PANAMA:

BUSINESS OPPORTUNITIES UPCOMING EVENTS 18 AUG 09

The new government's challenges

The magnate of retail sales, Ricardo Martinelli, receives a country with many hopes and challenges

The businessman Ricardo Martinelli assumes this July 1 the Presidency of the Republic of Panama with an overwhelming mandate of over 60% of the population, who are hoping that he will successfully face the economic slowdown triggered by the global crisis.

Analysts point out that the magnate, owner of the chain of "Supermarket 99", will have as main challenges on his government for the next five years the education, health, public safety, public transportation, the reduction of poverty and obtaining the ratification of the Treaty of Commercial Promotion with the United States (TPC). Also included in the list are issues such as a tax reform and a plan for public investment.

EDUCATION

In education, Martinelli has committed to establishing a scholarship program at National level for all young people with low income up to 18 years of age, to insure high school education of all Panamanians. In his view, study plans have to be renovated according to the needs of businesses to give young people opportunities to obtain a well paying job. It is also necessary to develop new technology platforms that support the work and new working practices for young people.

Martinelli wants to help with a college scholarship those unable to enter public universities for lack of space and validate social service as work experience.

SECURITY

In addition, the security plan of Martinelli consists of a criminological policy based on prevention, repression, rehabilitation and integration. Prevention through education and family integration, reactivating the program "Vecinos Vigilantes" (mutual help of citizens in a neighborhood to prevent robberies and thefts). Repression includes the establishment of quarters under the command of a commissioner of the Police in the areas defined as high levels of violence.

His proposal includes increasing police presence on the streets with better equipment and working conditions.

TRANSPORTATION

His "star" project is to build a 21.5 km subway in the city of Panama, with an estimated investment of $ 1.1 billion, with the objective of replacing public transportation buses, better known as "Diablos Rojos" (Red Devils).

This project will be funded with current revenues from the budget of the Nation. However, the fact of getting the country into debt has not been discarded or using part of the money from the National savings, by about $ 1.1 billion, deposited into the Fiduciary Fund for Development (FFD).

FINANCES

Martinelli said that he will promote a "deep change of the tax system to increase State revenues" through the "flat tax" (flat rate tax system that encourages private saving and business capital formation (investment)) and will urge "a massive program of infrastructure" through concessions to private enterprises.

The new President explained that he is not willing to change the regime of banking secrecy and fiscal territoriality in use in Panama but says yes to the increase and reduction of taxes proportionally, according to income level. He has also announced that he will continue developing the

Tourism Master Plan (2007-2020), to empower this activity, which has become the main generator of foreign exchange in the country, with over $ 2.2 billion in 2008.

INTERNATIONAL COMMERCE

Regarding international policy he expressed his desire to maintain "excellent relations" with "the mother country" (Spain) and the U.S., the two largest foreign investors in Panama.

Another of the pending issues that the government of Ricardo Martinelli assumes is the ratification of the TPC by the United States; which now calls for certain reforms to the labor code and the signing of an agreement of exchange of tax information, which is also required by the Organization for the Cooperation and Economic Development (OECD).

In total, there are seven changes demanded by Democrats in the labor issue, amongst them: reducing to 20 employees as a minimum to establish a union and recognize the

right to strike in the Panama Canal Authority, which is currently forbidden by constitutional disposition to ensure its continuous operation.

Remittances are growing Remissions help promote small businesses

At the conclusion of 2008 , remissions sent from Panama generated some US $ 202 million and at the first quarter of 2009, the figure reaches about US$ 56 million

The behavior of remissions in Panama, as anywhere in the world, depends mostly on the entry and exit of foreigners in the country. As we have noticed, there are a lot of foreigners visiting and migrating the country and this, in turn, are the reasons that may be affecting the remissions.

In Panama, for the first quarter of 2009 there was an increase of 23.3% in the sending of remissions compared to the same period of 2008. However, the receipt of remissions has not gone well since it reflects a decrease of 17% from the same period of 2008. However, operators of houses of remittals expect that this number will change according to the signs of improvement that the global economy will provide.

At the conclusion of 2008, remissions from Panama generated some US$ 202 million and for the first quarter of 2009, the figure reaches about US $ 56 million.

