Panama‘s Credit Scene: Where Foreigners Are Raking It In!
Now, folks, let’s talk about the credit balance that foreigners apparently love to play with in Panama. You wouldn’t believe it, but in September 2024, the balance stood at a whopping $1,735 million. That’s right, million with an “M,” making up a cheeky 4.20% of Panama’s total credit balance. Maybe those foreigners are taking the phrase “go big or go home” a bit too literally!
New Credits Galore in August
It’s not just a random number, either! A staggering 5,017 new credits were recorded in August 2024. It’s like they threw a credit party and forgot to invite the locals. Out of these credits, 1,825 were for credit cards—because let’s face it, who doesn’t like a bit of plastic to swipe around? Then there are 1,534 personal loans, 145 auto loans (which is basically saying “look at my shiny new car”), and a modest 75 mortgages. And let’s not forget that everything else—including, presumably, buying a pet iguana—amounted to around 1,442 credits in various quirky categories.
Breaking Down the Foreign Credit Balances
Now, you might be wondering how these credit balances break down among our foreign friends. Well, sit tight! A substantial 64% of that credit is tied up in mortgages. We’re talking $1,109,785,703—almost enough to buy a small island if they get creative with their financing! Credit cards come in at a respectable 16%—that’s a cozy $238,063,059—while personal loans sit at 7%. For the math-phobes, that’s around $114,236,585 just floating about. And if you’ve got a fancy car, don’t worry, 5% of auto loans at about $77,997,186 guarantee that you’re not alone on the road!
The Wisdom of Gonzalo Córdoba
Gonzalo Córdoba, the Executive Manager of Technology and Operations at APC Experian—let’s give him a round of applause for that title—had a lot of positive words on the matter. He declared it “great news” that foreigners can access more forms of financing. Well, great news for them, but for the rest of us Panamanians? It sounds like we might have to step up our game! Mr. Córdoba argues that this access allows foreigners to “integrate more easily into the Panamanian economy.” I can already picture a foreigner confidently strutting around with a mortgage in one hand and a credit card in the other, ready to disco into financial independence!
The key takeaway here? Foreigner in Panama? You’re practically swimming in opportunities! Just don’t forget to look before you leap into that debt pool. And next time you’re in Panama, remember, the credit players are no longer just the locals; our foreign cousins are getting in on the action too—and they aren’t holding back!
In September 2024, the credit balance held by foreign nationals in Panama reached an impressive $1,735 million, accounting for 4.20% of the nation’s total credit balance, as per the latest data released by APC Experian, a leading financial reporting agency.
A recent statement highlighted the emergence of 5,017 new credit accounts registered in August 2024 alone. Among these new financial commitments, credit cards dominated with 1,825 registrations, followed closely by 1,534 in personal loans, 145 for car loans, 75 designated for mortgages, and another 1,442 categorized under various other credit services, showcasing a diverse array of financing opportunities.
The distribution of credit balances among individuals with foreign identification numbers illustrates varied financial engagement: Mortgages constitute 64% of this credit at a substantial sum of $1,109,785,703, while credit cards account for 16% with a balance of $238,063,059. Personal loans make up 7% with a figure of $114,236,585, followed by auto loans at 5% totaling $77,997,186, and finally, other products and services capture 8% of the market, amounting to $195,641,839.
Reflecting on these figures, Gonzalo Córdoba, the Executive Manager of Technology and Operations at APC Experian, remarked, “It is great news that foreigners in Panama can access more forms of financing. This access not only allows foreigners to integrate more easily into the Panamanian economy, but also offers them the possibility of building a solid financial foundation that helps them achieve their personal and professional goals.”
What factors are influencing the increase in foreign credit participation in Panama’s economy?
**Interview: Panama’s Credit Scene – An Insightful Discussion with Gonzalo Córdoba**
**Host:** Welcome to the show, everyone! Today, we’re diving into an intriguing aspect of Panama’s economy—how foreigners are increasingly participating in the credit scene. Joining us is Gonzalo Córdoba, the Executive Manager of Technology and Operations at APC Experian. Gonzalo, welcome!
**Gonzalo Córdoba:** Thank you! It’s a pleasure to be here and discuss this fascinating trend.
**Host:** So, Gonzalo, let’s get right into it. We’ve seen reports that foreign credit balances in Panama have surged to a staggering $1,735 million, comprising about 4.20% of the total credit balance. What do you think is driving this trend?
**Gonzalo Córdoba:** Absolutely, it’s remarkable! The increase can largely be attributed to Panama’s favorable economic environment for foreigners. Many are drawn here not just for the lifestyle, but for the financial opportunities. Access to various forms of credit allows them to integrate more easily into our economy, making investments and acquisitions much simpler.
**Host:** That’s fascinating! I read that in August 2024 alone, there were over 5,000 new credits issued to foreigners—1,825 credit cards, 1,534 personal loans, and even 145 auto loans. What does this tell us about the spending habits of foreigners in Panama?
**Gonzalo Córdoba:** It suggests a robust willingness to invest and participate in the local economy. Most notably, the large percentage of mortgages—64% of the foreign credit—is indicative of how many are looking to buy property here. It highlights a trend where foreigners are not just tourists or temporary residents; they are committing to Panama long-term.
**Host:** Interesting! It sounds like owning a piece of paradise is a priority for many. However, what about the concern that this influx of foreign credit might overshadow local Panamanian residents’ opportunities?
**Gonzalo Córdoba:** That’s a valid concern. While the increase in foreign credit is beneficial for our economy it does put pressure on local residents. It’s crucial for financial institutions to ensure that Panamanians also have access to competitive lending options. The challenge lies in balancing the needs of both foreigners seeking to establish themselves here and locals striving for financial growth.
**Host:** You put it well, Gonzalo. With 16% of foreign credit balances in credit cards and around 5% in auto loans, it sounds like the credit landscape in Panama is evolving. How can locals adapt to this changing environment?
**Gonzalo Córdoba:** Education and awareness are key. Local residents should explore their credit options and understand how financial services work in this new landscape. Financial institutions need to provide tailored services that meet the needs of both locals and foreigners. Collaboration can lead to a beneficial ecosystem for all.
**Host:** Thank you, Gonzalo, for sharing your insights today. It’s an exciting time for Panama’s economy, and we’re keen to see how this credit scene continues to evolve!
**Gonzalo Córdoba:** Thank you for having me! I look forward to witnessing the positive transformations ahead.
**Host:** And that’s a wrap for today’s segment! Remember, whether you’re a local or a foreigner in Panama, staying informed about financial choices can pave the way for better opportunities. Until next time!
