Income Inequality in Panama (1980-2024)

PA flag
North America Pop. 4.52 million
21.97%
Top 1% Share
52.12%
Top 10% Share
10.11%
Bottom 50% Share

As of 2024, the top 1% in Panama earned 21.97% of total national income, while the bottom 50% received just 10.11%. Panama’s income inequality has remained relatively stable since 1980, when the top 1% share was 22.27%.

Key Income Distribution Metrics for Panama in 2024

In 2024, income in Panama was distributed as follows: the wealthiest 1% of the population captured 21.97% of total national income, which is notably higher than the global average of 16.17%. Meanwhile, the bottom half of earners received 10.11% of income, notably lower than the global average of 14.97%.

Metric Panama Global Average
Top 1% Income Share 21.97% 16.17%
Top 10% Income Share 52.12% 45.21%
Bottom 50% Income Share 10.11% 14.97%
Gini Index 49.73 40.77

How Has Income Inequality Changed in Panama?

Top 1% Income Share Trend (1980-2024)

The share of income going to Panama’s top 1% has remained relatively stable over the past 44 years. In 1980, the top 1% captured 22.27% of national income. By 2024, this figure had fallen by 0.30 percentage points to 21.97%.

19.0%20.8%22.6%24.4%26.2%28.0%1980198519901995200020052010201520202024

Top 10% vs Bottom 50% Income Gap Over Time

The income gap between the top 10% and bottom 50% in Panama has narrowed over this period. In 1980, the top 10% earned 55.41% while the bottom 50% received 8.39%. By 2024, these figures shifted to 52.12% and 10.11% respectively.

Year Top 1% Top 10% Bottom 50% Gap (Top 10 – Bottom 50)
1980 22.27% 55.41% 8.39% 47.02 pp
1986 22.27% 55.41% 8.39% 47.02 pp
1992 22.27% 55.41% 8.39% 47.02 pp
1998 22.27% 55.41% 8.39% 47.02 pp
2004 24.14% 55.88% 8.72% 47.16 pp
2010 23.78% 54.55% 9.47% 45.08 pp
2016 23.45% 52.95% 10.28% 42.67 pp
2022 21.99% 52.14% 10.14% 42.00 pp

How Panama Compares Globally

Panama vs North America Average

Compared to other countries in North America, Panama’s top 1% income share of 21.97% is slightly higher than the regional average of 20.66%. The bottom 50% in Panama receives 10.11% of income, compared to the North America average of 11.73%.

Where Panama Ranks Among All Countries

  • Top 1% income concentration: Panama ranks 26th out of 184 countries (higher rank = more concentrated wealth at the top)
  • Bottom 50% income share: Panama ranks 155th out of 184 countries (higher rank = larger share for the bottom half)

Countries with similar income inequality levels to Panama include Bahamas, Belize, income distribution in Bolivia.

Additional Economic Indicators for Panama

Poverty Rate

The poverty rate in Panama was recorded at 3.13% in 2024.

Gini Index

Panama’s Gini index of 49.73 indicates high inequality. The Gini index ranges from 0 (perfect equality) to 100 (maximum inequality).

Frequently Asked Questions

What is the income share of the top 1% in Panama?

As of 2024, the top 1% in Panama earned 21.97% of total national income. This level of concentration is considered very high by international standards.

Is income inequality increasing or decreasing in Panama?

Income inequality in Panama has remained relatively stable since 1980. The top 1% income share moved from 22.27% in 1980 to 21.97% in 2024.

What percentage of income goes to the bottom 50% in Panama?

In 2024, the bottom 50% of earners in Panama received 10.11% of total national income. This compares with the top 10% who captured 52.12%.

What is the Gini coefficient of Panama?

Panama's Gini index was 49.73 as of 2024. A Gini of 0 represents perfect equality, while 100 represents maximum inequality.

What is the poverty rate in Panama?

The poverty rate in Panama was 3.13% as of 2024.

Last updated: April 8, 2026

Data source: World Inequality Database (WID). This dataset covers income distribution metrics for 199 countries from 1980 to 2024.

Learn about our methodology