Panama Second Shared Prosperity Development Policy Loan

closed

The development objective of the Second Shared Prosperity Development Policy Loan Project for Panama of the Development Policy Financing (DPF) series are to support the Government of Panama’s efforts to (i) strengthen the frameworks for international tax transparency, financial integrity, and fiscal management; (ii) strengthen institutional arrangements to support social assistance and education; and (iii) enhance the regulatory and financial sustainability framework of service delivery in the energy and water sectors. The proposed Development Policy Financing (DPF) is the second operation in a programmatic series of three, aimed at accompanying Panama’s efforts to advance the country’s shared prosperity agenda. The operation supports reforms in three main areas of the Government’s Economic and Social Strategy 2015-19: (i) international tax transparency, financial integrity, and fiscal management; (ii) social inclusion; and (iii) water and energy service delivery. The proposed operation, for an amount of US 300 million dollars, is consistent with the World Bank (WB) Group’s Country Partnership Framework for 2015-2018. Over the past 15 years, sound macroeconomic and structural policies have contributed to remarkable economic growth and poverty reduction in Panama.