So far this year, the sending of remittals is showing positive figures, making a difference, since receiving always exceeded the sending of remissions, according to historical data of the first quarter of the last four years.

The list of countries with higher submittal are: Colombia with US $ 23 million, The United States with US $ 6.4 million, Peru with US $ 2.8 million and Dominican Republic with US $ 2.1 million, according to figures from the first quarter of the Ministry of Commerce and Industry (MICI).

While the destinations with greater reception are: The United States with US$ 20 million, Colombia with US $ 2.3 million and Costa Rica with US $ 1.6 million. And this may be supported by the increase of foreign citizens, hypothesis backed up by the statistics of the Comptroller General of the Republic (CGR), which reflect that in May 2009, the entry of passengers from abroad accounted for 1,384 people, in other words, 127 additional people compared to the same month in 2008.

MICI authorities initiated an analysis to determine the source of origin of remissions from Panama, in order to ascertain whether these are resources of foreign citizens who are working in Panama or if they come from their relatives' reserves (savings). Vice Minister of Commerce and Industry, Ricardo Quijano, reported that they are studying the law governing the activities of companies which includes financial remissions, because it is a rather ambiguous norm, "we have in mind to formalize a legal document that can clearly categorize with greater accuracy and greater benefits to all parties, mainly the user". The companies dedicated to the remittals activity have introduced a number of changes to maintain and improve services such as home attention and the integration of technology so the service can be more efficient and expeditious.

Panama has 11 companies licensed to engage in both sending and receiving money.

One such company is Monygran, which according to its manager Rolando Nuñez, the activity continues, and sending remissions abroad recorded an increase of 20% to the company, a higher increase over last year. The receipt of remittances is lower, but reasonable. In his view, the industry has remained the same since this is a country that has suffered in a smaller scale the international financial crisis. The company and its subsidiaries abroad have innovated to provide the service at home, mainly in areas where there is a greater presence of Latin Americans.

The manager of Universal de Giros, María Parra de Martínez, agreed with Nuñez, saying that when it comes to sending and receiving remissions there´s a tendency for increase.

She also indicated that the company has felt the need to introduce technology to improve the service.

Remissions in Central America

To find out who is the leader in the receipt of remissions in Central America there are some indicators in particular. For the Central American Institute of Fiscal Studies (Icefi), Guatemala, according to the amount of remissions, continues to be the country that receives most of its resources from migrants, about US $ 4.31 billion in 2008, and in June 2009, it received US $ 1.93 billion. As for what has been received in June 2009, El Salvador follows with (US $ 1.73 billion) and Honduras (US $ 1.21 billion). But if the analysis is done according to the Gross Domestic Product (GDP), Honduras is in the first place, where remissions amounted 19.2% of the GDP in Honduras in 2008. El Salvador follows with 17.1% of the GDP and Nicaragua (12.9% of GDP).

Icefi researcher, Jonathan Menkos, said that if measured by the indicator of remissions per capita, then it turns out that El Salvador is the country which received approximately US $ 654.8 per year per inhabitant. Honduras follows (US $ 353.1) and Guatemala (US $ 315.5).

According to the study of the Economic Commission for Latin America (ECLA), 80% of global remissions are concentrated in 20 countries. India is the number one recipient, followed by Mexico and the Philippines. From Latin America and the Caribbean also stand out in this list: the Dominican Republic, El Salvador, Colombia, Ecuador and Brazil. Remissions have been a study indicator used by international agencies like the World Bank, the Interamerican Development Bank, and the Multilateral and Investment Fund, among others.

Ecological route between two oceans This project will provide ethnic, archaeological and natural attractions

More than four years ago a group of six Panamanian tourism entrepreneurs began promoting what they called The Ecological Route between two Oceans, to promote Panama as an international destination and increase the flow of visitors to the country.

Ana Cecilia Young, one of the promoters of this project, explained that the nature trail is a tour through the natural attractions of the country whose ecological biodiversity arouses as much interest as its beaches and tropical landscapes.

Young, Director of EcoCircuitos Panama, one of the six companies involved in the plan, said that the biological corridor between the North and South coasts of Panama, encompasses one of the richest and most exotic diversity of wildlife in the planet. It consists of a sequence of connected natural areas that allow a constant flow of wildlife of all types, easily observed by the traveler.

