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The latest report from the International Monetary Fund (IMF) predicts strong and consistent economic growth for Panama, despite the global turmoil.

Panama’s economy is expected to grow at 4% annually for the next two years, well above the regional average, according to the international agency. In contrast, the Americas and the Caribbean region will grow 2.4% in 2025, and slip to 2.3% in 2026, the IMF predicts in its new forecast.

The United States is expected to see slowing growth in the next two years, slipping to 2.1% in 2026.

“The global economy is adapting to a transformed landscape driven by new policies,” including tariffs, the IMF says in the report.

The 4% growth projected for Panama in 2025 and 2026 represents a reaffirmation of the country’s trajectory from the IMF. Panama will be aided by an inflation rate that is dipping into negative territory, a sharp contrast to many countries around the world that are seeing prices skyrocket.

As a positive note for international activity, the IMF’s new projections show a slight improvement in the expected global growth rate this year, which is now expected to grow by 3.2% in 2025, two-tenths more than forecast in July, with a solid 3.1% in 2026.

“The world is adapting” to protectionist trade measures, the IMF says in its report.

The IMF also noted that inflation is expected to continue to decline globally, “albeit with differences across countries: above target in the United States, with risks of further increase, and moderate elsewhere.”