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Strengthening Analytical Capacity for Tax Policy and Macroeconomic Modeling in Panama

The general objective of this TC is to strengthen the analytical capacity of the Republic of Panama to sustain its fiscal consolidation path. The specific objectives are: (i) to develop a technically sound methodology for measuring and evaluating tax expenditures, including the definition of a benchmark tax system; (ii) to prepare a comprehensive technical study of the structure of the corporate income tax (CIT); and (iii) to develop macroeconomic models—including tools to simulate external shocks and a long-term structural model—that strengthen the Medium-Term Fiscal Framework (MTFF).By the end of the project, the Ministry of Economy and Finance (MEF) is expected to have these methodologies, the CIT study, and the macroeconomic models operational and integrated into its technical work, supporting the fiscal consolidation path of the Republic of Panama. The result of the Technical Cooperation (TC) is to build integrated and permanent institutional capacity within the MEF.

Project Detail

Country

Panama

Project Number

PN-T1401

Approval Date

August 4, 2026

Project Status

Implementation

Project Type

Technical Cooperation

Sector

REFORM / MODERNIZATION OF THE STATE

Subsector

FISCAL POLICY FOR SUSTAINABILITY AND GROWTH

Lending Instrument

-

Lending Instrument Code

-

Modality

-

Facility Type

-

Environmental and Social Impact Category (ESIC)

-

Total Cost

USD 125,000.00

Country Counterpart Financing

-

Original Amount Approved

USD 125,000.00

Financial Information
Operation Number Lending Type Reporting Currency Reporting Date Signed Date Fund Financial Instrument
ATN/OC-22631-PN Sovereign Guaranteed USD - United States Dollar Ordinary Capital Nonreimbursable
Operation Number ATN/OC-22631-PN
  • Lending Type: Sovereign Guaranteed
  • Reporting Currency: USD - United States Dollar
  • Reporting Date:
  • Signed Date:
  • Fund: Ordinary Capital
  • Financial Instrument: Nonreimbursable

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Other Documents
https://www.iadb.org/document.cfm?id=EZIDB000876-496306257-25
Electronic Links
Plan de Adquisiciones_145.pdf
Aug. 05, 2026
Spanish
https://www.iadb.org/document.cfm?id=EZIDB000876-496306257-23
Electronic Links
Matriz de Resultados_83969.pdf
Aug. 05, 2026
Spanish
https://www.iadb.org/document.cfm?id=EZIDB000876-496306257-24
Electronic Links
Terminos de Referencia_30038.pdf
Aug. 05, 2026
Spanish
https://www.iadb.org/document.cfm?id=EZIDB000876-496306257-22
Electronic Links
Solicitud del Cliente_2562.pdf
Aug. 05, 2026
Spanish
Implementation Phase
https://www.iadb.org/document.cfm?id=EZIDB000876-496306257-26
TC Document
Documento del Proyecto - Divulgacion_10263.pdf
Aug. 05, 2026
Spanish

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