Gobiernos locales y descentralización: los desafíos de Panamá son analizados en Brasilia | La Prensa Panamá

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Key Findings on Panama's Decentralization

A report by the Development Bank of Latin America and the Caribbean (CAF) reveals that Panama has low levels of effective decentralization, despite a growing number of municipalities since the 1980s. The study, presented in Brasilia, uses the OECD and UCLG definition of subnational governments, excluding Panama's corregimientos due to lack of full autonomy.

Limited Autonomy Despite Increased Municipalities

Panama's expansion of municipalities hasn't led to functional decentralization. The country ranks with Chile, Nicaragua, and Venezuela in having very limited regional autonomy, with low scores on the Regional Authority Index (IAR). Public spending per capita by local governments is only 0.7% of national GDP per capita, among the lowest in the region. Investment remains highly centralized.

Indigenous Comarcas: Shared Autonomy

The report also addresses Panama's indigenous comarcas. While they possess certain rights like land management, their co-governance structure prevents classification as autonomous governments. High spatial segregation of indigenous populations is observed, limiting their inclusion in local development decisions.

Structural Barriers

The report highlights several structural barriers:

  • Low population density in vast regions, particularly the Darién, makes service provision difficult.
  • Highly centralized education management, with local governments handling less than 5% of primary and secondary education.
  • Lack of inter-jurisdictional coordination on issues such as water resource management.
  • Informal transport in urban areas like Panama City, causing congestion and pollution.
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