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The Panama Canal and the economy: legal regime, results and payments to the Treasury

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Last verified: 2026-10-29 · Status: Stable

The Constitution makes the Canal an inalienable national asset run by the Panama Canal Authority (ACP), an autonomous public entity with its own budget outside the State budget. The ACP pays the Treasury per net ton fees and its economic surplus. For fiscal year 2025 (October 2024 to September 2025) it delivered B/.2,965 million, about 3.3 percent of 2025 GDP. In fiscal year 2026 transits rose 4.1 percent to 13,951 and unaudited revenue rose 16.6 percent to B/.6.6 billion. The FY2027 budget approved by the Assembly foresees B/.3,608 million in direct contributions.

Panama's currency, the balboa (B/.), is at par with the US dollar, which circulates as legal tender; the Superintendencia de Bancos states that the official currency is the balboa, whose value is on a par with the United States dollar (checked 29 October 2026). USD figures therefore equal the balboa figures.

Key facts

ACP contributions delivered to the Treasury, FY2025	2965 USD millionConstitución arts. 320 and 321; ACP release 17 December 2025, as of 2025-09-30 · in force
ACP budgeted direct contributions, FY2027	3608 USD millionACP FY2027 budget approved in third debate, as of 2026-10-01 · pending
ACP budget FY2027	5555 USD millionACP FY2027 budget approved in third debate, as of 2026-10-01 · in force
Canal transits FY2026	13951 transitsACP results release 21 October 2026, as of 2026-09-30 · in force
Canal tonnage FY2026	521 million PC/UMS tonsACP results release 21 October 2026, as of 2026-09-30 · in force
ACP total revenue FY2026 (unaudited)	6600 USD millionACP results release 21 October 2026, as of 2026-09-30 · in force
ACP Board of Directors	11 membersConstitución art. 318, as of 2026-10-29 · in force
ACP contributions FY2025 relative to 2025 GDP (own calculation)	3.3 % of GDPACP release; INEC PIB 2025 (E), as of 2025-12-31 · in force

The rule

1. The Panama Canal is an inalienable asset of the Panamanian nation, open to peaceful and uninterrupted transit by ships of all nations. The Autoridad del Canal de Panamá, an autonomous legal entity of public law with its own assets, has exclusive charge of the Canal's administration, operation, maintenance and modernization so that it runs safely, continuously, efficiently and profitably, and manages the water resources of the Canal watershed. Plans for construction, water use, ports or other works on the Canal's banks need prior ACP approval.Constitución Política de la República de Panamá (texto único, Gaceta Oficial 25176 of 15 November 2004), Art. 315 and art. 316, 2004-11-15 official text · verified 2026-10-29

2. The ACP pays no national or municipal taxes, duties or fees except social security contributions, educational insurance, occupational risk premiums and public service charges. Ships, their cargo or passengers, owners and operators are not subject to any other national or municipal levy by reason of their transit, beyond what art. 321 provides.Constitución Política de la República de Panamá (texto único, Gaceta Oficial 25176 of 15 November 2004), Art. 316 (last paragraph) and art. 321, 2004-11-15 official text · verified 2026-10-29

3. An eleven member Board of Directors governs the ACP. It sets tolls, rates and fees for the use of the Canal and related services, subject to final approval by the Cabinet Council, and may contract loans with prior Cabinet approval and within legal limits.
Example: A shipping line facing a toll change should follow the ACP consultation and the Cabinet approval; the toll is not set by the Assembly or by tax law.Constitución Política de la República de Panamá (texto único, Gaceta Oficial 25176 of 15 November 2004), Art. 318 and art. 319 numerals 2 and 3, 2004-11-15 official text · verified 2026-10-29

4. The ACP runs a three year financial planning system and approves its annual budget by resolution; the budget is not part of the General State Budget. It goes to the Cabinet Council, which submits it to the Assembly for approval or rejection. The budget sets the transfer of the economic surplus to the National Treasury once operating, investment, maintenance, modernization and expansion costs and contingency reserves are covered. Annually the ACP also pays the Treasury fees per Canal net ton (or equivalent) charged to tolled vessels, not lower than those the Republic received at 31 December 1999. The Comptroller General audits execution only after the fact.Constitución Política de la República de Panamá (texto único, Gaceta Oficial 25176 of 15 November 2004), Art. 320 and art. 321, 2004-11-15 official text · verified 2026-10-29

5. The Canal is subject to a special merit based labor regime; it preferably hires Panamanian nationals, labor disputes are resolved through mechanisms set by law with arbitration as the last administrative instance, and, as an essential international public service, its operation cannot be interrupted for any cause.Constitución Política de la República de Panamá (texto único, Gaceta Oficial 25176 of 15 November 2004), Art. 322, 2004-11-15 official text · verified 2026-10-29

