, traffic fell by over 20% year on year, and toll revenues shrank for the first time in 11 months. Protests that erupted in Q3 due to environmental and economic concerns over the Cobre Panama copper mine deal also hit activity, causing the mine’s closure and up to USD 80 million in lost activity daily. Growth is likely easing further in Q1 2024 due to protests, suspended mining activity and the extension of Panama Canal restrictions until April. In politics, former President Martinelli was disqualified from running in the 5 May general elections due to a decade-long jail term for corruption. The decision should boost confidence in Panama’s institutions.
Projections out to 2033.

42 indicators covered including both annual and quarterly frequencies.

Consensus Forecasts based on a panel of 23 expert analysts.

Want to get insight on the economic outlook for Panama in the coming years? FocusEconomics collects projections out to 2033 on 42 economic indicators for Panama from a panel of 23 analysts at the leading national, regional and global forecast institutions. These projections are then validated by our in-house team of economists and data analysts, and averaged to provide one Consensus Forecast you can rely on for each indicator. This means you avoid the risk of relying on out of date, biased or outlier forecasts. Our Consensus Forecasts can be visualized in whichever way best suits your needs, including via interactive online dashboards , direct data delivery and executive-style reports which combine analysts' projections with timely written analysis from our in-house team of economists on the latest developments in the Panama economy. To download a sample report on the Panama's economy, click here . To get in touch with our team for more information, fill in the form at the bottom of this page .

Panama Economic Data

2018 2019 2020 2021 2022
Population (million) 4.2 4.2 4.3 4.3 4.4
GDP (USD bn) 67.3 69.7 57.1 67.4 76.5
GDP per capita (USD) 16,180 16,526 13,341 15,542 17,411
Economic Growth (Nominal GDP, ann. var. %) 8.2 3.6 -18.1 18.1 13.5
Economic Growth (GDP, ann. var. %) 3.7 3.3 -17.7 15.8 10.8
Private Consumption (ann. var. %) 2.3 2.3 -14.6 9.2 -
Government Consumption (ann. var. %) 7.5 4.7 15.2 9.8 -
Fixed Investment (ann. var. %) 0.9 -0.4 -49.5 29.6 -
Exports (G&S, ann. var. %) 5.0 -0.2 -20.8 22.9 -
Imports (G&S, ann. var. %) 2.8 -1.3 -33.0 23.3 -
Industry (ann. var. %) 2.7 2.7 -31.9 36.0 -
Unemployment (% of active population, eop) 6.0 7.1 18.5 11.3 9.9
Fiscal Balance (% of GDP) -3.1 -3.3 -10.0 -6.4 -3.9
Public Debt (% of GDP) 37.3 41.9 65.6 58.4 54.9
Inflation (CPI, ann. var. %, eop) 0.2 -0.1 -1.6 2.6 2.1
Inflation (CPI, ann. var. %, aop) 0.8 -0.4 -1.6 1.6 2.9
Inflation (PPI, ann. var. %, aop) - -1.1 -0.3 2.3 3.2
Current Account Balance (USD bn) -5.3 -4.1 -0.2 -1.4 -3.4
Current Account Balance (% of GDP) -7.9 -5.8 -0.4 -2.1 -4.4
Merchandise Trade Balance (USD bn) -9.2 -7.6 -2.8 -3.5 -9.3
Merchandise Exports (USD bn) 14.8 14.6 11.6 16.8 20.9
Merchandise Imports (USD bn) 24.0 22.3 14.4 20.3 30.2
Merchandise Exports (ann. var. %) 6.8 -0.7 -20.8 45.1 23.8
Merchandise Imports (ann. var. %) 7.5 -7.1 -35.3 41.0 48.4
Foreign Direct Investment (USD bn) 4.8 3.9 0.1 1.9 2.6
International Reserves (USD bn) 2.1 3.4 9.6 8.8 6.9
International Reserves (months of imports) 1.1 1.8 8.0 5.2 2.7
External Debt (USD bn) 99.4 103.9 112.5 118.4 127.4
External Debt (% of GDP) 148 149 197 176 167

Free Sample Report

Interested in Panama economic reports, analysis and data? FocusEconomics provides data, forecasts and analysis for hundreds of countries and commodities. Request your free sample report now.

Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest