Regional economy is growing robustly

Central America’s business climate will be healthy for at least the next two years, according to forecasts by both the International Monetary Fund and the Economic Commission for Latin America and the Caribbean, a division of the United Nations.

Panama will lead, with an average annual growth rate of over 6%, followed by Nicaragua and Costa Rica, with an average increase above 4% in each case.

El Salvador is the only country in the region, in which the annual increase is expected to be less than 3%.

Central American growth will be close to 4.3% this year and in 2017, while Latin America economic activity in 2016 will contract by 0.6%.

Forecasts are based on continued low prices through 2017 for petroleum products and other commodities (data represents predicted economic growth in percentages, according to Eclac).

                                                2016                     2017

Panama                                    6.1                        6.4

Nicaragua                                 4.5                        4.3

Costa Rica                                4.2                        4.2

Guatemala                                4.0                        3.9

Honduras                                  3.5                        3.7

El Salvador                                2.5                        2.6