Macro Watch: Panama

Panama's economic activity index rose 5.20% last year, statistics agency Inec said in a report.

Sectors driving growth included transport, warehousing and communications, construction and mining. Financial intermediation also spurred on the economy, but to a lesser extent, Inec said.

Panama is the region's fastest-growing economy. The IMF estimates that GDP growth for last year will come in at 5.3% and inflation at 1.6%. It forecasts that growth this year will accelerate to 5.6% and that inflation will reach 2.1%.

The World Bank also expects the economy to expand at a pace of 5.6% this year.