Panama is set to invest a minimum of $775 million in the “Regional Master Plan for Mobility and Logistics 2035,” focusing on the construction, renovation, and enhancement of major highways. The network of selected roads aims to boost intraregional trade, lower transportation costs, and support economic growth in the region. This was announced last week by the Minister of Public Works, José Luis Andrade, during a national workshop regarding the dissemination of the plan.
Regional Master Plan for Mobility and Logistics 2035
The Regional Master Plan for Mobility and Logistics 2035 (PM2035; by SIECA) focuses on the implementation of a portfolio of infrastructure projects organized into six strategic axes: land, air, maritime-port, rail, urban, and coordinated border management. It aims to improve connectivity through 11 strategic corridors throughout Central America, promoting an efficient multimodal system.
Panama’s Road Projects
The Minister outlined Panama’s strategic vision, highlighting the road connectivity axis, which will drive the execution of eight projects focused on constructing, upgrading, and renovating the road network. These initiatives are expected to affect 760 kilometers of highways on the Pacific side and around 200 kilometers on the Atlantic side.
The projects represent a business opportunity for international companies in the area of infrastructure development. A number of projects have already been tendered, and it is expected that all projects will be put out to tender during the 2024-2029 period.
The Ministry of Public Works (MOP) projects under development and pending execution are:
- Renovation of the Chiriquí Grande-Changuinola Highway and the Changuinola-Guabito section in the province of Bocas del Toro, both underway.
- Renovation of the Gualaca-Chiriquí Grande Highway in the provinces of Chiriquí and Bocas del Toro (to be put out to tender).
- Renovation and improvement of the David-Frontera Pan-American Highway and its intersections, estimated at $100 million.
- Renovation of the Loma Campana-Santiago Western Pan-American Highway in Veraguas, with a cost of $352 million.
- Renovation of the Santiago-David section of the Pan-American Highway, which was awarded and will cost $50.2 million.
- Construction of the Arraiján Nuevo Emperador Forestal Highway to the Centenario Highway, valued at $23.2 million.
Other projects enhancing regional road connectivity include expanding the Las Playas Corridor (La Chorrera-San Carlos) to six lanes, now 96% complete, with a total cost exceeding $250 million. Additionally, the design and construction of the Fourth Bridge over the Panama Canal, currently 20% complete, is expected to finish by mid-2028, with an investment of at least $1.37 billion.
Relevant documents
Regional Master Plan for Mobility and Logistics 2035 (SIECA, 2022)
Support the implementation of the Central America Regional Master Plan 2035 on Mobility and Logistics (IADB, 2024)