President Martin Torrijos Espino, President of the Republic of Panama . Photo by Seeta T. Shaw Roath

Panama is emerging as the region’s largest logistics center and one of the primary multi-modal logistics centers in the world. Micro and macro-economic policies are proving effective, evidenced by growth in the construction and real estate sectors, foreign and local investments, along with international financial and logistics service sectors.

In a message to potential investors, President Martin Torrijos Espino, President of the Republic of Panama, said that Panama’s logistics platform is supported by the Panama Canal, which serves 120 maritime routes for 80 countries around the world.

“We also have the largest merchant fleet in the world under the Panamanian Ship Registry, seven ports including the port with the largest annual movement of containers on the Pacific Coast of Latin America. In addition to the ports, Panama has a trans-isthmian railroad specialized in transporting containers from coast to coast in less than an hour.”

Copa Airlines has established its “Hub of the Americas” in Panama, transporting cargo and passengers to North and South America from the Tocumen Airport, while DHL Global, Caterpillar and other international companies are taking advantage of the global positioning of Panama for cargo and product distribution to Latin America and the rest of the world.

“Panama also has the most prosperous international banking centers in Latin America, making it easier for commercial transactions to be effected in strict fulfillment of international standards and transparency,” said Torrijos. The President added that Panama’s commercial policy would continue to strengthen the country’s economic growth and improve efforts to promote efficiency and competitiveness.

President Torrijos’ economic development strategy is proving fruitful as the economy showed an 8.1 percent growth rate in 2006 and has been projected to grow by 8.5 percent in 2007.

The main focus for President Torrijos, after completing fiscal and social security reforms, which started when he took office in September 2004, is the expansion of the Panama Canal, approved by Panamanians in a national referendum in October 2006.

The expansion of the Canal has fueled the country’s economic development in such sectors as logistics, financial, real estate, tourism and insurance to mention a few.

In preparing the people of Panama to meet the human resources challenges that the canal expansion will bring, President Torrijos is spending billions of dollars on training in such diverse areas as engineering, environmental management, marine training, English language skills, and other educational areas.

President Martin Torrijos’ experience as a transformational leader has its roots not only in his personal family history but also in his academic background.

He received his degree in political science and economics from Texas A & M University in the United States. He also graduated from St John’s Northwestern Military Academy in Wisconsin. He and his wife collaborated closely together in social development programs in Panama before he was elected president of the country.

The constitution of the Republic of Panama vests executive power in a president elected by direct popular suffrage for a five-year term. The president cannot be re-elected to the same office in two consecutive presidential periods. The most recent elections were held in May 2004. The President appoints ministers of state and concludes and signs treaties and other international agreements.