Panama does not issue its own currency, therefore government spending and investment are limited by taxes, customs, and foreign loans.
The US Central Intelligence Agency (CIA) estimates that in 2000 Panama's central government took in revenues of approximately $1.9 billion and had expenditures of $2 billion including capital expenditures of $471 million. Overall, the government registered a deficit of approximately $100 million. External debt totaled $7.6 billion.
The following table shows an itemized breakdown of government revenues and expenditures. The percentages were calculated from data reported by the International Monetary Fund. The dollar amounts (millions) are based on the CIA estimates provided above.
R EVENUE AND G RANTS | 100.0% | 1,900 |
Tax revenue | 62.2% | 1,182 |
Non-tax revenue | 37.1% | 705 |
Capital revenue | <0.1% | 1 |
Grants | 0.7% | 12 |
E XPENDITURES | 100.0% | 2,000 |
General public services | 7.5% | 150 |
Public order and safety | 7.1% | 142 |
Education | 16.6% | 332 |
Health | 17.2% | 344 |
Social security | 20.9% | 418 |
Housing and community amenities | 2.9% | 57 |
Recreation, cultural, and religious affairs | 1.0% | 20 |
Economic affairs and services | 7.0% | 140 |
Interest payments | 19.8% | 397 |
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