22
Fri, Aug

Panama Canal Approves $5.2 Billion Budget For 2026, Declares Río Indio Project Public Interest

Panama Canal Approves $5.2 Billion Budget For 2026, Declares Río Indio Project Public Interest

Marine Insight
Panama Canal Approves $5.2 Billion Budget For 2026, Declares Río Indio Project Public Interest
Panama Canal
Image Credits: Panama Canal/Facebook

The Cabinet Council of Panama has approved the proposed budget of the Panama Canal for fiscal year 2026, setting it at B/.5.2072 billion.

The financial year will run from October 1, 2025, to September 30, 2026, and the plan emphasises long-term investments with a strong focus on water sustainability through the Río Indio Lake project.

The budget also prioritises the diversification of business activities, investment in the workforce’s development and well-being, support for both the traditional and Western basins, and measures to ensure the Canal remains sustainable and competitive.

For FY2026, the Canal Authority projects a direct contribution of B/.3.1938 billion to the National Treasury, an increase of B/.404.3 million (14.5%) compared to the approved budget for FY2025.

The Canal is expected to transfer about B/.291.1 million to other state entities in the form of income taxes, social security, education insurance, and employer-employee contributions.

Officials explained that this year’s plan comes

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