This initiative has been approved by the Inter-American Development Bank (IDB), the Agency for International Development (USAID) and the government's program for investment: "Compite Panama".

All of the companies are tour operators and have their market niche. These include: ECO Circuitos Panama, Experience Panama, Margo Tours, Turista International S.A. Vacaciones & Arian `s Tours.

The idea is to have a more attractive offer for the market. In this project there are ethnic, archaeological and natural attractions provided. It is currently promoted in European, North America and Latin American markets with great success, since the operators have achieved more than a 10% increase in sales.

Another progress of the project is that promoter entrepreneurs have developed software for reservations, prices and transactions, which did not exist before.

Each company developed its own mechanisms for promotion and turned the Ecologic Route between two Oceans into a "brand" internationally recognized.

Depending on what people like, tourists will usually look for a new experience and often combine it with other destinations. For example, if he comes from visiting a Mayan culture in Guatemala, here in Panama he will search for something similar.

Therefore, the Ecologic Route has been divided in thematic trails : colonial Canal, ecological, ethnic and the one which is undoubtedly one of the main attractions for most tourists: the Panama Canal, its history, its landscapes and its accessibility.

It is also the backbone of this route between the two oceans. Ships of all nationalities go through what was once part of the original channel of the Chagres River.

The cost of the tours also depends on what the tourists like. The experience might take seven days and visit all the area including the Ecological Route. The tour begins in the

City of Panama, in the Pacific, ending at some point of interest in the province of Colón in the Atlantic.

You also have the opportunity to make a trip to Barro Colorado, where the Smithsonian Institute is developing some of its most important investigations. Another alternative is to see the Panama Canal or take a tour on the Crosses Road that was built by Captain Gaspar de Espinosa, by opening and paving with stones a trail in the forest with the help of 4,000 Indian slaves.

In addition, you can observe birds in the Soberanía National Park, trails, plants, and the pipelines, which have the world record for number of species observed in a single day.

If you prefer, you have the option to visit the Miraflores Locks, Pedro Miguel and Gatún, where you can observe the entry and departure of ships or take the transcontinental train to Colón and visit San Lorenzo, which was built during the colony to face the attacks and plunder of pirates. It was a zone that functioned as transit of merchandise and gold for Spain.

International Book Fair will include more than 50 writers

Organizers expect record-breaking sales and support of the general public

Some 50 authors and exhibitors will gather at the V version of the International Book Fair to be held in Panama from next August 19 to 23, including Peru as an invited country, which has a plentiful history in the world of letters. And to prove it, their representatives will bring from their country major exponents of literature such as Alonso Cueto, Antonio Cisneros, and Cecilia Podestá, among others.

In addition, a homage will be offered to the writer who used to call himself Inca Garcilaso de la Vega, whose real name was Gómez Suárez de Figueroa, whose works have more than 400 years of validity.

But this is a small sample of what the International Book Fair will include. This year it promises to offer the attendees some innovations such as tastings by a chef specialized in Peruvian food, an itinerant exhibition of works, photographs authorized by Peruvian writer Mario Vargas Llosa, a children's pavilion, and theater plays, among other activities.

The exhibition event which will be held at the Atlantic Pacific Convention Center (Atlapa) opens its doors to both domestic and international authors, not only seeking to publicize the works of long time writers , but of those that are beginning to bear their first steps in the industry of literature.

According to event organizers, this International Book Fair will be attended by 50 writers and exhibitors, by more than 60 commercial houses, which is mirrored in sales of space to date, covering 95%.

The president of the Panamanian Chamber of the Book, René Avila, reported that this year they hope to exceed the goal and achieve the admittance of 70,000 people, between children and adults, and sell over 15,000 copies.

Although he acknowledged that this year has been difficult because of the economic situation we live globally, he hopes that the predictions of the promising future will encourage even more attendance to the fair.

According to figures from last year's event, close to 50,000 people attended the fair and about 15,000 copies were sold which amounts to approximately U.S. $ 250,000.

A study by the Regional Center for Book Fomentation in Latin America and the Caribbean, published in June 2008 sustains that during the last half of 2007, over 50% of companies had increases in their sales of books preferably linked to issues of teaching English, self help, pocket books and those of children's literature.

