Panama: Economic activity slows, ticks down in April
June 24, 2015
In April, the monthly indicator for economic activity (IMAE, Indice Mensual de Actividad Economica) expanded 4.2% over the same month last year, which was below the 4.6% growth tallied in March and marked the slowest growth rate since December 2009. According to the National Comptroller’s Office, the increase in April was driven by growth in several sectors of the economy, including transport, warehousing and communications, financial services and tourism. Meanwhile, despite the ongoing slowdown of work on the Panama Canal expansion project, the construction sector and the mining and quarrying industry showed positive growth due to activity related to the private sector. The deceleration was due to a slower pace of expansion in the other sectors of the economy alongside the reduction in activity associated with the canal expansion project.
On a month-on-month basis, economic activity in April increased 0.12% in seasonally-adjusted terms, which contrasted the 0.08% decrease recorded in March. Meanwhile, the overall trend stabilized; annual average growth in economic activity in April held at March’s 4.9%.
Author: Robert Hill, Economist