Before the COVID-19 pandemic-induced economic crisis, Panama boasted one of the strongest growth rates in Latin America and the Caribbean. Between 2014 and 2019, Panama’s economy expanded by an average of 4.7% annually, compared to the 0.9% growth rate for the LAC region.

Panama is an active member of various international organizations, including the United Nations General Assembly, the Organization of American States, and the Latin American Economic System, among others.

The Panama Canal, a 65-kilometer engineering marvel, stands as one of the world's most crucial transportation hubs. It connects the Atlantic and Pacific Oceans, facilitating efficient global trade not just between the Americas but also extending to markets across the USA, East Asia, Europe, and Oceania. Located just 15 minutes from downtown Panama City, the canal is considered one of the Seven Wonders of the Modern World and is often referred to as “the door to the seas and key to the universe.” The canal significantly reduces transit time across the Caribbean Sea and Pacific Ocean, taking ships about eight to ten hours to navigate.

As a high-income country, Panama is emerging as a major commercial and financial services center in the region, with its banking, commerce, and tourism sectors attracting global investors.