Panama's multidimensional poverty falls, but regional gaps persist

Multidimensional poverty in Panama has declined, with the national rate falling by 2.3 percentage points to 12.4% between 2022 and 2025. This shift means approximately 83,949 individuals have moved out of multidimensional poverty, according to the Ministry of Economy and Finance (MEF).

The Index of Multidimensional Poverty (IPM) measures deprivations beyond income, encompassing education, housing, basic services, employment, health, and environment. The latest report indicates progress in 15 out of 17 measured indicators. Notably, 3,407 homes in rural and remote areas gained access to electricity, reducing electricity deprivation by nearly 40%. In healthcare, a new prenatal monitoring system, SIPWEB PLUS, contributed to a 33% decrease in deprivation related to pregnancy care. Access to land transport routes also improved, with a 31.1% reduction in related deprivations.

The most significant poverty reductions were observed in regions historically facing the greatest challenges. The Emberá comarca saw a 16-point decrease, followed by Bocas del Toro with a 9.9-point drop, and the Ngäbe Buglé comarca with a 7.9-point reduction. The intensity of poverty also decreased, meaning those still in poverty face fewer deprivations simultaneously. The MEF uses the IPM to guide public investment and social policies, analyzing poverty through multiple dimensions rather than solely income.