Avila noted that contrary to what is perceived, Panama offers competitive prices in its books, compared to those offered by countries like Mexico and Colombia.

More Guests In addition to writers from the land of the Incas (Peru), the event will also gather writers from the United States, Argentina, Mexico, Spain and Colombia, such as Daniel Samper, who is also a lawyer and a journalist.

It will also include the participation of Juan Hugo Salinas, an important figure of the news network RCN; and of Isabela Santo Domínguez, author of the book "Los Hombres las Prefieren Bruta"(Men prefer them Brute). Among the national writers are: Irma Herrera, Elsi Lescure and Carlos Winter.

The president of the Panamanian Chamber of the Book highlighted that they have the involvement of young talents that are not as advertised, because they lack the resources for this purpose.

This event, in addition to being a showcase of art, specifically literature, also opens the opportunity for visitors to attend the workshops offered by the authors of the different works. The audience will have access to all this with the payment of $ 2.50 for adults, and $ 1.00 for children.

Part of these funds will be used on donations to libraries, prisons and schools.

Panamanian GDP increases slightly 29 June, 2009 12:00:00 Editorial / The Panama Post the.panama.post@rimolamedios.com

The Panamanian economy grew 2.5% in the first quarter of 2009, compared to the same period of 2008, despite the global slowdown, indicated the National Institute of Statistics and Census (INEC).

Between the first quarter of 2008 and 2009, the hotels and restaurants sector grew 5% from $ 128.2 to $ 134.6 million; while transport, storage and communications went up by 6%, from $ 945.7 to ´more than $ 1 billion; and as far as construction, it rose 24.3% from $ 240.2 to $ 298.7 million. Real estate, entrepreneurial and renting activities rose 7.75%, from $ 416.3 to $ 448.6 million, among others.

The main areas where GDP contracted in the same period are agriculture, cattle rising and forestry 17.78%, from $ 219.3 to $ 180.3 million; commerce 9.96%, from $ 587.9 to $ 529.3 million; and fishing 4.43%, from $ 83.4 to $ 79.7 million.

The outgoing government of President Martín Torrijos and the new administration of Ricardo Martinelli have driven the approval of a law that will allow to increase the fiscal deficit, from the current 1% to 2.5%, equivalent to about $ 600 million in 2009, in order to address the economic slowdown; in addition to other credit facilities to encourage trade through low interest loans from private and State banks.

Panama develops movie industry

The international film industry sets its eyes on Panama with the new law on incentives.

From January to March 2009, the Film Commission recorded eight international productions for $ 5.8 million

Panama has emerged as a destination for international films, and in the first quarter of 2009, eight productions had already been done, with an investment of $ 5.8 million, driven by the outlay environment created by the Film Law and its regulations.

Before the creation of the law, all kinds of cinema and audiovisual productions had already been filmed, such as realities, documentaries, soap operas and television and international television series from companies of North America, Europe, South America and Asia. Aiming to promote and develop the cinematographic and audiovisual industry in Panama, the Act No. 36 of 2007 was created, which was regulated through the Executive Decree No. 34 of May 4, 2009 and published in the Official Gazette on June 1st, 2009.

During the first quarter of 2009, the Film Commission of Panama recorded eight documentary productions and television series. Additional to this, two motion picture films are in the preproduction stage. Locations such as Panama, Coclé, Darién, Kuna Yala, Colón and the Archipelago of Las Perlas (Pacific Coast) were used for this purpose. It is estimated that around 328 direct jobs were generated and the triple of that were indirect ones.

Joint Initiative

Enrique Noel, director of legal counsel of the State System of Radio and Television (SERTV), indicated that Act 36 emerges from the effort of several entities such as: the Cinematographic Association of Panama (ASOCINE), union that represents film producers to promote this industry in the country as well as the Ministry of Commerce and Industries (MICI).

The chapter on promoting local cinema was drafted at SERTV for the law; while the section for attraction of foreign investment went to MICI. Noel argued that bringing foreign investment to the film industry is important since the Panamanian technician gets involved, is trained and improves, creating an attractive work offer for the international producer.

