News
Thursday 10th July 2025.
July 9, 2025
Before the first rays of the sun had risen, Panama woke up this Wednesday, July 9, to the good news of its removal from the list of high-risk countries for money laundering and terrorist financing.
The decision approved by the European Parliament, which met from its headquarters in Strasbourg, France, closed a cycle after the country was previously removed from the Financial Action Task Force (FATF) Grey List in October 2023 after complying with recommendations for greater financial transparency and rigorous measures to prevent international financial crimes.
Reactions were swift, from the President of the Republic, José Raúl Mulino , to deputies, economists, businessmen and bankers, celebrating the country’s exclusion from this discriminatory list.
“Today, the European Union voted to remove Panama from its list of high-risk countries. This is recognition of the serious work we are doing as a country,” the president said on the social media platform X, attaching the statement from the Ministry of Foreign Affairs.
“I appreciate and acknowledge the teamwork put in to remove Panama from the European Union’s money laundering list. To the European presidents who helped, to the Presidency of the European Commission, to the European political leaders who supported us, to the Foreign Ministry team led by Foreign Minister Martínez Acha and Vice Foreign Minister Hoyos, to the Ministry of Foreign Affairs and Foreign Affairs Minister Chapman and his technical team, to Ambassador Ángel Riera in Brussels, in short, to everyone who made an effort toward this achievement. Now, let’s continue working for Panama and continue enhancing its good name around the world. Thank you!!” said President Mulino .
Panama’s exclusion from the list of high-risk jurisdictions for money laundering and terrorist financing, approved by the European Parliament, brings significant benefits to the country, including:
- Improving international reputation:
It strengthens Panama’s image as a reliable and transparent destination for business and investment. “This achievement not only strengthens Panama’s image in the international community, but also opens new doors for us to attract investment,” said economist Eric Molino Ferrer.
- Greater confidence of foreign investors:
The removal from the list creates a more favorable environment for attracting international capital. “It’s a clear sign that Panama is moving seriously and decisively toward a more competitive, reliable, and globally connected economy,” added Molino Ferrer.
- Facilitation of financial and commercial transactions:
Additional enhanced due diligence measures are being eliminated in transactions with European entities, streamlining processes and reducing costs. The Ministry of Economy and Finance (MEF) emphasized that the exclusion “will strengthen the country’s reputation and facilitate financial and commercial transactions” and that it “reflects the international community’s confidence in the reforms implemented and in Panama’s ability to ensure transparency and effective cooperation.”
- Technical compliance and overcoming political obstacles:
Vice Foreign Minister Carlos Hoyos explained that Panama met all the required technical requirements, including reporting, registration of beneficial owners, and accounting controls, although he acknowledged that the delay in exclusion was due to political factors. “This issue became a race to the limit, but we have overcome both issues,” he emphasized.
- Global positioning and reputation:
Hoyos emphasized the importance of the exclusion for the country’s global reputation. ” The message to the world is that Panama is back. For a group as serious as the European Union to recognize us and remove us from the list we’ve been on since 2015 is a great achievement that we must promote internationally,” he said.
- Boosting the competitiveness of the financial and logistics center:
Panama will be able to better position itself compared to other financial centers in the region and the world.
- Strengthening foreign trade:
It simplifies imports and exports, which contributes to sustained economic growth.
- Recognition of national efforts:
It reflects the country’s commitment to international standards to prevent money laundering and terrorist financing. Economist Carlos Araúz emphasized that “this achievement is recognition of the serious work we are doing as a country.”
- Opportunity for further improvement:
He calls for maintaining and deepening reforms to ensure transparency, stability, and sustainable development. Araúz called for “learning from this situation so as not to return to any list” and for “competing for transparency, accountability, and doing things right.”
In conclusion, this decision is not only a diplomatic and technical achievement, but also an opportunity for Panama to consolidate its position as a competitive and reliable country in the global marketplace.
The director of the National Institute of Aqueducts and Sewers (IDAAN) , Rutilio Villarreal, confirmed that the entity will directly contract a company to handle the disinfection process of the water network —360 kilometers of pipes —that supplies drinking water to families in the provinces of Los Santos and Herrera.
