Posted on August 20, 2025
The Panama Canal Authority presented to the Cabinet Council the budget for fiscal year 2026, amounting to B/.5,207.2 million, covering the period from October 1, 2025, to September 30, 2026.
The budget prioritizes future investments with a focus on water sustainability through the Río Indio lake project, business diversification, training and human resource development, management of the traditional and western watersheds, and the sustainable and competitive operation of the Canal.
For fiscal year 2026, direct contributions to the National Treasury are estimated at B/.3,193.8 million, an increase of B/.404.3 million or 14.5% compared with the approved 2025 budget.
Additional payments to other state entities for income tax, social security, education insurance, and employer-employee contributions are projected at B/.291.1 million.
Following its approval by the Cabinet Council, the budget will be submitted to the National Assembly of Deputies, in line with the procedures established by the National Constitution and the Organic Law of the Panama Canal Authority.
The government also announced measures addressing concerns from communities in the Río Indio basin about possible speculation and irregular land management linked to the new lake project. These measures include the legal definition of the project’s area of influence, which determines the lands and communities related to the development, and the requirement that any land sales, new constructions, loans, changes in land use, or economic activities within that area obtain prior non-objection from the Panama Canal Authority. In addition, the Cabinet Council approved a resolution declaring the Río Indio lake project to be of public interest.
The Río Indio lake is intended to secure water supply for more than 50% of the population and to support productive activities in the region, including the operation of the Panama Canal for the next 50 years.
Panama Canal Authority (Autoridad del Canal de Panamá, ACP) is an autonomous legal entity of the Republic of Panama responsible for the administration, operation, maintenance, and modernization of the Panama Canal. It operates under its own Organic Law and financial independence.