"What the producer is interested in is to have trained workforce and a less expensive production," he said. He explained that one of the "most important aspects of the law is the creation for the first time, of a Fund for the National Cinematographic and Audiovisual Development", which amount has not yet been set. This fund will be administered by the National Culture Institute (INAC) and destined to fund activities for completion, production, distribution and exhibition of the Panamanian cinematographic and audiovisual films.

ASOCINE's opinion Luis Pacheco, President of ASOCINE, said that this fund will be mainly supplied by the State budget through the INAC, and that to his judgment it should be around $ 3 million in its first year. He added that Act 36 is an important step for a country that wishes to promote the movies and explained that, currently there are 12 Panamanian movies in production that will show the country at international festivals. The businessman explained that the Vice-Ministry of Foreign Commerce is responsible for the film industry and INAC for the administration of the fund.

"This is a very critical and important issue for national filmmakers, and for the 12 national movies that are in the process of going out to the market," Pacheco said. In an announcement by ASOCINE it is indicated, that by regulation, the Film Commission of the Vice-Ministry of Foreign Commerce was created, responsible for the development of national cinema and its representations abroad such as, Ibermedia Program (actually represented by SERTV) and the Audiovisual and Cinematographic Conference of Ibero-America (CAACI).

Pacheco added that the regulations provide various incentives for foreign companies and local productions have the fund and the screen quota (an obligation to include 10% of Panamanian production in the programming of cinemas).

The MICI confirmed in a statement the new functions of the Vice-Ministry of Foreign Commerce and the INAC regarding the film industry.

Results of this industry

• In 2008, 328 direct jobs were generated in productions, while so far in 2009 the figure reached 459 direct jobs.

• In 2008 the revenue generated by this industry in Panama was $ 17 million. • In June 2009, the figure reaches $ 8.3 million. • In 2008, 22 national productions were recorded and as of June 2009, 12 have been

made. • Productions of high-level have been developed in the country: Quantum of

Solace, The Lost Tribe, the soap opera Pobre Millonaira (Poor Millionaire), documentaries such as Perilous Journey of the National Geographic channel, MTV Road Rules Challenge and Desafío Caracol (Snail Challenge).

• Panama can be considered a paradise of reality Survivor since four versions Survivor Serbia, Bulgaria, Russia and Israel have already been filmed, which together have made an investment of about $ 3.3 million, in addition to generating around 120 jobs per show.

• Other productions include the movie Chance of the producer Abner Benaim, in co-production with Apertura Films and Rio Negro Productions.

Panama after becoming home of international conferences

A new convention center to be built

Many conferences of professional associations, businesses, scientific and social sciences, are held in Panama

Panama has several advantages to become a home for meetings and conventions at a regional level due to its geographical position in the center and crossroad of the Continent, its modern infrastructure and services for meetings and events: convention centers and world class hotels.

Also, because of its condition of financial logistical center and of international businesses and trade, its flights´ connectivity with the rest of the Continent and the world- mainly through the hub of the Americas operated by Copa- and its tourist attractions: nature, history and culture.

Diego Fernández de Córdoba, President of the Convention and Visitors Bureau of Panama described the country's current situation in this area as positive. However, he acknowledged that the effects of the global economic crisis have hit this sector particularly with a declining number of participants in previously programmed events.

Many professional associations, businesses, scientific and social sciences conferences are held in Panama. Among them, outstand the financial and medical sectors. According to Fernández de Córdoba there are no reliable statistics which include everything that qualifies as international meetings and events. However, he argued that an indicator of this is the amount of demand for rooms and facilities in hotels and convention centers where space is difficult to obtain, although that includes also local events.

It is estimated that each year, in Panama take place between 25 to 30 conferences. A new center On his part, Salo Shamah, General Manager of the Tourism Authority of Panama (ATP), said that Panama as a hub of the Americas is the perfect place to have several convention centers.

He explained that in the case of the Atlapa Convention Center, it has a good location but has remained small because it can shelter only do one event at a time. The center is busy almost every day of the year and a third part of this time is being assembled and dissembled. "It is not actually efficient," said the Manager.

Shamah explained that if they had a rectangular convention center modularly divided and acoustically stable, they could make different events simultaneously. Therefore, there have been initiatives to build a new conference center. The Manager of ATP commented that he participates in the commission for the creation of a new center.

