Tourism and investment prospects in panama

The charismatic Panama is full of radiant natural beauty. The country tempts the tourists and investors from around the globe by its gorgeous coastline, natural beauty and favorable business climate.

Panama’s culture is dominantly Caribbean Spanish. With a touch of lively Latin American culture, it became vibrant and unique. The indigenous group “kuna” of Panama is so very welcoming; tourists coming for the first time find it interesting and heart warming. The country’s spectacular wildlife is notably enhanced by a huge diversity of birds and it creates an extra feel among the visitors.

Over the years, tourists have come to Panama in a large number and left the country with full satisfaction. In 2006, Panama had 15% more tourists and excursionists than the previous year. This large increase contributed largely in its economy too. As consequences, the amount of foreign currencies rose significantly during the year of 2005 and 2006.

As a part of the steps toward making tourism a bigger aperture; Panama’s Tourism Development Master Plan has delocalized the National Tourism Space in nine of its Tourism Zones, 20 Tourism Centers and other units waiting for tourism development. For this purpose, equipping these nine zones is scheduled to obtain the development of different regions in the countryside. The idea is to merge the government and the private sectors with strategies and interest towards the subject.

Major laws that affects the investments in Panama:
According to its huge possibility to contribute in the national economy, Panama passed several laws which were targeted to stir people’s interest into making investment in the country. Among such ones, Law 8, passed in 1994, offers tax exemption in several regions of the country known to be the Special Tourism Zones. 100% release is offered under this law in the criterions of income tax for 15 years and for 20 years on the basis of interest in the tourism activity investment; of property tax including land, of import tax including the sales tax for 20 years and lastly, of liens due to the apply of shipyards or airports built by the firm.

However, outside these Special Tourism Zones, Law 58, passed in 2006, introduced new incentives leaving the minimum investment to increase to $3 million only in the metropolitan area. The figure appears to be $50,000 for rest of the country.

Hotels in Panama
World’s largest hotel chains have their existence in Panama. To mention few names- Inter-Continental Playa Bonita, Marriott, Country Inn, Four Points Sheraton, Crowne Plaza Panama, Miramar Intercontinental, Courtyard Marriott, Sheraton Hotel & Convention Center, Veneto Hotel & Casino, Radisson Decápolis, Decameron, The Bristol, Gamboa Rain Forest Resort, and Avalon Grand Panama – all have their branches in Panama. 

The new ones like the Gran Hotel Nacional and Las Olas Beach Resort (Alanje), Panamonte Inn & Spa, La Huaca Hotel and in Cerro Punta, Los Quetzales Lodge & Spa, Hotel La Casa del Risco, Barceló Guayacanes, Barceló Playa Blanca in the province of Coclé, Hotel Versalles in Chitre and Villa Camilla Hotel in Pedasí, Los Santos have also spread across the country.

There are many small ecological lodges and beach resorts too in Isla Grande, Bananas Resort, Bocas Del Toro and in Punta Caracol Aqua Lodge. In addition to these, more hotels are awaiting to have their grand openings in Panama. To name few from the list are - Canopy Tower, Hotel Riande Continental, Hotel Riande Granada, El Panamá Convention Center & Casino, Camping Resort, El Ejecutivo, Riande Aeropuerto Hotel & Resort, Coronado Country Club Resort, Paitilla Inn and Soloy.  Last year, the new Radisson Colón 2000 hotel opened up near the cruise port Colón 2000; 150 meters of the main entrance from the Colon Free Zone. Radisson has got 102 rooms in 6 floors and an investment of US $12 million has been made for building this luxurious hotel.

Reports suggest, hotel business in Panama is growing rapidly. 65.11% of the newly registered hotels are ‘first class’ type. Transportation companies are significantly contributing to this business by connecting local ports of Almirante in Bocas del Toro and Chiriqui Grande. Statistics show, by 2010, Panama will be able to receive 1,500,000 visitors annually.

