Panama’s tourism sector is gaining momentum, with the country registering an 18% increase in tourist arrivals — a jump that comes as lawmakers and industry leaders push for a new Country Brand (Marca País) law to protect and promote Panama’s identity as a top destination in the region.
What Happened
According to a report by TVN 2, Panama recorded an 18% rise in the arrival of tourists, signaling strong growth in a sector that has become increasingly important to the national economy. Alongside the encouraging figures, a proposal for a Country Brand law has been put forward, aimed at legally protecting Panama’s brand identity as it competes for visitors in Latin America.
Industry voices cited in the report highlighted two central challenges for consolidating Panama’s position as a regional tourism reference point: the protection of the Country Brand and the development of new destinations beyond the traditional hotspots. The proposed law seeks to formalize how Panama presents itself to international travelers and to safeguard the brand from misuse.
Background
Panama has long been known primarily for its canal, banking sector, and as a business travel hub. In recent years, however, the government and private sector have worked to diversify the country’s image, promoting its beaches on both the Caribbean and Pacific coasts, mountain towns such as Boquete, the historic Casco Antiguo in Panama City, and indigenous and cultural tourism experiences.
A Country Brand, or Marca País, is a strategic tool used by nations to manage their international image. For tourism-dependent economies, a strong and legally protected country brand helps coordinate promotion efforts, attract investment, and ensure that the nation’s name is associated with quality experiences rather than unrelated or negative associations. Other countries in the region have invested heavily in similar strategies to stand out in an increasingly competitive travel market.
The call to develop new destinations reflects a common challenge in emerging tourism markets: concentrating visitors in a few well-known areas can strain infrastructure and limit the economic benefits of tourism for communities elsewhere in the country.
What This Means for Panama
The 18% increase in arrivals is a positive signal for a sector that supports jobs in hospitality, transportation, and services across the country. Sustained growth, however, will depend on how well Panama manages its brand and expands its tourism offering.
If the Country Brand law advances in the National Assembly, it could give authorities clearer tools to regulate the use of Panama’s image in promotion and marketing — both domestically and abroad. Meanwhile, efforts to develop new destinations could spread tourism revenue beyond Panama City and the most visited beach areas, though such development requires investment in infrastructure and training.
Observers of the sector will be watching for movement on the proposed legislation and for whether the arrival figures continue their upward trend in the coming months, which would confirm that Panama’s growth in tourism is more than a temporary spike.
This story was originally reported by TVN 2.