Transport & Logistics

Growing at double-digit rates in each of the past five years apart from 2009, the transportation and logistics sector contributed 24.1% to GDP in 2012 and is identified as one of four pillars of economic growth in the Strategic Economic Plan 2010-14. To secure the future of the sector the administration is investing $9.6bn, equivalent to 70% of public sector investment, from 2010 to 2014 in infrastructure upgrades. Public spending on infrastructure extends well beyond the flagship $5.25bn Panama Canal expansion and includes construction of the Panama City Metro, an overhaul of the road network and upgrades to maritime and airport infrastructure. With a business-friendly regulatory framework and the canal’s ability to attract global trade, Panama is set to continue developing the transport and logistics hub. This chapter includes interviews with Rafael Barcenas, Director-General, Civil Aviation Authority; Daniel Isaza, President, Logistics Business Council; Roberto Roy, Minister for Canal Affairs, and CEO, Metro de Panamá; and Pedro Heilbron, CEO, Copa Airlines.