Tourism Potential in Panama
The never-ending beauty of panama has already got tourists’ eyes laid upon her. The natural sites of the country hold 71.9% of the recently registered tourism attractions, which is 1,005 out of 1,398 by number, and 28.1% are of cultural and historic values. Panamanian government is now focusing on the investors of foreign countries as well.

In this consideration, promoting tourism is decided to be taking place through an organized way of advertisement. Last year, US $10 million has been invested by the Panamanian Tourism Institute in this purpose, to publicize tourism in Europe, mainly in Spain and Canada.

The features that Panama offers to the foreign investors include a dolarized economy and political stability. As the government confirms legal security and offers tax incentives, the investors are well motivated towards making investments in the country.

Panama is benefited by some characteristics indirectly such as, her airport hub, good number of multinational companies, auditing and consulting firms followed by an American lifestyle; and also that she does not get attacked by any natural disasters like Tsunamis or hurricanes. Lastly, her bilingual community is very warm and hospitable.

There are some special regions pointed out in Panama where tourism may see a further light. These regions include areas of the Río Hato old airport, the area of the Pacific, Isla Colon in the Bocas del Toro province, the beaches of Alanje. Residential tourism has also seen a boom in the Boquete, Cerro Punta, Volcan regions of the Chiriqui province.

Enjoying the life in cruise ships
In Panama, many other businesses have originated from tourism. Just like hotels, cruise ship is another motion known to develop vastly in the country. Panama currently has two ports; one at the Atlantic side, Colon 2000 and another in the Pacific entrance, Amador Cruise Ship Port. Cruise traveler terminals were built on both of the ports providing more chances for cruises and docking for services and contentment. Approximately 300,000 people enter in Panama through the ports in cruise ships; in 2007-2008, 287,650 tourists are known to arrive by 192 ships. The yearly role to the economy by the cruise ship activities are around US $40 million.

Other than the cruise ships, golf courses, marina, new commercial centers and shopping malls are the sources of earning foreign currencies. The shopaholics will be treated with a funtime during their stay in Panama as 3 new big shopping malls, Albrook Mall, Multicentro Mall and Multiplaza Pacific Mall have been inaugurated recently. Multiplaza Pacific’s second phase mall is confirmed by participation of frenchises like Louis Vuitton, Chanel, Ermenegildo Zegna and Ralph Lauren. Provided security for shoppers assures an entertaining and non-stop nightlife.

Ecological and historical tours under tourism may also be an area with possibility. Panama’s ecology consists of a tropical biology, largely dominated by 150 neo-tropical bird migrants, 11,500 species of plants and rich marine life. Being part of the Spanish empire for a certain period of time increased Panama’s historical values as a tourist spot. Panama has its historical and ecological importance unnoticed yet now, this criterion for investment definitely represents potentials.

The continental part of the country consists of spine of mountains and hills. Volcan baru is the highest point in the country situated at a height of 3475mts. There are plenty of offshore islands in Panama. It has low hills in the middle of the country and low mountain ranges in the east. Rugged mountains are present in the west of the Panama country. Panama experiences tropical climate with abundant rainfall. As a land bridge between two continents, Panama developed plant and animal life more diverse than almost anywhere else on the Earth. Many varieties of monkeys (nothing like observing them in a zoo), the trees (unique twisted wood and amazing growth), the flowers (oh man, so beautiful and even some that grow on tree branches and not in the soil!), over 300 varieties of birds (Panama has more varieties than anywhere in the world), the butterflies (some of the rarest and most gorgeous species) are the main features.

If one needs to know what to do and what to see there in Panama, the hundreds of islands lined up on the coasts of Caribbean and Pacific Ocean are to come first.  She has the most reachable rainforests as well as mountains and uplands. Last but not the least, is the Panama Canal, for which Panama is so famed on globe.

Putting aside sailing on cruises and shopping, there are carnivals to attend, birding, sport fishing, kayaking, surfing and diving in Panama.

Panama is a blissful garden itself. It’s consistent and infinite beauty; and warm hearted people sum up a sensation of cheerfulness in heart, gives a feel that one’s spirit will soar free.