You are here :: Panama Real Estate » Panama-real-estate » Panama-investment

Panama

Panama is a small, beautiful tropical country. Panama is a place that does not get hurricanes nor earthquakes and where you can visit areas of untouched natural beauty an hour or so from a first world city.

Panama's beauty, tropical climate and services attract retirees making it one of the world's premier retirement destinations. But, what about Panama attracts investment?

Investment in Panama

Panama has the highest per capital USA investment of all of Latin America. What attracts investment to Panama and where does the investment in Panama go?

Investment in Panama has traditionally gone to its strongest economic sectors, the services industry including banking, commerce, and tourism. The insurance industry, private health care, and support for container shipping around the Colon Free Zone have been magnets for Panama investment for years.

With the handover of the Panama Canal in 1999 investment in construction has boomed as the perception of Panama as a colony of the United States has dissipated. Now one of the economic problems in Panama is the steadily rising cost of cement as demand for the imported limestone and gypsum derived ingredients exceeds the supply. As talk of a housing bubble gains ground we remind those interested in investment in Panama to think about opportunities related to the infrastructure for transportation and communications.

Panama and Investment in Transportation

Transportation of shipping containers shipping through the Panama Canal is a major part of the Panama economy. With the exodus of the USA from the Panama Canal, Panama is developing the old Panama Canal Zone. New port facilities, expanded container storage facilities with facilities for sorting and reshipping, ship repair facilities are in the works and more are needed. With new offloading facilities more and more containers are transferred boat to boat for transportation from Panama to parts of South America or transportation up the Pan American Highway from Panama into the rest of Central America.

A major investment opportunity in Panama is in the infrastructure for container shipping in the old Panama Canal Zone. Transportation is not just the boats going through the Panama Canal rather the investment opportunities in transportation in Panama include building leasing the facilities for sorting and redirecting of shipments from Asia to South America. Investment opportunities in Panama include the offices for organizing and tracking transportation from Panama up the Pan American Highway into Central America.

As Panama's economy continues to grow and mature the need for well developed communication and transportation systems located in Panama grows. This sort of work requires management, computer facilities, programming, training, and for the foreign investor the development of office parks and other facilities tailored to the needs of Panama's developing transportation and communication needs.

As we can see Panama real estate investment in housing is not the only place to put your money in Panama. Transportation and communications in Panama are and will remain viable investment opportunities in Panama. A recent article from a Jamaican newspaper noted the British Cable and wireless operation in Jamaica and Panama had similar cash flows seven years ago and now Panama's is eight fold that of Jamaica. The strongest factor is this divergence is Panama's thriving commerce and its investment boom.

ABPanama does business throughout Panama and we have been managing real estate portfolios for over 23 years. If you are looking for a current perspective on real estate investment opportunities in Panama, especially as regards Panama's transportation and communication needs come to see us. We love to help our clients prosper in Panama.