Solunion, the trade credit insurance joint venture created by Euler Hermes and MAPFRE, has formally launched operations in Panama. It is  the seventh Latin American country in which Solunion operates, following launches in Uruguay and Peru earlier this year. Solunion offers, Panamanian businesses services and solutions to develop their trade safely both in the domestic market and internationally.

“Panama has an open economy, political stability, a strategic location and an economic fabric that is increasingly mature and focused on international trade,” says Fernando Pérez-Serrabona, Solunion’s Chief Executive Officer. “We want to stay very close to local businesses as they grow, and a trusted partner by providing them with information, insuring their trade risks and helping them to make the most of new trading opportunities that will enable them to grow safely.”

MAPFRE PANAMÁ, S.A. is now able to issue credit insurance policies in Panama, using all its retrocession capacity, reinsurance from MAPFRE RE, COMPAÑÍA DE REASEGUROS, S. A. and the technical support and credit assessment experience of SOLUNION. MAPFRE holds a 50% stake in SOLUNION with Euler Hermes.

According to Euler Hermes economic research, Panama’s growth outlook is among the strongest in the region. Over the past 12 years, its economy has significantly outperformed the regional average, with very strong growth rates - such as the 6.2% growth recorded in 2014. The economy is expected to remain very dynamic over the coming years, with growth of around 6% forecast for 2015 and 2016. Free trade agreements will be the main drivers of economic development and the country will continue to benefit from the Panama Canal’s expansion program and activity, the Colon free trade zone and from its role as a regional banking and financial centre.