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Panama: Panama Tourism Profile 2012

2012/03/23

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Panama Economy Profile 2012

Analyse of the sector 30/11/2010
Impact of the global recession in Panama
Panama’s economy was one of the fastest growing in the world before the global recession. Growth in recent years was driven by increased canal traffic, construction and investment. The pace of growth, however, fell in 2009. Although the country has attained one of Central America’s highest per capita GDPs, there is a high level of income inequality. Although some financial analysts say that the recession has bottomed out in the US, even the most optimistic expect recovery to be slow and painful.
 
Law Number 8 and Master Tourism Plan 2020 are key
 
Law Number 8 aims to promote and regulate tourist activities in the country. The law, which was passed in 1994, offers tax incentives, which encourage investment in new travel and tourism projects. The Panamanian Government joined forces with private enterprise to create a master plan for tourism in Panama; dubbed “Master Tourism Plan 2020”, the new plan is the primary tourism development plan in Panama and governs development for the next ten years. The main objective of the new plan is to sell Panama as an attractive tourist destination, not only to traditional source countries in North and South America but also to less traditional source countries in Europe and Asia.
 
Luxury tourism grows in importance
 
International promotion is mandatory for all countries wishing to succeed in travel and tourism. A five-year, US$40 million international promotion advertising campaign was launched in 2008, using the slogan, “Panama stays with you.” The idea is to promote Panama, not only as a destination but as an experience. As a key strategy to mitigate the effects of the economic crisis, the Panama Tourism Authorities are seeking to attract “luxury” tourism and luxury, European travellers, in particular. International promotion and the construction of large complexes, including Breezes Superclubs in White Beach, are important steps that will allow Panama to fulfil its luxury destination aspirations.
 
Increasing demand for health tourism in Panama
 
Health tourism is an increasingly popular trend that sees tourists travelling to specific countries for specific health purposes, such as dental treatments or cosmetic surgery. Panama is one of the main countries in Central America that attracts tourists for medical purposes. The main health tourism hospital is Punta Pacífica Hospital, which is affiliated with John Hopkins Medicine International and the World Health Tourism Association. Health tourism is becoming increasingly popular in countries like Panama as it offers doctors and procedures of a similar quality at more affordable prices.