So far, there have been talks and there was even a meeting with architects from the United States who have a record in convention centers and skyscrapers.

The location of the new convention center is being evaluated, since it has to be a place that can be expanded, which could include hotels of 500 to 1,000 rooms. "It's a macro project that the administration of the current government wants to complete", he said.

On his part, Fernández de Córdoba explained he agreed to build a new convention center if it has an ideal location and its planning is according to appropriate technical parameters.

Meanwhile, Javier Montilla, Regional Director of Congrex, believes that the construction of a new conference center is what the country needs, more options to improve the offer.

"Not just one would be built, but several, according to the development plans of the regions, since it must be integral; more convention centers generate more events, more demand for aircraft seats, hotel rooms, services; adding is good. Increased demand, higher income, better opportunities for the Industry and thus for the population", he said. Congrex is dedicated to planning, promoting, marketing, organizing and coordinating national and international events in Panama and Latin America.

Challenges For Fernández de Córdoba, the country has many challenges such as the international promotion addressed to this segment of tourism, in a coordinated manner between the ATP and the guild it represents. He added that we must improve the management, operation and maintenance of the Atlapa Convention Center to fulfill its mission of hosting international events rather than local events. Montilla pointed out that Panama lacks infrastructure in terms of places to hold events. The current convention centers are mostly in hotels and don´t a have great capacity. The interior of the country is not developed in tourism matter, or for events, which considerably limits the options (see box: Supply).

Montilla believes that one of the challenges the country faces is to have a larger number of conference or meeting centers with adequate dimensions to attract events exceeding 4,000 people. "This would place Panama on the map of worldwide events, such as the global AIDS conference, gastroenterology, Latin American and World pediatrics, and cardiology", said the executive. Installed Capacity In Panama there are currently two convention centers: a state-owned, Atlapa, able to hold meetings as well as exhibitions or fairs, and a private one: the Figali, designed mostly for fairs and multipurpose (see box: Supply).

"Neither is currently operating as centers of international events and mainly hold local events that do not bring foreign exchange to the country or contribute to hotel occupancy or other tourist demands for services", said Fernández de Córdoba.

Actions Fernández de Córdoba said that the Convention and Visitors Bureau of Panama is a cooperative organism of the private sector dedicated to generate request initiatives with local associations and attend specialized fairs abroad to promote the country as a destination for tourism events and meetings, the latter in collaboration with the ATP. Montilla said that the work of the Convention and Visitors Bureau of Panama is to work on private and government initiatives to encourage corporations, associations and governments to hold their events in Panama.

The initiatives are set in advance in order to prepare marketing and sales campaigns that are more aggressive and can place Panama on the map of world events. This is achieved through direct marketing, presence at fairs where the decision on the venues for events are made, and orchestrated media campaigns instead of isolated ones.

ATLAPA Humberto Aranguren, General Director of Atlapa, explained that this convention center was built 28 years ago and it´s a facility that needs maintenance to operate and keep a nice image both for national and international users. The historic shortage is that the center has not received any support in maintenance, but despite this, it remains in acceptable conditions.

The restructuring plan of Atlapa aims to convert this facility into a convention station with a first world image. A diagnosis has already been made to resolve the crisis of damaged physical or structural aspects such as air conditioning, theater equipment, sound, lighting, technology, and to improve its security. From the standpoint of equipment it´s estimated that an investment of US$ 6 million to US$ 8 million is needed. They hope to work with a payroll of 150 skilled bilingual agents, distributed among maintenance, theater, logistics, operations, and others. There are 130 people currently working at Atlapa. Aranguren said that 98% of the calendar days, the center remains

busy. However, what they want is to improve the quality of events and receive international conventions of 4,000 to 5,000 people.

The idea is to develop international conventions in the future, for Panama to be chosen to develop this kind of international events. Fernández de Córdoba argues that the administration of Atlapa should be privatized to ensure an efficient and profitable operation for the State. He also said he agreed to improve the convention center, renewing its facilities and amenities. If they give it an extension, this will depend on the construction of another center, newer and more modern, with more suited dimensions for current and future demands.

