Economy of Panama

Panama is considered to be a developing nation. The developmental stage of a nation is determined by a number of factors including, but not limited to, economic prosperity, life expectancy, income equality, and quality of life. As a developing nation, Panama may not be able to offer consistent social services to its citizens. These social services may include things like public education, reliable healthcare, and law enforcement. Citizens of developing nations may have lower life expectancies than citizens of developed nations. Each year, Panama exports around $18.87 billion and imports roughly $26.61 billion. 5.6% of population in the country are unemployed. The total number of unemployed people in Panama is 233,107. In Panama, 23% of the population lives below the poverty line. The percentage of citizens living below the poverty line in Panama is fairly high, but is not reason for complete concern with regard to investments. Potential financial backers should look at other economic markers, including GDP, urbanization rate, and strength of currency, before making any decisions regarding investments. Government expenditure on education is 3.8% of GDP. The Gini Index of the country is 51.9. Panama is experiencing inequality. The gap between the richest and poorest citizens in this country is significant and obvious, resulting in a drastically different standard of living for rich and poor citizens. Panama has a Human Development Index (HDI) of 0.765. Panama has a high HDI score. This indicates that the majority of citizens will be able to attain a desirable life while providing substantial aid and assistance to citizens with lower living standards. The Global Peace Index (GPI) for Panama is 1.903. Due to strong law enforcement presence and high social responsibility, Panama is very safe by international standards. The strength of legal rights index for Panama is 7. Overall, it is considered to be rather adequate - bancrupcy and collateral laws are able to protect the rights of borrowers and lenders at least decently; credit information is msotly sufficient and generally available.