Panama is located in Central America, bordering both the Caribbean Sea and the Pacific Ocean, between Colombia and Costa Rica. The country has been an independent nation since 1903, and in 1999 it took ownership, control and administration of the canal and associated lands and buildings. Its capital is Panama City.

Panama's economy is mainly service-based, heavily weighted toward banking, commerce, tourism, trading and private industries because of its key geographic location. The handover of the canal and military installations by the United States has given rise to new construction projects, following the decision to expand the canal with a third set of locks at a cost of around USD5 billion.

Panama’s position in the South American market has strengthened enormously over the past decade. It has been described as “one of the most vibrant economies in the region” with a booming construction sector and strong domestic demand. Whilst the western world is struggling to avoid a recession, Panama achieved GDP growth of 11.2% in 2007 and is forecast to achieve growth of 8.5% in 2008, and 7.2% in 2009.

The Colón Free Trade Zone is the largest in the Western Hemisphere, and accounts for almost all of Panama's exports and more than half of its imports. Panama's economy is also very much supported by the trade and exportation of coffee. The Panamanian currency is the balboa, fixed at parity with the United States dollar.

Panama is one of the most developed countries in Central America, boasting one of the most stable economies and a rapid tourism growth in the Americas. It enjoys a young, new and healthy democracy. It is considered a safe, peaceful and prosperous nation.

Cayman National Bank Ltd., Oficina de Representación
Ocean Business Plaza, Oficina 1502, Calle 47 y Aquilino de la Guardia, Marbella, Panamá, Republica de Panamá

Tel: 011 (507) 340-6282 Fax 011 (507) 340-6283
Web: www.caymannational.com

Please contact:
Carlos Guzman, SVP Latin America
Email: carlos.guzman@cnifs.com
Direct Line: 011 (507) 340-6284