Panama’s Micro, Small and Medium Enterprise Authority (AMPYME) has approved over $1.4 million in startup funding in a single week while expanding its national network of free business incubators. Director Raúl Fernández announced the results of the agency’s operational overhaul, which he credits for the surge in support for new entrepreneurs across the country. The push comes as Panama seeks to address a national employment crisis by fostering formal business creation.
Fernández detailed the agency’s recent achievements in a television interview, highlighting a streamlined model focused on sustainable guidance. The institutional transformation, he explained, involved significant cuts to administrative spending. Those savings are now being redirected into direct services for entrepreneurs.
“This is a new AMPYME, an AMPYME that reduces its expenses and functions much better,” said Director Raúl Fernández. [Translated from Spanish]
The most immediate impact is financial. At a recent services fair, the agency pre-approved $1,411,000 in financing for entrepreneurs. This was achieved in partnership with the state-owned Caja de Ahorros (Panama) and other banking entities. Fernández emphasized the agency’s role in bridging the gap between small business owners and formal credit.
National Network of Business Incubators Grows
A key part of the strategy involves physical spaces for business development. The Micro, Small and Medium Enterprise Authority (AMPYME) currently operates four free incubators. They are located in Panama City’s Cinta Costera, the Colon Arts and Culture Center, Chitré, and David. These hubs provide workspace, mentorship, and resources at no cost.
That network is set to grow significantly this year. Fernández confirmed plans for new incubator locations in Panama Este and the city of Changuinola. “And this year we are going for more,” he stated. [Translated from Spanish] The expansion aims to decentralize support and reach entrepreneurs in more provinces.
“Many entrepreneurs think they do not qualify for a bank loan at a low interest rate, and that they have to turn to loan sharks. We commit to providing that follow-up and we put up solidarity guarantees for that loan. We believe in the microenterprise leader,” Fernández said. [Translated from Spanish]
This hands-on approach includes helping entrepreneurs navigate the loan application process. The agency often provides guarantees to secure favorable terms from partner banks.
Comprehensive Path from Concept to Market
AMPYME’s support model extends far beyond initial funding. The agency offers a comprehensive package designed to take a business idea to a functioning market. Services include business plan creation, website and social media development, and access to both digital and physical marketplaces. They even facilitate alliances for sanitary product registration at a 70 percent discount.
Fernández outlined the agency’s three core criteria when evaluating a potential business. They first assess the venture’s long-term sustainability. The second focus is on creating a traceable and formal operation. Profitability for the owner is the third and final pillar. This structured method reportedly helped generate over 6,000 jobs last year alone.
Prospective entrepreneurs can now initiate contact through a digital assistant. Interested individuals can message an artificial intelligence agent named “Maya” on WhatsApp. They can also visit the agency’s dedicated online portal. The system promises a response to all inquiries within 48 hours, lowering the barrier to entry for first-time business owners.
The agency’s revitalized efforts signal a concentrated government push to stimulate economic growth from the ground up. By cutting internal costs and amplifying external support, AMPYME is positioning itself as a central player in Panama’s strategy to combat unemployment through entrepreneurship.