Multi-Dimensional Review of Panama
Volume 1: Initial Assessment
Since the beginning of the 21st century, Panama has exhibited remarkable economic growth and has reduced the gap in terms of income per capita with high-income countries. Social progress has also been achieved, mainly through the reduction of poverty and advances in some well-being dimensions. However, challenges remain with regard to overcoming the so-called middle-income trap and consolidating the middle-class. This first volume of the Multi-dimensional Country Review of Panama identifies the main barriers to further inclusive development. It highlights that promoting equitable, inclusive and sustainable economic growth and improving the well-being of all citizens should be at the core of Panama’s development strategies.
Editorial
OECD Development Centre
Panama has made significant strides in improving economic performance and social inclusion since the turn of the century. Economic growth started to accelerate after the social unrest of the late 1980s, which resulted in income per capita doubling since 2000. Today, Panama has consolidated an open economy with low unemployment, high investment rates and a stable macroeconomic framework. These achievements contributed to improving well-being and reducing poverty.