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The Cabinet Council, headed by the President of the Republic, José Raúl Mulino, approved today, Tuesday, two Cabinet Decrees that authorize the Ministry of Economy and Finance (MEF) to launch a rotating program of issuances in the local capital market and the possibility of contracting financial schemes with local and international financial institutions.
The first decree N. 34-24 authorizes the creation of a rotating program for the issuance of State securities called Treasury Notes and their placement in the local capital market for an amount of up to 6 billion dollars with terms from 2 to 10 years. The program in question aims to strengthen the Market Makers program and to deepen with them the capacities of the local capital market, while increasing the State’s access to short- and medium-term financing sources, in line with the seasonal needs of the National Treasury.
The Cabinet Council also approved today Cabinet Decree No. 33-24, which authorizes the MEF to subscribe to financing structures with different local and international financial institutions, for an accumulated amount of up to US$3 billion. This is done with the objective of giving the State the flexibility to execute financial operations at the opportune moment, according to the conditions offered and the seasonal needs of the National Treasury.
Today, the Cabinet Council also approved Decree No. 32-24, which authorizes the MEF to modify articles 2, 4, and 7 of Cabinet Decree No. 25 of April 15, 2024, by which the termination by mutual agreement of the Trust Agreement No. 0023 called the Special Fund to Stimulate the Banking System of Panama, signed between the State and the National Bank of Panama, was authorized, and the creation of Trust No. 0024 was authorized, which creates the Special Fund for Guarantee Programs, within which the existing trust commitments to be terminated will be maintained.
