The Administration of the Ports of Balboa and Cristóbal is Ruled Out by the Panama Canal Authority.
Pictured below is an aerial view of the Panama Ports Company container terminal at Port Balboa, Pacific side of the Panama Canal.
The Minister for Canal Affairs, José Ramón Icaza, clarified that this proposal has not yet reached the ACP board of directors, and therefore they are not currently analyzing any proposals regarding it. Meanwhile, they are evaluating the models for granting concessions for the ports of Corozal and Isla Telfers, which are in the prequalification stage. The Panama Canal Authority (ACP) is not currently considering taking over the administration of the Balboa and Cristóbal ports, assured the Minister for Canal Affairs, José Ramón Icaza, during the presentation of the entity’s budget before the Budget Committee of the National Assembly.
He stated that such a proposal has not reached the necessary level of analysis within the institution. “At the Board of Directors level, this issue has not been addressed, since it does not have the maturity we have discussed to be able to take the projects towards a process of consultation and dialogue within the Panama Canal Authority, at the Board of Directors level.” Icaza responded in this way to a question from Congressman José Pérez Barboni, who raised a hypothetical scenario in which the ACP could take over the administration of the existing terminals of Balboa and Cristóbal, in parallel with the development of the future ports of Corozal and Telfers Island.
José Ramón Icaza Clément, Minister for Panama Canal Affairs.
The minister stressed that “the Panama Canal is not a port operator” and that its focus is on defining “the best business model, the best concession model” for the projects that the entity is promoting. The minister explained that the ACP maintains permanent coordination with the Panama Maritime Authority (AMP) and with the Government to organize the development of the various port concessions under a comprehensive vision.
“It is a single port system that has multiple port operators within that system,” he noted, indicating that the strategy seeks to strengthen governance and generate the greatest possible value for the country. Meanwhile, the ACP continues with the prequalification process for Corozal and Telfers and expects to publish the list of prequalified companies before the end of the year. Both projects contemplate a joint preliminary investment of about $2.6 billion, and the Canal expects to move towards awarding the concessions towards the end of 2027.
View of the Corozal area where the construction of the new port, to be awarded by the Panama Canal Authority, is planned.
Currently, the ports of Balboa and Cristóbal are under temporary administrations for a period of 18 months, while the State prepares a new concession process. Balboa is temporarily operated by APM Terminals Panama, a subsidiary of Maersk, and Cristóbal by TIL Panama (Terminal Investment Limited), the port arm of Mediterranean Shipping Company (MSC).
This scheme was established after the Supreme Court of Justice declared unconstitutional Law 5 of 1997 and its addenda, which supported the concession granted to Panama Ports Company (PPC), a subsidiary of the CK Hutchison conglomerate, to operate both terminals. With the concession now lacking legal basis, the government granted temporary contracts to ensure the continuity of operations while a new international bidding process is structured. These contracts, ratified on February 23, 2026, even allow for a possible extension if required by the public interest.