Supply * According to the website of the Bureau of Panama Conventions www.panamaconventions.com, there are at least 14 hotel chains with rooms for conferences, fairs and more. Some of these hotels are:

• Hotel El Panama: It has a convention center with 30 available meeting rooms and capacity for up to 3,000 people.

• Sheraton Panama Hotel & Convention Center: Has 12 meeting rooms. • Riande Continental Casino Arlequín: It has 16 rooms with capacity for up to

1,500 people. • Marriott Hotels: It has 15 banquets´ rooms and other events. • InterContinental Miramar Panama: Has 17 meeting rooms. • InterContinental Playa Bonita Resort & Spa: 12,500 square feet of meeting space

/ seven rooms of various sizes. • Crowne Plaza: Hotel with five rooms with capacity for up to 200 people. • Gamboa Rainforest Resort: Hotel with 2,751 square meters of space, distributed

in eight halls with a capacity for up to 400 people. • Convention Center Atlapa: It has 24 meeting rooms. Theater / auditorium with

capacity for 2,806 people and a hall of 34.445 square feet, free of columns. • Figali Convention Center has over 20,000 square meters for events, and 800

square meter halls for congresses, corporate meetings and others.

Panama arouses interest as stock market

Registration of issuers increased

With ten years as the regulatory body the entity prepares to take on new challenges according to the international trends

The National Securities Commission (CNV) has just completed ten years of operation, but away from the festivities, the regulator of the Panamanian stock market prepares to introduce a series of adjustments with the goal of strengthening the market. The stock market whose main protagonists are the issuers, intermediaries and investors, remains active. The CNV has registered 98 issuers, with 46 additional securities houses, 23 not private investment companies, three pension fund administrators and the Panama Stock Exchange, additional supplements that drive the market for local securities.

The activity in the stock market remains active and has gained prominence for businesses as an alternative source to obtain funding.

Recent figures from CNV show that from July 2 to 6, the total of registered securities is $ 514,975 million and that there are $ 289.146 million under procedures. But the accomplished achievements are also due to the sustained growth of international stock markets, mainly the U.S. market, driven by the growth of technology companies, investment services to serve the industry and the number of securities houses that are set in Panama to offer services, either directly or through local and foreign banking institutions.

At the head of the CNV is Juan Manuel Martans, a lawyer with experience not only in the local financial market, but internationally, and who worked at the Colombian Institute of Administration and the Stock Exchange of Bogotá.

Martans, appointed as President Commissioner for the period 2007 to 2012, confirmed the dynamism that the stock market activity maintains and the interest Panama generates for foreign companies as an exchange market.

The executive stressed that the CNV is in a review process of some regulations in order to adapt to changes facing the global financial market.

To deepen on these regulations, the performance of stock markets and its expectations, Juan Manuel Martans spoke with The Panama Post on this matter.

How is the Panamanian stock market? It is a market that is growing and this is noted with the entry of new investors, and new emissions. This fact demands oversight and monitoring more closely the operations that these investors perform.

What new strategies are being adopted today by the National Securities Commission? We are about to adopt new rules in the capital market, is a fairly broad issue in the stock market. We are analyzing the rules that relate to obtaining licenses for operation of the securities houses to be more expeditious. We have also submitted for public consultation a project addressing foreign securities houses that wish to conduct remote negotiations with countries that have recognized jurisdictions. The purpose of this project is to provide greater liquidity to the stock market, increase the volume of transactions and promote the local stock market.

What are the advantages offered by the CNV to the market players? One of the advantages that the CNV offers is the law that allows foreign companies linked to stock market activity to conduct operations from Panama to other latitudes. It´s not like other legislations in the area that when they grant a license to a security house is just to perform operations in the country.

Laws regulating stock market activity offer security and transparency for those wishing to start operations in the country.

What do you define as the main achievements of the CNV? Among the achievements we can mention supervision, which has been a very important factor in market promotion. Agents regulated by the commission have led their processes to the level of disclosing all their financial information in order for the market to be fully confident in the processes being undertaken by the commission. Confidence is undoubtedly a cornerstone in the stock market.

What are the objectives of the CNV in the long term? The objectives are to continue regulating, supervising and promoting the market. Our intention is to issue new rules. In the short to medium term we are about to modernize and update rules that have long been issued. We are also about to issue new figures such as the remote operator.