Businesses believe Panama heading for “apocalyptic social chaos”

 
1,289Views 6Comments Posted 11/08/2020

A nationwide survey of  micro, small and medium-sized businesses (MSMEs) which provide 70% of the country’s jobs, reveals that  91% believe that the country is heading for apocalyptic social chaos

The survey by the  Federation of  Chambers of Commerce (Fedecamaras), between July 24 and August 5revealed that 96% are not operating normally.

The sample included 817 companies, 70% are independent entrepreneurs and micro-companies (less than 10 workers), 25% are small companies (11 to 49 workers) and 5% are more than 50 workers.

83% of the MSMEs surveyed have been operating for more than 2 years and 91% are formalized.

According to the results of the survey, only 4% operate normally and 96% of the businessmen surveyed who said they do not operate normally said they have had to lay off workers, operate with less staff, reduced salaries, or apply telework.

Meanwhile, 40% closed temporarily or permanently and only 15% of the companies surveyed will re-open with all their workers; 47% will reopen with fewer workers, and 37% will reinvent themselves.

Only 8% of MSMEs have sufficient resources to meet their commitments and 15% have already gone bankrupt.

Two out of every three entrepreneurs need up to $25,000 to reactivate their businesses. Some 80% of the MSMEs surveyed think that the Government's plans will not help to improve of their companies or will reactivate the economy, 70% question the health policies adopted by the authorities, and 83% answer that the economy simply is not going to reactivate.

The high level of uncertainty and pessimism prevailing in the sector has led to an urgent call to the Government to act immediately based on the realities, in the face of the imminence of a possible economic disaster.

The Federation considers that the National Government should reorient the productive sector towards opening in harmony with the health guidelines or protocols requested by the Ministry of Health (Minsa), for each sector or economic activity.



Comments 6

user
Oh ya

Jb is not just panama its the world .escape to where .the US ? They have huge problems there and its going to get worse nomatter who wins on november .as the dollar drops farther in value like it has been everywhere is going to be bad .at least here it is warm enough to go food and hey the ocean is full of fish .and no fish cops standing on shore when you get back .panama is no perfect but neither is montana when its -30 . So make your excape and stop worrying about us

1 month ago
user
Oh ya

Jb is not just panama its the world .escape to where .the US ? They have huge problems there and its going to get worse nomatter who wins on november .as the dollar drops farther in value like it has been everywhere is going to be bad .at least here it is warm enough to go food and hey the ocean is full of fish .and no fish cops standing on shore when you get back .panama is no perfect but neither is montana when its -30 . So make your excape and stop worrying about us

1 month ago
user
Jbbrown

I was attacked by leftists on this site when I pointed out this fact months ago. Panama is in deep trouble and the social chaos hasn't even begun yet. Everyone should be planning their escape at this point.

1 month ago
user
jackinthebox

Oh ya, you're giving them too much credit. You mean half a functioning braincell. Lol Will join you on your fishing trip

1 month ago
user
Dr. Martin

The founder of this apocalypse is Cortizo. Working for the PRD and the reincarnation of Noriega. Panama is death.

1 month ago
user
Oh ya

Anyone with 2 working braincells could have seen this coming months before the virus. One big giveaway was the US government pumping billions a night into the REPO market to stop the banks from imploding. If your involved with construction, hotels, restaurants or any tourist related business it sucks to be you. Think i will go fishing manana. Life is good

1 month ago
The comments are the responsibility of each author who freely expresses his opinion and not that of Newsroom Panama.
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