Mexico - Panama FTA Now in Effect

Besides generating a predictable impact on trade between the two countries, the FTA brings Panama closer to the Pacific Alliance, a block which has already expressed its willingness to integrate the country.

Tuesday, April 21, 2015

It is estimated that this trade agreement will establish the foundation to create a commercial corridor that allows "... strengthening the position of both countries as privileged platforms for production and distribution of goods and services for both the Americas and for global markets. "

The Mexican authorities stated in an article on Laestrella.com.pa that "... This free trade agreement (FTA) has a special significance because Panama has been the most dynamic economy in the region over the past decade (average annual growth of 9.1% of GDP). In the past 10 years, trade between Mexico and Panama nearly doubled, totalling $1.009 billion in 2014, making the country the fourth largest trading partner in Central Mexico. "

"... With the backing of Mexico, Panama is closer to joining the Pacific Alliance (PA), a regional integration initiative created in 2011 and comprised of Chile, Colombia, Mexico and Peru, who have a free flow of goods, services, capital and people in favor of their development. These four nations together total 40% of the GDP of Latin America and the trade between the members is 4% a year. "

See the decree here

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