SBP Presents the Financial Stability Report 2023

Tuesday, 21 May 2024

The Superintendency of Banks of Panama (SBP) has presented the Financial Stability Report (IEF) for the end of 2023, providing an evaluation of the main risks to the country’s financial stability and financial system.

The analysis highlights that corporate and household indebtedness remains high compared to the Gross Domestic Product (GDP). Additionally, the loan distribution shows a greater preponderance of retail banking, putting pressure on the economic system.

The economic performance occurred in a context of gradually overcoming the residual impacts of the COVID-19 pandemic, the economic dynamism of the United States, and progress in many public infrastructure projects in Panama.

The report, prepared by the Financial Stability Division of the SBP, analyzes the impact of interest rate hikes in the domestic market, the behavior of the real estate sector, and the macroeconomic variables affecting financial solvency.

Regarding liquidity, the analysis highlights the resilience of the National Banking System (SBN) in the face of potential negative scenarios, demonstrating appropriate resilience levels and active banking balance management.

The Superintendent of Banks, Amauri A. Castillo, remarked on the positive operational situation of the Panamanian banking sector at the end of 2023, characterized by an average liquidity ratio of 57.8%, higher than historical records.

The event presenting the report gathered several key actors from academia, representatives from multilateral organizations, professionals from the banking sector, financial consultants, and media, among other relevant participants.

For further information on the results of this report, please visit our website at Statistics.

Estabilidad Financiera