Panama: Economic activity loses momentum in December
Latest reading: Economic activity was up 4.0% in annual terms in December, following a 4.4% increase in the previous month. Reexports in the Colón Free Trade Zone declined again in December in annual terms, while banana and seafood exports also contracted. The transport sector remained a key growth driver, supported by Panama Canal activity, although cargo volumes and toll revenues expanded at a slightly slower pace than in November. That said, commercial activity was a notable source of support, underpinned by higher car registrations and fuel sales, as was financial services. Construction also supported economic activity through ongoing civil works, and industry gained from stronger food processing and beverage production.
On a month-on-month basis, economic activity declined 2.3% in December, following a 0.8% fall in the previous month.