Inflation rates by country and year

-1.6%2.9%7.4%11.8%16.3%
-1.6%2.9%7.4%11.8%16.3%
19600.1%
19921.8%
2025-0.2%
Source: World Bank

Data: World Bank, annual %. For information only — not financial advice.

Year2025Inflation Rate-0.2%

Behind the curve

Turning points in Panama

  1. 2008↑ Upward pressure

    The world food price crisis — Wikipedia (opens in a new tab)

    Panama, which uses the U.S. dollar, imports most of its food and fuel, so the 2007–08 global price surge fed directly into local prices.

    Instituto Nacional de Estadística y Censo (INEC)
  2. 2020↓ Downward pressure

    The pandemic recession — Wikipedia (opens in a new tab)

    The pandemic cut activity and logistics, easing inflation in 2020.

    Instituto Nacional de Estadística y Censo (INEC)
  3. 2022↑ Upward pressure

    The post-pandemic inflation surge — Wikipedia (opens in a new tab)

    Higher global food and energy prices lifted Panamanian inflation in 2022.

    Instituto Nacional de Estadística y Censo (INEC)

These are selected historical influences, not a complete account of inflation. An upward-pressure event can coincide with a peak when its inflationary effect has already occurred or when other forces begin pushing inflation lower. The markers show the years in which events occurred, although their effects may extend into later years.

What is the inflation in Panama?

The annual inflation rate in Panama was -0.2% in 2025, the most recent year in the World Bank dataset. That means prices fell 0.2% on average compared with the year before. Use the chart above to explore Panama's full inflation history from 1960 to 2025, and to compare it with any other country.

How inflation in Panama has changed

Inflation in Panama peaked at 16.3% in 1974 and reached its lowest point at -1.6% in 2020. Averaged across the 66 years of available data (1960–2025), the rate has been 2.5% per year.

Frequently asked questions about inflation in Panama

What is the current inflation rate in Panama?

The latest available annual figure is -0.2% in 2025, from the World Bank. Because the figures are reported annually, they may not reflect the most recent monthly reading published by Panama's statistical office.

What was the highest inflation rate in Panama?

The highest annual inflation rate on record is 16.3%, reached in 1974.

What was the lowest inflation rate in Panama?

The lowest annual inflation rate on record is -1.6%, recorded in 2020.

Where does the inflation data for Panama come from?

All figures come from the World Bank's World Development Indicators (indicator FP.CPI.TOTL.ZG), which report annual consumer price inflation for more than 200 countries and territories from 1960 onward.