6. For fiscal year 2025 (1 October 2024 to 30 September 2025) the ACP delivered B/.2,965 million to the National Treasury: B/.2,372 million of economic surplus, B/.591 million of transit tonnage fees and B/.2 million for public services provided by the State.
Example: B/.2,965 million against 2025 nominal GDP of B/.90,462.6 million is about 3.3 percent of GDP. The MEF counts B/.2,953 million contributed by the Canal to the State in calendar 2025. / About US$2.97 billion.Autoridad del Canal de Panamá, delivery of direct contributions to the National Treasury (17 December 2025), Constitución art. 320 and art. 321, 2025-12-17 official text · verified 2026-10-29

7. Fiscal year 2026 (October 2025 to September 2026): 13,951 transits (up 4.1 percent from 13,404), 521 million PC/UMS tons (up 6.5 percent from 489.2 million), with the Neopanamax locks carrying 52.2 percent of tonnage, a 50 foot maximum draft maintained through the dry season, and total revenue of B/.6.6 billion, up 16.6 percent (unaudited).Autoridad del Canal de Panamá, fiscal year 2026 results (21 October 2026), ACP results release, 2026-10-21 official text · verified 2026-10-29 · changed: 21 October 2026: ACP reported FY2026 results; audited figures follow in the annual report.

8. The ACP budget for fiscal year 2027 (1 October 2026 to 30 September 2027), of B/.5,555 million, was approved by the National Assembly in third debate. It foresees direct contributions to the National Treasury of B/.3,608 million, B/.414 million (12.9 percent) more than the B/.3,194 million in the approved FY2026 budget.
Example: Budgeted contributions of B/.3,608 million are about 10.3 percent of the B/.34,900.8 million 2026 General State Budget total. / About US$3.61 billion.Autoridad del Canal de Panamá, approval in third debate of the FY2027 budget (28 September 2026); Constitución art. 320, Constitución art. 320, 2026-09-28 official text · verified 2026-10-29 · changed: 28 September 2026: FY2027 ACP budget approved in third debate by the Assembly (B/.5,555 million; B/.3,608 million budgeted contributions).

9. Canal activity feeds GDP directly: INEC reports that Canal toll revenue rose 22.0 percent in 2025, helping transport, storage and mail grow 14.5 percent in real terms, the fastest of any sector. In August 2026 toll revenue was 2.9 percent above August 2025 and 8.4 percent higher for January to August.INEC, PIB anual 2025 (E) comentarios; INEC, Principales Indicadores Económicos Mensuales agosto 2026, Section 7 (transport) and section 1a (Autoridad del Canal de Panamá), 2026-10-16 official text · verified 2026-10-29

Item	FY2025	FY2026	FY2027 budget
Transits	13,404	13,951
Tonnage (million PC/UMS tons)	489.2	521
Total revenue		B/.6.6 billion (unaudited, up 16.6%)
Contributions to the Treasury	B/.2,965 million delivered	B/.3,194 million budgeted	B/.3,608 million budgeted
ACP budget			B/.5,555 million

Panama Canal key figures (ACP releases)

Component	Amount (B/. million)	Constitutional basis
Economic surplus	2,372	Art. 320
Transit tonnage fees	591	Art. 321
Public services provided by the State	2	Art. 316 and art. 320
Total	2,965

FY2025 contributions to the National Treasury by component (ACP, 17 December 2025)

Worked example

How Canal results reach the budget. If FY2027 contributions come in at the budgeted B/.3,608 million (US$3,608 million), they would cover roughly 97 percent of the B/.3,718.0 million of debt interest budgeted for 2026, which is why the MEF expects Canal transfers in the last quarter to help it meet the annual deficit cap.
Logistics business case. A port services or bunkering business can size demand from ACP transit and tonnage figures (13,951 transits and 521 million PC/UMS tons in FY2026) and INEC's monthly Canal and port indicators, rather than from national GDP, since its customers are ships in transit.

Step by step

1. Follow ACP monthly operations advisories and annual results for transits, draft limits and tonnage.
2. Read the ACP budget each September (Assembly approval) for the next fiscal year's planned contributions and investment.
3. For projects on or near the Canal banks or in the watershed, plan for prior ACP approval under art. 316.
4. For the fiscal impact, see macro/public-finances-budget-and-debt; for the related free zone and port regimes, see trade/colon-free-zone and trade/free-zones.

Common traps

Mixing fiscal years. The ACP year runs from 1 October to 30 September; the State budget is the calendar year, so ACP FY2025 deliveries (B/.2,965 million) and the MEF's calendar 2025 figure (B/.2,953 million) differ.
Treating budgeted contributions as cash. The surplus transfer is set after costs, investment and reserves are covered, and audited statements come later.
Assuming tolls are set by law or tax. Tolls are set by the ACP Board with final Cabinet approval, and vessels in transit face no other national or municipal levy.
Ignoring water. The Constitution makes the ACP responsible for the Canal watershed, and permitted draft depends on water availability; for FY2026 the ACP reports keeping a 50 foot maximum draft through the dry season. Check current draft advisories before fixing shipping schedules.

Sources

← Panama external sector: services surplus, goods deficit, FDI, the Colón Free Zone and remittancesChoosing a legal entity in Panama: sociedad anónima, limited liability company, branch, private interest foundation or sociedad de emprendimiento →

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