August 10, 2011
Apart from some huge news in gold potential, the President of Panama announces
new eases on immigration that may be the beginning of a movement that changes
the face of Panama’s ethnic makeup once again. This week, we also take a look
at the secret buildings that give you all the views of Avenida Balboa without
any of the noise.
Economic Outlook for Panama
There’s gold in them hills!
I’ve written about this subject quite a few times, but once again last week
Panama’s natural resource exports made headlines. This time, it was gold.
Turns out, in the first six months of 2011, the export with the overall highest
market value was gold. The interesting thing about gold exports in Panama is
that we are just starting to see the tip of the iceberg since Petaquilla is
really the only major gold mine operating in Panama so far. There are
currently 176 applications for exploration pending.
“If a single mine is impacting the statistics, what will it be like when the
others are in operation? This could generate a wealth greater than or equal to
that produced by the Panama Canal”, speculated the president of the Panamanian
mining association, Mr. Roberto Cuevas.
Chinese national policy has been to invest in foreign natural resource
deposits, including iron, coal, copper, and gold for the last ten years. A
large part of the (stable) Canadian economy is based on exploiting oil and
natural gas reserves. With gold trading at all time highs, no doubt new
foreign interests will push forward on their plans for mining in Panama, and
with them bring the new infrastructure, workers, and ultimately new revenue
streams to pay for roads, hospitals, schools and hopefully a new park or two.
In other economic news, this past week the rating agency Fitch upgraded
Panama’s investment grade from stable to positive, meaning Panamanian
government bonds are being judged as more secure. Also, the Canal numbers came
out for 2012: Revenue is expected to come in just under $1 Billion dollars
next year! Between the Canal, the upgraded economy, and the potential for gold
exports, Panama continues a dream run of successful benchmarks.
Panama: Now Hiring
Pres. Martinelli insuates some big changes to come
Low unemployment continues to present problems and opportunities in Panama.
During his visit to Spain last month, President Martinelli opened up a very
interesting can of worms related to this current “crisis” in Panama (which, at
this moment, pales in comparison to the problems that the rest of the world is
facing). In a nutshell, the president offered all Spanish citizens already
living in Panama the opportunity to become nationalized and furthermore opened
the doors to a potential mass influx of skilled labor from the European
country.
Due to Panama Equity’s close relationship with a number of large
multinationals here in Panama, we’ve seen firsthand the constant influx of
foreign workers coming in from companies like Proctor and Gamble, LG, and
Adidas, just to name a few. Walk into their office and you’ll see 100’s of
nationalities represented, including employees from the US, Venezuela, Korea,
and Germany. Asked by one journalist whether the 90/10 ratio would be an issue
in hiring Spanish workers, Martinelli responded “more of a problem on paper but
in practice there is a lot of flexibility.
In other news, the Panamanian government has announced calls for hiring
foreign doctors to address the shortage of specialists in areas such as
cardiology, surgery, anesthesiology and internal medicine. There are currently
over 180 vacant positions that need to be filled in the Panamanian national
hospital system. We expect other industries to follow in the realm of
immigration eases: because Panama is growing so quickly, it’s inevitable that
more qualified workers will be required. The government realizes this.
Allure: Giving what others dont
A gem on Balboa Avenue
If you know Panama, you already realize that this is a large, cosmopolitan city
that only sleeps on Sundays. What that means is action, events, fine dining,
shows, and unfortunately traffic and all of the noise that comes with it.
If you know Panama, then you also know Balboa Avenue and it’s iconic
waterfront stretch backed by towering buildings. It’s the same Balboa Avenue
that you see in almost every picture of Panama.
Traffic noise has killed many a real estate deal in Panama.
What few know is that there are a handful of buildings that have “Avenida
Balboa grade” views, including the glittering skyline and shimmering ocean,
without all the noise. Allure is one of those buildings, and we think that it
will hold it’s value better than any other building in Panama City. And just
like the deals we’ve been putting together in Trump over the last six months,
we expect similar opportunities to pick up a unit from sellers who cannot close
on their units. NOW IS THE TIME to become familiar with this project so you
can recognize a deal when one comes up!
Allure is separated from Balboa Avenue by Urraca Park and has no buildings on either side, meaning you have protected views and zero sound refraction from neighboring buildings which equals zero traffic noise. From Allure you can not only enjoy Bay of Panama and downtown skyline views, but also the fabulous restaurants that line Balboa Avenue and Calle Uruguay without the annoyance of constant traffic noise.
Unlike buildings other agents love to promote as the biggest and the best, Allure is not a dream that may never get built…on the contrary, it is going to be ready in less than six months and all signs point to a five star project. Residents in Allure will have all of the requisite amenities including swimming pools, a gym, 24 hour security, squash court…etc. From the model apartments, it’s obvious that the developer and his team of workers “gets it” when it comes to questions of quality materials and workmanship. And now, we are pleased to offer the last few remaining units in the project, due for completion in the fourth quarter of 2012.
Want more information? Contact us now.
Local Business Spotlight
Los Cuatro Tulipanes
In Panama, it’s easy to harp on bad service and to not give proper credit when
something is done really well. This month, our business spotlight is [3]Los
Cuatro Tulipanes, an apartment rental company in the historic district of Casco
Viejo. Besides filling a desperate void of nice places to stay in Casco Viejo,
the gang at 4 Tulipanes has gone a step further and introduced intimate B&B
style service — the personal kind you’re used to in the US and Europe — to
their guests.
We always recommend guests stay at 4 Tulipanes instead of boring brand-name
hotels downtown simply because they take such good care of everyone. Don’t
believe us? Check out the [4]Trip Advisor reviews naming them the best B&B in
Panama!
