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This study analyzes the impact of public policies on effective government management in Panama, based on the premise that the quality of the public policy cycle—formulation, implementation, and evaluation—directly influences the performance of the State. The objective was to identify the institutional, administrative, and political factors that affect the effectiveness of public management, as well as to examine the main limitations that affect the government's capacity to generate results oriented toward citizen well-being. The research was conducted using a quantitative, descriptive approach with a non-experimental, cross-sectional design. The sample consisted of 21 professionals from the public, academic, and institutional sectors, selected through purposive non-probability sampling. Data was collected using a structured questionnaire with a Likert scale, organized into five dimensions of analysis. The data were processed using descriptive statistics, including frequencies and percentages. The results show that the public policy formulation phase has made significant progress in defining objectives and using technical evidence. However, weaknesses in implementation have been identified, particularly in budgetary insufficiency, limited inter-institutional coordination, and the influence of political factors. Furthermore, the evaluation of public policies reveals low institutionalization and limited transparency. Regarding the results, a critical perception prevails concerning the improvement of public services, efficiency, and equity. It is concluded that, while there has been progress in the formulation of public policies, structural challenges persist in their implementation and evaluation, limiting the effectiveness of government management. This necessitates strengthening institutional capacities, coordination, and evaluation and transparency mechanisms.