IMF Sees Inflation Risk for Panama

IMF managing director Dominique Strauss-Kahn warned that inflationary pressures for Panama could intensify due to higher global commodity prices, low unemployment and the country’s ambitious public investment program. Nevertheless, he says Panama will continue to be among the fastest growing economies in the Americas. Panama’s GDP grew 7% in 2010 and is expected to see strong growth in 2011. IMF reports indicate it expects Panama’s GDP to grow 6.3% in 2011.