Chile, Brazil, and Uruguay remain firmly positioned as AI pioneers, according to the lates edition of the Latin American Artificial Intelligence Index 2025 (ILIA).
The index, evaluating AI readiness, adoption, and governance across 19 countries, was published mid-March by the Economic Commission for Latin America and the Caribbean (ECLAC) and Chile’s National Center for Artificial Intelligence (CENIA).
The next eight countries—including Colombia, Ecuador, Costa Rica, and Panama—are considered adopters, with intermediate progress.
The index shows overall AI adoption levels that are outperforming expectations as well as wide disparities among countries. Latin America & the Caribbean account for 14% of global traffic to AI platforms and rank third worldwide in downloads of generative AI applications (15-20% of the global market). This trend creates opportunities for European app developers and software development.
However, investment and talent shortages constrain progress. Despite representing 6.6% of global GDP, the region captures only 1.12% of total global AI investment.
Panama Intermediate Performer, ranking 11th out of 19 countries
Panama ranks 11th out of 19 countries and fell one place in the regional ranking compared to 2024. With a score of 38.95 it is 4.03 points below the Latin America & Caribbean average (42.98) and is counted among the 8 adopter countries (the final one).
Strong & Weak Points
Panama performs well on enabling conditions and the relatively intensive use of AI. The country scores relatively high on the sub dimensions International Engagement (ranked 5th; score 75,00, regional average 64,47), Digital Infrastructure (ranked 7th; score 50.99, reg. av. 45,95), Data (ranked 9th; score 52,59 reg. av. 47,73) & Regulation (ranked 9th; score 60,64, reg. av. 53,06).
Panama’s persistent weak points are Human Talent (ranked 12; score 30.99, reg av. 37.32), R&D (ranked 17th; score 20.36, reg. av 31.13) & Vision and Institutionality (ranked 11th; score 1.39, reg. av. 37.51). The latter is mainly due to the absence of a national AI strategy.
While adoption of (generative) AI (ranked 5th, score 72.70, reg. av. 57.27) and web-based technologies (ranked 3rd; score 76.17, reg. av. 53.56) is strong, Domestic Innovation (ranked 11; score 22.58, reg. av. 30.68) & Technological Development (ranked 18th; score 18.15, reg. av. 31.58) remain limited, constraining value creation and the ability to scale productively. Industry-level adoption is also weak (ranked 18; score 30.27, reg. av. 47.25).
About ILIA 2025
ILIA 2025 evaluates AI readiness, adoption, and governance across 19 countries in the region. Drawing on more than 100 sub-indicators structured around three dimensions—enabling conditions; research, development, and adoption; and governance—the Index provides a comprehensive view of progress while identifying ongoing gaps in talent, investment, and policy frameworks.
The report was prepared by the Chilean National Center for Artificial Intelligence (CENIA), in partnership with the Economic Commission for Latin America and the Caribbean (ECLAC) and supported by the EU-LAC Digital Partnership initiative. It is financed by the European Union through the Global Gateway strategy.
Documents:
- Latin American Artificial Intelligence Index (ILIA) 2025. Key Findings, Applied Artificial Intelligence, and Human Talent. Economic Commission for Latin America and the Caribbean (ECLAC) and National Center for Artificial Intelligence (CENIA).
- Índice Latinoamericano de Inteligencia Artificial (ILIA) 2025: fichas de país y aspectos metodológicos. Comisión Económica para América Latina y el Caribe y Centro Nacional de Inteligencia Artificial.
Subscribe here to our monthly newsletter to stay up-to-date about Panama’s Business Landscape & follow us on LinkedIn!