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Since the beginning of the 21st century, Panama has exhibited remarkable economic growth and has reduced the gap in terms of income per capita with high-income countries. Social progress has also been achieved, mainly through the reduction of poverty and advances in some well-being dimensions. However, challenges remain with regard to overcoming the so-called middle-income trap and consolidating the middle-class. This first volume of the Multi-dimensional Country Review of Panama identifies the main barriers to further inclusive development. It highlights that promoting equitable, inclusive and sustainable economic growth and improving the well-being of all citizens should be at the core of Panama's development strategies.
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