Weekly Report - 01 October 2026 (WR-26-39)

PANAMA | S&P reaffirms investment grade. On 22 September international credit rating agency Standard & Poor’s (S&P) reaffirmed its ‘BBB-’ long-term and ‘A-3’ short-term foreign and local currency sovereign credit ratings on Panama. S&P forecasts growth of 4.5% in 2026, “one of the fastest rates among Latin American peers”, which alongside a proactive fiscal policy is helping to reduce the country’s fiscal deficit and “stabilising public finances”. However, S&P says that net general government debt, which it expects to stabilise at about 55% of GDP, and external debt remain at record-high levels.

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