As the financial year nears its midway point, and you take a look at how your investments have been doing, it’s time to get your next moves in order. If you’re looking to make a splash in international investing, investing in Panama would be a great start, too. That is, if you’re not investing here already. Panama has a very favorable investment climate, which means investing in Panama is a good buy. There are a number of areas to invest in, some riskier than others, but all with growing opportunities as we head into the new year. Here are some of our thoughts on where you should be investing in Panama in 2019, into next year.
It goes without saying that shipping and logistics are the safest bet for investing in Panama, in 2019 or otherwise. However, 2020 looks like it could be another banner year with the Panama Canal Expansion allowing a ton of new Post Panamax traffic through, which means big business for shipping and logistics companies. It also means big investment opportunities with fuel companies, land freight, and ancillary Canal business all throughout the service sector. This is not just a great current investment, but one of the best sectors for sustained future growth as well.
Panama’s real estate sector continues to amaze as it continues to grow. With investment in Panama real estate opportunity growing all over the country, 2019 has been a fantastic year so far for new property and old property investment. Look for growth in Panama City’s suburbs, and interior in general, as well as beach expansion on the Caribbean coast, and new residential developments in the Canal Zone area, specifically in Balboa and Panama Pacifico. Prices are still relatively low in many places, but they are sure to go up, which means your money should be stable over time.
Every dream of opening a hotel, bed and breakfast, or hostel? Well, this looks like a great time to invest in Panama hotels! Tourism is still strong, and unique hotel projects are dominating the market share. And it’s not just in Panama City. Many people who now travel to Panama come strictly for adventure tourism, meaning that nature/eco lodges are in high demand, as well as low-cost hostel options, and beachfront resorts/hotels. This is heavily tied in with the real estate boom, and demand should keep rising.
See a pattern here? With so many new properties, road projects, highways, subways, and everything under the sun being built in Panama, it’s a no brainer that construction would make the list. Construction in Panama is a fantastic investment, and demand continues to exceed supply. There are so many new projects slated for 2020 and beyond, that this industry is one of the hottest right now when it comes to investment. And it appears it will be that way for many years to come.
Even though it’s been a bit tough the past few years for the reputation of Panama’s financial services industry, it still bodes well for investment as we head into 2020. Panama’s banking industry has shored up regulations to help distance themselves from the Panama Papers scandal. Loans continue to be huge, and Panama is still a strong target for international equity in a number of sectors (many of which are listed above), which makes financial services a great bet in the new year!