Panama: Economic activity slows in May from prior month
Latest reading: Economic activity was up 5.2% on a year-on-year basis in May, following a 6.0% rise in the previous month.
Commercial activity remained the main driver, supported by firm retail and wholesale trade, new car sales and Colón Free Trade Zone re-exports. Transport activity also performed strongly by air and sea, the latter supported by elevated Panama Canal toll revenues and net tonnage, as the closure of the Strait of Hormuz redirected global energy and commercial traffic. Financial intermediation, manufacturing, hospitality, agriculture, leisure services, electricity and water also contributed positively. That said, construction activity fell on lower building permits and public civil-engineering works.
On a month-on-month basis, economic activity declined 0.6% in May, following a 2.6% decline in the prior month.