Panama Leads Region in Banking

©image: PhotoXpress

"Banking, or access to banking services, plays an important role in economic development of countries and in reducing poverty while promoting income distribution."

The article by Ricardo J. Gonzalez in Capital.com.pa discusses the results of the report of the Latin American Banking Federation, highlighting the causes for the high rate of banks in Panama, and "the important relationship between financial strength and economic growth."

Easy access to banking services by the population translates into proper channeling for savings and productive investment, an efficient payment system which facilitates transactions between economic agents and the appropriate measurement of business risk. All these factors contribute to foster greater levels of competitiveness and growth.

Source: Capital.com.pa

More on this topic

Guatemala: Multilingual Speaking ATMs

July 2011

The installation of ATMs using Mayan languages has led to increased banking activities by indigenous populations.

The program, developed by the Rural Development Bank (Banrural), began in 2005 with 108 machines, and now has 420 multilingual ATMs, which as well as offering instructions in Spanish, can also cater to Mayan speakers of Quiche, Cakchiquel, Q'eqchi ', Ixil, Mam and q'anjob'al.

Suggestion that remittances on the Isthmus be sent through the banking system.

August 2008

Manuel Orozco, coordinator for the Inter-American Dialogue Development and Remittances Program, recommended to lawmakers from Central America and the Dominican Republic that they encourage that the banking system be used to send family remittances.

Orozco pointed out that a Central American immigrant sends his family between $3,000 and $3,500 on average per year.

Guatemala: Expansion of Banking Services

November 2011

According to experts, more branches do not mean a larger banking population.

While the number of bank branches in the country has grown significantly, the number of Guatemalans who have a bank account is less than 25%.

Experts in the field, such as the economist Julio Estrada, say that one of the main advantages of the population being involved in banking is access to credit, which enhances a country's development.

Bank consolidation in Central America

July 2008

The process of consolidating banking services in Central America is linked to the entrance of international banks into the region and the potential for attracting new customers to use banking services.

In the last two years, there's been a change in the way consolidation takes place.