Among the sectors leading the decline are manufacturing with an accumulated contraction of 17.3% since November 2007, hotels with 8.7% since February of last year and agriculture, forestry and fisheries with 5.2% since June of last year. The construction and trade sectors have contracted by 4.2% and 3.6% respectively since May 2008.
The recessionary environment at the international level has impacted the sectors related to foreign trade. In turn, the increase in interest rates, credit restriction and lower expected sales by companies are some of the elements that have weakened the economy and will continue generating pressure on economic activity in the coming months.
The most active sectors were: fishing, construction, mining and quarrying, transport, storage and communications, hotels and restaurants, manufacturing and others.
From information published by the Comptroller General of the Republic of Panama:
The Monthly Index of Economic Activity (MIEA) in the Republic, for the cumulative period from January to June 2013, measured in terms of the original series, grew by 6.31% compared to the same period in 2012. The sectors which showed greatest dynamism in the economy were: fishing, construction, mining and quarrying, community, social and personal services, transport, storage and communications, hotels and restaurants, manufacturing, educational services and private health and financial intermediation. The other sectors registered positive results but at a slower pace, with the exception of trade which continued to show a decline, because of limitations in the Colon Free Zone.
The manufacturing sector has accumulated three months of negative interannual variations, which is consistent with the lack of optimism expressed by some businessmen.
From a report on 'Pulso Bursátil', the blog by Aldesa:
After adjustment in the data on economic from the Central Bank, what has emerged is the state of economic downturn being suffered by the country's industrial sector, which has accumulated three months of negative interannual variations, and which in some ways is more consistent with consumer and business confidence levels, which show little optimism.
As of July 2012 the Monthly Economic Activity Index is 4.5%, confirming a slowdown that began five months ago.
An article in Elfinancierocr.com reports that "This is a significant drop since last June as it was thought that the economy would advance at a rate of 5.3%. With the July data the national economic has been slowing down for the last five months, and in March a decline started in the dynamism that had been driven by the manufacturing sector. Increased activity was recorded in February when there was a figure of 7.43% in the variation of the interannual Imae. "
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