Geography
Location: Central America, bordering both the Caribbean Sea and the North Pacific Ocean, between Colombia and Costa Rica
Geographic coordinates: 9 00 N, 80 00 W
Map references: Central America and the Caribbean
Area:
total: 75,420 sq km
land: 74,340 sq km
water: 1,080 sq km
country comparison to the world: 118
Area – comparative: slightly smaller than South Carolina
Land boundaries:
total: 687 km
border countries (2): Colombia 339 km, Costa Rica 348 km
Coastline: 2,490 km
Maritime claims:
territorial sea: 12 nm
contiguous zone: 24 nm
exclusive economic zone: 200 nm or edge of continental margin
Climate: tropical maritime; hot, humid, cloudy; prolonged rainy season (May to January), short dry season (January to May)
Terrain: interior mostly steep, rugged mountains with dissected, upland plains; coastal plains with rolling hills
Elevation:
mean elevation: 360 m
elevation extremes: lowest point: Pacific Ocean 0 m
highest point: Volcan Baru 3,475 m
Natural resources: copper, mahogany forests, shrimp, hydropower
Land use:
agricultural land: 30.5%
arable land 7.3%; permanent crops 2.5%; permanent pasture 20.7%
forest: 43.6%
other: 25.9% (2011 est.)
Irrigated land: 321 sq km (2012)
Population – distribution: population is concentrated towards the center of the country, particularly around the Canal, but a sizeable segment of the populace also lives in the far west around David; the eastern third of the country is sparsely inhabited
Natural hazards: occasional severe storms and forest fires in the Darien area
Environment – current issues: water pollution from agricultural runoff threatens fishery resources; deforestation of tropical rain forest; land degradation and soil erosion threatens siltation of Panama Canal; air pollution in urban areas; mining threatens natural resources
Environment – international agreements: party to: Biodiversity, Climate Change, Climate Change-Kyoto Protocol, Desertification, Endangered Species, Environmental Modification, Hazardous Wastes, Law of the Sea, Marine Dumping, Ozone Layer Protection, Ship Pollution, Tropical Timber 83, Tropical Timber 94, Wetlands, Whaling
signed, but not ratified: Marine Life Conservation
Geography – note: strategic location on eastern end of isthmus forming land bridge connecting North and South America; controls Panama Canal that links North Atlantic Ocean via Caribbean Sea with North Pacific Ocean
Economy
Overview:
Panama’s dollar-based economy rests primarily on a well-developed services sector that accounts for more than three-quarters of GDP. Services include operating the Panama Canal, logistics, banking, the Colon Free Trade Zone, insurance, container ports, flagship registry, and tourism. Panama’s transportation and logistics services sectors, along with infrastructure development projects, have boosted economic growth; however, public debt surpassed $32 billion in 2015 because of excessive government spending and public works projects. The US-Panama Trade Promotion Agreement was approved by Congress and signed into law in October 2011, and entered into force in October 2012.
Growth will be bolstered by the Panama Canal expansion project that began in 2007 and is estimated to be completed by 2016 at a cost of $5.3 billion – about 10-15% of current GDP. The expansion project will more than double the Canal’s capacity, enabling it to accommodate ships that are too large to traverse the existing canal. The US and China are the top users of the Canal. In 2014, Panama completed a metro system in Panama City, valued at $1.2 billion.
Strong economic performance has not translated into broadly shared prosperity, as Panama has the second worst income distribution in Latin America. About one-fourth of the population lives in poverty; however, from 2006 to 2012 poverty was reduced by 10 percentage points.
GDP (purchasing power parity):
$87.37 billion (2015 est.)
$82.6 billion (2014 est.)
$77.89 billion (2013 est.)
note: data are in 2015 US dollars
country comparison to the world: 87
GDP (official exchange rate):
$52.13 billion (2015 est.)
GDP – real growth rate:
5.8% (2015 est.)
