Panama's economy grew 6.1% in the first half

It is surprising that Panama's economy continues to grow at such a fast clip considering the economic turmoil the rest of the world is experiencing. The combination of billions in infrastructure spending along with a significant increase in foreign direct investment should continue to keep things going for the immediate future.

La Prensa;

The Panamanian economy by accelerating the pace between April and June to complete a 6.1% growth in first half of the year, according to a report by the Comptroller General of the Republic.

The gross domestic product (GDP) reached $10 billion & 800 million, which is $ 571 million over the same period last year.

The best performing sectors were recorded transport, storage and communications, with a growth of 14%, commerce, with 10.2% and tourism (hotels and restaurants), an improvement of 9.6%.

Although there remains some uncertainty in the global economy, trade itself has been strengthened, and this is reflected in Panama's economy, said economist Roland Gordon.

On the negative side are placed on fishing, with a fall of 18.1% and financial intermediation, which decreased by 2.7%. As regards the second quarter, the economy grew by 6.3% over the same period of 2009. The GDP in this period 5000 was $ 80 million, $ 302.1 million more than the previous year.

Increases projection

The Minister of Economy and Finance, Alberto Vallarino, who acknowledged at a news conference yesterday in the first half did not run the desirable public investment, said that in the second half of the year is most noticeable impact of this and therefore not ruled that the economy close 2010 with a growth of 7%.

He predicted also that growth will be higher in 2011 and 2012, coinciding with the peak in the work of expanding the Panama Canal.

In November he will know if economic growth is generating more employment in the country. On that date, the Comptroller issued a new unemployment figure. In August 2009, the rate was 6.6%.

According to Gordon, the impact on employment is not as great because sectors such as industry and agriculture, which are generators of employment, are not rebounding.