Panama has made significant strides in economic growth over recent decades, resulting in a notable decrease in poverty levels. Despite these achievements, the country still faces substantial inequality challenges. For instance, while urban poverty was recorded at 4.8% in 2023, it soared to 76% within indigenous comarcas.
The World Bank's report titled “Panama: From Growth to Prosperity” delves into these issues. It examines the dynamics of poverty and inequality over the past 15 years, emphasizing territorial disparities, human capital's role, labor market conditions for equity, and social protection measures aimed at reducing household risks.
The report suggests that Panama should prioritize access to basic services, expand quality job opportunities, enhance human capital development, and promote household resilience as key policies. These efforts are essential for addressing poverty and inequality both in the short term and through structural changes over the medium and long term.