He US dollars quoted at the end 1 Balboa on averagewhich marked a 0% change compared to the previous session’s value when he marked 1 Balboa, reported Dow Jones.
Regarding the last seven days, the US dollars accumulates an increase of 2.2%, which is why it still accumulates an increase of 1 year 2.29%.
Compared to the previous days, two consecutive dates were chained together without a clear trend emerging. As for the volatility of these seven days, it is lower than the figures achieved last year (16.25%), so the price at this time has less fluctuations than expected.
According to forecasts, by 2025 Panama will be a country with a solid and growing economy. Various international financial organizations and economic analysts agree that the country will see sustained growth in its gross domestic product (GDP).
JP Morgan and Moody’s forecasts are for growth of 5.2% and 4.5% respectively. Other organizations such as the World Bank, ECLAC and the IMF also expect positive growth for 2025 with more moderate figures, with estimates ranging between 2.5% and 3.5%.
According to financial institutions, the optimism is based on the country’s diversified economy, where the services and construction sectors are traditionally strong. Other sectors such as electricity and water supply, trade, arts and entertainment, transportation and storage also contribute significantly to economic growth. In addition, thanks to the stability of dollarization, Panama benefits from low and controlled inflation.
While average inflation in Latin America was 5.2 percent in July 2024, Panama only recorded inflation of 1.1 percent.
The Panamanian government is also taking measures to strengthen the economy and lay the foundation for sustainable growth. The Ministry of Economic Affairs and Finance has implemented measures to curb spending and has committed to a transparent and reliable budget by 2025.
The Panamanian Balboa is the legal currency in Panama and is abbreviated PAB; It is divided into 100 cents and is characterized by the fact that it is not an independent money, but a local version of the US dollar.
The Panamanian government issues its own currencies in cents and balboas, which are equivalent to the dollar, although these currencies are not accepted in the United States. Again, this is not an isolated case as the Tuvaluan and Kiribati dollars have the same relationship with the Australian dollar.
This connection with the US dollar took place in 1904 following the National Convention of Panama. Later, in 2010, the One Balboa coin came into circulation, with 40 million units issued.
Panamanians did not take kindly to this new currency and blamed its forced use to the detriment of the US banknote, which is why the currency was named “Martinelli” in reference to Panamanian President Ricardo Martinelli, who promoted it.
An attempt was also made to produce two and five Balboa coins, but the project was later canceled. There are currently coins in circulation at one and five hundredths; a tenth, a quarter and a half of a balboa and a balboa.
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