Employment – Mining – Economic Growth in Panama. Stanley Motta’s Message.
The Panamanian businessman said at the Moody’s Inside Latam forum that the regulation of the Internship Law is an opportunity to integrate young people into the labor market.
Lack of experience remains one of the main barriers for young people seeking to enter the labor market, Stanley Motta noted during the Moody’s Inside LatAm forum, referring to the importance of the new regulations for the internship law. “Today the regulations for the internship law were ratified, which should open up opportunities for young people to gain experience,” said Motta, who explained that one of the main obstacles when looking for employment is not having a prior work history. “Every time you look for a job, the first thing they ask you is what experience you have. When you have zero, it doesn’t help you.” Motta recommended that young people take advantage of this program as a means of professional training and preparation.
“Take advantage of the internship law. Find something to do each day because you’re being paid to learn,” he said. Regarding foreign investment, he noted that Panama maintains competitive advantages due to its monetary stability and business-friendly conditions. “Foreign investors see Panama as a country with a stable currency, the dollar, and perceive it as a place of peace and tranquility,” he said, adding that the country must identify new opportunities in sectors such as tourism and logistics. The businessman also raised the need to attract international talent to strengthen various industries and generate knowledge transfer. “We need to attract more talent,” he stated, noting that the arrival of specialists can help Panamanians fill those positions in the future.
Jaime Reusche, Vice President of the Sovereign Risk Group at Moody’s Ratings, alongside Panamanian businessman Stanley Motta, at the Moody’s Inside Latam forum.
Analyzing the Panamanian economy, Motta highlighted that the country’s openness to the world has been one of the factors that has allowed it to maintain dynamism and attract investment. “Panama has always been a democratic country. We have been open to the world. So I think that allows us to grow and adapt faster than many other countries,” he stated.Regarding opportunities in the coming years, he identified sectors such as tourism, logistics, and services as areas with potential for expansion. “I see a lot of potential in tourism, logistics, and services,” he stated, noting that Panama has made significant progress in banking, insurance, aviation, and logistics.
Motta also pointed out that one of the country’s main challenges is related to human talent and education. “The governance of education in Latin America, not just Panama, has failed,” he stated, arguing that companies must take a more active role in training their employees to improve productivity. Regarding artificial intelligence, Motta indicated that the technology will have significant impacts, but it can also become a tool to increase productivity. “Like all technologies, it has its impacts. This one will have a slightly greater impact, and we need to see how we are going to manage it,” he stated.
Should the Mine be Opened or Not?
During the discussion at the Moody’s Inside Latam forum, Stanley Motta also referred to the mine pictured below and said that when things are not going to be done right, it is better not to do them at all. He emphasized that the main lesson of the process is the need to do things more rigorously and build trust. “The big lesson from the mine is that you have to do things right,” he said. He added, “If you can’t do it right, don’t do it.”
On fiscal matters, Motta pointed out that the country needs to analyze the composition of the deficit in greater detail and improve the transparency of public spending. “The fiscal deficit needs to be defined a little better,” he stated, arguing that the public should have a clearer understanding of how state resources are being used. Finally, regarding Panama’s sovereign credit rating, Motta argued that the country must maintain its investment grade. “We must undoubtedly maintain our investment grade,” he stated, emphasizing that both the public and private sectors have a responsibility to strengthen productivity and economic confidence.
