Government holding on to joint venture shares

The Government does not intend to sell the shares it holds in joint ventures like Cable and Wireless, says Pananama’s Minister of Economy and Finance, Frank De Lima.

Lima’s announcement on Tuesday March 26, refers to the the National Assembly Bill No. 569, amending articles of Law No. 38 of June 5, 2012, which created the Panama Savings Fund (PAF).
"People should know it is clear the government has no intention to sell the stock, but if next or future governments or others want to sell, it is set in the Panama Savings Fund Act, that these funds should go to the fund," he said.
De Lima said the current administration seeks to "ensure that if the shares are ever sold, the proceeds of the same shall go to FAP, as was established in the Trust Fund for Development (FFD)."
The FFD was established in 1995 and was absorbed by the FAP in 2012. The law stated that to sell the shares that the State has in joint ventures, such as Cable & Wireless Panama, AES Panama, S. A., Bahia Las Minas Corp., among others, the proceeds should go to the FFD, rules that the bill 569 attempts to restore but for the benefit of FAP.