The Government of Ecuador has officially removed Panama from its list of tax havens, following the signing of a bilateral agreement on the exchange of tax information. This decision marks a significant milestone in Panama’s ongoing efforts to strengthen fiscal transparency and align with international standards.
Signing of the Bilateral Agreement
The agreement was signed on August 14 by Panama’s General Directorate of Revenue (DGI) and Ecuador’s Internal Revenue Service (SRI). On August 15, Ecuador issued a formal resolution removing Panama from its blacklist of jurisdictions considered tax havens.
According to Panama’s Ministry of Foreign Affairs, this achievement is the result of bilateral negotiations aimed at fostering greater tax cooperation. The agreement promotes both automatic and upon-request exchange of tax information, in accordance with international standards such as those set by the Global Forum on Transparency and Exchange of Information for Tax Purposes.
A Step in the Right Direction
In his weekly press conference, President José Raúl Mulino described the removal as “another step in the right direction” as part of his administration’s broader strategy to strengthen public policy and enhance the country’s international reputation. President Mulino emphasized that this move is aligned with Panama’s objective of being removed from all discriminatory lists and advancing its candidacy for membership in the Organisation for Economic Co-operation and Development (OECD).
He also noted Ecuador’s strategic importance as a user of the Panama Canal and shared that he had informed Ecuadorian President Daniel Noboa of Panama’s plans to build a new reservoir to ensure a reliable water supply for the interoceanic route.
Continued Progress on Fiscal Compliance
Panama had been on Ecuador’s list of tax havens since 2008. This latest removal adds to the country’s series of recent achievements in fiscal compliance. In recent years, Panama has been removed from the European Union’s list of high-risk third countries for money laundering, and from the Financial Action Task Force (FATF) grey list at the end of 2023.
This milestone reinforces Panama’s commitment to a transparency-driven agenda, responsible international cooperation, and institutional strengthening — all essential for attracting investment, enhancing competitiveness, and promoting fair and sustainable fiscal practices with its regional and global partners.