6.1% (2014 est.)
6.6% (2013 est.)
country comparison to the world: 34
GDP – per capita (PPP):
$21,800 (2015 est.)
$21,000 (2014 est.)
$20,200 (2013 est.)
note: data are in 2015 US dollars
country comparison to the world: 81
Gross national saving:
41% of GDP (2015 est.)
37.3% of GDP (2014 est.)
36% of GDP (2013 est.)
country comparison to the world: 7
GDP – composition, by end use:
household consumption: 50.2%
government consumption: 9.7%
investment in fixed capital: 43.8%
investment in inventories: 3.3%
exports of goods and services: 52.9%
imports of goods and services: -59.9% (2015 est.)
GDP – composition, by sector of origin:
agriculture: 2.8%
industry: 14.4%
services: 77.3% (2015 est.)
Agriculture – products:
bananas, rice, corn, coffee, sugarcane, vegetables; livestock; shrimp
Industries:
construction, brewing, cement and other construction materials, sugar milling
Industrial production growth rate:
5.9% (2015 est.)
country comparison to the world: 36
Labor force:
1.587 million
note: shortage of skilled labor, but an oversupply of unskilled labor (2015 est.)
country comparison to the world: 130
Labor force – by occupation:
agriculture: 17%
industry: 18.6%
services: 64.4% (2009 est.)
Unemployment rate:
4.5% (2015 est.)
4.5% (2014 est.)
country comparison to the world: 45
Population below poverty line:
26% (2012 est.)
Household income or consumption by percentage share:
lowest 10%: 1.1%
highest 10%: 40.1% (2010 est.)
Distribution of family income – Gini index:
51.9 (2010 est.)
56.1 (2003)
country comparison to the world: 15
Budget:
revenues: $10.66 billion
expenditures: $11.88 billion (2015 est.)
Taxes and other revenues:
20.4% of GDP (2015 est.)
country comparison to the world: 157
Budget surplus (+) or deficit (-):
-2.3% of GDP (2015 est.)
country comparison to the world: 97
Public debt:
38.8% of GDP (2015 est.)
37.7% of GDP (2014 est.)
country comparison to the world: 118
Fiscal year:
calendar year
Inflation rate (consumer prices):
0.1% (2015 est.)
2.6% (2014 est.)
country comparison to the world: 48
Commercial bank prime lending rate:
7.46% (31 December 2015 est.)
6.83% (31 December 2014 est.)
country comparison to the world: 112
Stock of narrow money:
$8.215 billion (31 December 2015 est.)
$8.317 billion (31 December 2014 est.)
country comparison to the world: 87
Stock of broad money:
$36.14 billion (31 December 2015 est.)
$34.65 billion (31 December 2014 est.)
country comparison to the world: 75
Stock of domestic credit:
$42.98 billion (31 December 2015 est.)
$38.67 billion (31 December 2014 est.)
country comparison to the world: 67
Market value of publicly traded shares:
$12.54 billion (31 December 2012 est.)
$10.68 billion (31 December 2011 est.)
$8.348 billion (31 December 2010 est.)
country comparison to the world: 69
Current account balance:
-$3.377 billion (2015 est.)
-$4.794 billion (2014 est.)
country comparison to the world: 161
Exports:
$15.92 billion (2015 est.)
$17.22 billion (2014 est.)
note: includes the Colon Free Zone
country comparison to the world: 73
Exports – commodities:
fruit and nuts, fish, iron and steel waste, wood
Exports – partners:
US 19.7%, Germany 13.2%, Costa Rica 7.7%, China 5.9%, Netherlands 4.1% (2015)
Imports:
$22.48 billion (2015 est.)
$25.7 billion (2014 est.)
note: includes the Colon Free Zone
country comparison to the world: 70
Imports – commodities:
fuels, machinery, vehicles, iron and steel rods, pharmaceuticals
Imports – partners:
US 25.9%, China 9.6%, Mexico 5.1% (2015)
Reserves of foreign exchange and gold:
$3.378 billion (31 December 2015 est.)
