The economy of Panama advanced 2.96 percent year-on-year in October of 2018, slower than a 3.82 percent rise in the prior month. Considering the January to October period of 2018, the economy advanced 3.14 percent (vs 3.17 percent through September), mainly driven by growth in transport (mainly in Panama Canal), storage and communications, electricity and water (mainly renewable energy: hydraulic, wind and solar), and commerce (Zona Libre de Colon). On the other hand, entertainment and fun, construction, mining and fishing registered declines. Leading Economic Index in Panama averaged 6.39 percent from 2007 until 2018, reaching an all time high of 15.69 percent in April of 2008 and a record low of -2.26 percent in August of 2009.
Leading Economic Index in Panama is expected to be 4.40 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Leading Economic Index in Panama to stand at 5.20 in 12 months time. In the long-term, the Panama Economic Activity Index YoY Change is projected to trend around 5.30 percent in 2020, according to our econometric models.