According to Villarreal, this direct procedure will be carried out as an “emergency” due to the pollution situation recorded last June in the La Villa and Estibaná rivers, which serve as the main source of raw water for the Rufina Alfaro (La Villa) and Roberto Reina (Chitré) water treatment plants.
The director of IDAAN indicated that these tasks are not included in daily operations, so staff cannot dedicate themselves to disinfection work, as they must continue to maintain operations nationwide. Therefore, this will be outsourced.
The disinfection work will be carried out at four water treatment plants, a process that will be supervised by the agency. Villarreal explained that this contract will be executed under Law 22 on Public Procurement, under the urgent procurement modality, and will have an estimated cost of $1.2 million.
“This process must be uploaded to the Panama Compras portal…” Villarreal said.
So far, seven companies have been invited to submit proposals, and the selected company is expected to begin operations immediately due to the emergency.
The director of Electoral Organization of the Electoral Tribunal (TE), Rubén Darío González , reported this Wednesday, July 9, that nine requests have been submitted for the recall of elected officials.
Arraiján Mayor Stefany Peñalba ; Vamos coalition representative Paulette Thomas; and mixed-party representative Manuel Cheng , former Vamos member , are among those sought for recall, González confirmed on Wednesday, July 9.
There are also recalls filed against the deputy mayor of Arraiján, Oliver Joel Ríos. The processes also affect mayors and district representatives in West Panama and the interior of the country.
In Chiriquí, the mayor of Barú , Franklin Valdez, faces a recall process, according to the TE.
In Arraiján, West Panama, the representative of Vacamonte, José Enrique Pérez, and his alternate, Maygualida Sánchez, as well as the representative of Juan Demóstenes Arosemena , Raquel Murillo , and her alternate, Salvador Lobos, are facing recall requests .
As for authorities elected through political parties, there are no recall processes, as they follow a different process.
However, just yesterday, Tuesday, July 8, the TE published a modification to the decree governing the recall process.
To revoke the mandate of an elected official , the process begins at the Electoral Organization Directorate of the Electoral Tribunal (TE). If the request from the citizen seeking revocation is accepted, a notification period follows for the authority to be revoked, who has the right to appeal. The information must also be notified to the Electoral Attorney General’s Office.
If the process moves forward, a process to collect signatures from citizens who support the recall is authorized.
For the recall to be effective, 30% of the signatures of the citizens registered on the electoral roll of the corresponding constituency at the time of the election must be collected.
The Ministry of Housing and Land Use Planning (Miviot) has received the green light to begin delimiting the area of influence for the Panama-David railway construction project.
Through Executive Decree No. 2 of July 8, 2025, it was established that everything related to the land where the train line will pass must be coordinated between Miviot and the National Railway Secretariat.
Likewise, all municipalities located within the sphere of influence were instructed to collaborate with both entities to ensure the project’s development.
The National Railway Secretariat will also request the Comptroller General of the Republic and the Directorate of Patrimonial Assets of the Ministry of Economy and Finance to determine, within a period of no more than 90 days (starting on July 8), the maximum market value for the purchase and sale of areas or sectors within the route of the railway project.
“This value will be reviewed and updated every 24 months to reflect the reality of the area,” the decree states.
The Panama-David-Border train project is valued at between $4 billion and $4.5 billion. It includes a total of 475 kilometers of railway between Panama Pacifico and the city of David, in the province of Chiriquí. It will have 14 stations, located at the following locations:
- Cuidad de la Salud
- Albrook
- Panama Pacifico
- La Chorrera
- Chame/Coronado
- Rio Hato
- Penonomé
- Divisa
- Santiago
- Soná
- San Felix
- David
- Bugaba
- Paso Canoas–Frontera
Fuel prices will decline slightly starting this Friday, July 11, 2025, the National Energy Secretariat reported.
95-octane gasoline will drop by 0.01 cent per liter and will sell for 0.92 cents.
Meanwhile, 91-octane gasoline will also decrease by 0.01 cent and will sell for 0.87 cents per liter.
Low-sulfur diesel, meanwhile, will maintain its current price of 0.84 cents per liter.
These new prices will be effective from 6:00 a.m. on July 11 through July 25, 2025.