C/A Deficit To Remain Muted

Despite a projected widening of Panama's merchandise trade deficit over the next several years, we believe that a strong service balance surplus will prevent an escalation of the current account deficit. While we project a current account deficit of 8.4% of GDP this year, we don't see the current account heading into the double-digit shortfall seen in 2008 over our forecast period.

To read the full article, please choose one of the following options: