Panama: Economic activity falters in March
May 21, 2019
The monthly indicator for economic activity (IMAE, Índice Mensual de Actividad Económica) grew 3.0% year-on-year in March, significantly weakening from February’s 3.7% print.
According to Panama’s Comptroller’s Office (Contraloría General de la República), the increase in economic activity in March was largely driven by growth in the sectors of transportation, warehousing and communications (which includes activity in the Panama Canal and national ports); water and electricity supply; financial intermediation; and public administration. The sectors of commerce, mining, construction, agriculture and entertainment also grew in the month, albeit at a softer pace than the above-mentioned.
On a month-on-month, seasonally-adjusted basis, growth in economic activity came in at 1.6% in March, up from February’s 0.1% print. Meanwhile, average annual growth in economic activity was stable at February’s 3.2% in March.
Panama GDP Forecast
FocusEconomics Consensus Forecast panelists see the economy growing 4.8% in 2019, which is down 0.1 percentage points from last month’s forecast. The panel expects GDP to expand 4.7% in 2020.
Author: Joffrey Simonet, Economist
