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Submitted January 15, 2025
Published 2025-01-20

Artículos

Vol. 5 (2025): DÉconomía

Risk rating, investment grade and its Repercussions on the Finance of the Republic of Panama


DOI https://doi.org/10.48204/2710-7744.6751

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References
DOI: 10.48204/2710-7744.6751

Published: 2025-01-20

How to Cite

Godoy, C. (2025). Risk rating, investment grade and its Repercussions on the Finance of the Republic of Panama. D´Economía, 5, 141–151. https://doi.org/10.48204/2710-7744.6751

Abstract

This research is an effort to present a summary of the risk assessment in the last five years as a result of the management of Panamanian public finances and the repercussions that could occur in the short and medium term if corrective measures are not made in a timely manner. At the end of 2024, the different risk rating companies could be presenting the evaluation of the credit solvency of our country which within the different scenarios is considered in at least one of the three reference rating agencies that the country could be very close to losing the investment grade.

This entails that important adjustments must be made in the management of public finances, the management of state collections, a significant reduction in subsidies and tax incentives, spending containment, the reform of social security, among other aspects for the year 2025, which would reduce the dynamism of the current government management.