$4.032 billion (31 December 2014 est.)
country comparison to the world: 100
Debt – external:
$21.03 billion (31 December 2015 est.)
$19.34 billion (31 December 2014 est.)
country comparison to the world: 84
Stock of direct foreign investment – at home:
$45.28 billion (31 December 2015 est.)
$39.52 billion (31 December 2014 est.)
country comparison to the world: 58
Stock of direct foreign investment – abroad:
$9.755 billion (31 December 2015 est.)
$8.506 billion (31 December 2014 est.)
country comparison to the world: 60
Exchange rates:
balboas (PAB) per US dollar –
Transportation
National air transport system:
number of registered air carriers: 4
inventory of registered aircraft operated by air carriers: 103
annual passenger traffic on registered air carriers: 12,018,103
annual freight traffic on registered air carriers: 121,567,075 mt-km (2015)
Civil aircraft registration country code prefix:
HP (2016)
Airports:
117 (2013)
country comparison to the world: 49
Airports – with paved runways:
total: 57
over 3,047 m: 1
2,438 to 3,047 m: 3
1,524 to 2,437 m: 3
914 to 1,523 m: 20
under 914 m: 30 (2013)
Airports – with unpaved runways:
total: 60
1,524 to 2,437 m: 1
914 to 1,523 m: 8
under 914 m: 51 (2013)
Heliports:
3 (2013)
Pipelines:
oil 128 km (2013)
Railways:
total: 77 km
standard gauge: 77 km 1.435-m gauge (2014)
country comparison to the world: 129
Roadways:
total: 15,137 km
paved: 6,351 km
unpaved: 8,786 km (2010)
country comparison to the world: 122
Waterways:
800 km (includes the 82-km Panama Canal that is being widened) (2011)
country comparison to the world: 72
Merchant marine:
total: 6,413
by type: barge carrier 1, bulk carrier 2,525, cargo 1,115, carrier 27, chemical tanker 588, combination ore/oil 1, container 742, liquefied gas 205, passenger 42, passenger/cargo 51, petroleum tanker 545, refrigerated cargo 191, roll on/roll off 87, specialized tanker 3, vehicle carrier 290
foreign-owned: 5,157 (Albania 4, Argentina 5, Australia 4, Bahamas 6, Bangladesh 5, Belgium 1, Bermuda 27, Brazil 3, Bulgaria 6, Burma 3, Canada 6, Chile 14, China 534, Colombia 2, Croatia 2, Cuba 2, Cyprus 5, Denmark 41, Ecuador 3, Egypt 11, Finland 2, France 7, Gabon 1, Germany 24, Gibraltar 1, Greece 379, Hong Kong 144, India 24, Indonesia 10, Iran 5, Ireland 1, Israel 1, Italy 25, Japan 2372, Jordan 11, Kuwait 12, Lebanon 2, Lithuania 3, Luxembourg 1, Malaysia 12, Maldives 2, Malta 2, Mexico 5, Monaco 11, Netherlands 6, Nigeria 6, Norway 81, Oman 10, Pakistan 3, Peru 9, Philippines 5, Portugal 10, Qatar 1, Romania 3, Russia 49, Saudi Arabia 11, Singapore 92, South Korea 373, Spain 30, Sweden 2, Switzerland 15, Syria 34, Taiwan 328, Tanzania 2, Thailand 6, Turkey 62, UAE 83, UK 37, Ukraine 8, US 90, Venezuela 13, Vietnam 43, Yemen 4)
registered in other countries: 1 (Honduras 1) (2010)
country comparison to the world: 1
Ports and terminals:
major seaport(s): Balboa, Colon, Cristobal
container port(s) (TEUs): Balboa (3,232,265), Colon (2,390,976), Manzanillo (2,391,066)
