Panama facing economic dangers as government fiddles

The risk rating agencies, once again, warn the Government of Panama about the dangers on the horizon in economic matters – which obviously includes Panama’s rating – given the pressures that the problem of funds exerts on public finances. of pensions and retirements of the Social Security Fund. But his warnings are not taken seriously, judging by the indifference of this and previous governments in dealing with the issue (if they ever do). Panamanians are used to improvising, even knowing in advance what will happen. But in this case, that will not be enough. The seriousness of the problem is such that, if a prompt solution is not found, the effects will go far beyond not paying retirees and pensioners. The entire economy will be affected, and getting out of that hole will take a lot of work, effort, stress, and money. The consequences of kicking the ball forward are beginning to be felt, as some rating agencies are anticipating negative ratings in the immediate future due to a lack of initiatives to address this issue. And they surely won’t. The government’s priority now is to stay in power, not solve problems.- LA PRENSA, Nov. 3.