Panama: Economic activity grows at a heady pace
July 25, 2011
In May, the economy expanded a strong 9.5% over the same month last year (April: +5.5% year-on-year), according to the monthly indicator of economic activity (IMAE, indice Mensual de Actividad Economica). An acceleration in the economic activity growth rate mainly reflected better performance by the transportation, storage and communications as well as trade sectors. On a monthly basis, economic activity increased 0.43% over the previous month in seasonally-adjusted terms, below April's 0.58% month-on-month rise. Annual average growth in economic activity went up from 6.7% in April to 7.1% in May. Economic growth should remain strong going forward, propelled by ongoing investment in a project that aims to double the Panama Canal's capacity by 2014.