Our special guest has work closely with the private sector for more than 25 years, being General Manager of Productos de Prestigio S.A., has a degree in Finance from Villanova University; In addition, holds a Master in Business Administration (MBA) from Notre Dame University. He is also director of Panama Savings Fund, director of Profuturo AFPC, director of General Investment Fund and director of AES Panama, S.A.
Jean Pierre Leignadier is currently President of the Chamber of Commerce, Industries and Agriculture of Panama (CCIAP). In addition, he worked 16 years in the banking sector, holding different positions, being the last Vice President of Investment Banking at Banco General. In this interview, he gives us his vision of how Panama can manage the economy while keeping sanitary controls during the Covid-19 pandemic.
What are the first actions that you have decided to carry out as president of CCIAP in order to achieve progress in economic recovery?
“We have presented socioeconomic proposals to the Government Executive. Some of them were reflected in the President’s speech and we need to get them implemented as soon as possible; we hope they will be taken into account in the short term. They are transversal and sectorial proposals that seek to: Increase the circulation in the economy, activate jobs and stimulate demand. Some of these proposals are: Implementation of the agreements agreed upon at the Labor Table, correcting and expanding the Panama Solidarity plan to include all workers with suspended contracts, who do not benefit from state subsidies or are partially granted, and the informal sector, expand the Panama Solidarity plan through the system Clave Social of Banco Nacional, Caja de Ahorros and other banks promoting greater scope and transparency, expand the Electronic Voucher to include other businesses, besides supermarkets. Also establish a payment plan for suppliers with terms for account cancellation, extend for an additional 60 days the period of recognition of supllier’s expired accounts and have tax refunds done much faster ”.
How is possible for work between public and private entities be optimized to open up economic blocks without affecting the health of Panamanians and the recovery of jobs?
“CCIAP has identified health, the economy and social well-being as fundamental axes that must be addressed simultaneously and with equal haste to guarantee the effectiveness, continuity and sustainability of the economic and labor reactivation. While acting in the health field, the national government also needs to focus on the country’s socio-economic recovery.
Health planning must take place with a social accompaniment that goes beyond the first specific measures of delivering solidarity food bags and bonds.
Although initially the opening was contemplated in a staggered manner, the experience lived with the opening of Blocks 1 and 2, and the delay in the opening of Block 3, has shown that the gradual opening has generated distortions in the market due to the cut in the interconnection between industries or sectors, which in turn can lead to companies that had already opened to close again ”.
The agricultural sector has been vital in supplying the population with food amidst the health emergency. How will they be supported in the medium and long term to incentivize them with financial support and laws that will benefit this sector?
“At sectorial levels, we review initiatives in agriculture, such as: Making pending IMA payments to its suppliers, developing a campaign to consume national products, increasing the Food Solidarity Program fund, creating itinerant markets for fertilizers and fertilizers, eliminating price control, identify innovative items of rapid development, and complete the cold chain ”.
How did the “Adopt your Micro and Small Business initiative come about and how will it help entrepreneurs to emerge in complex times? Will the tourism sector also benefit from this initiative?
“As a complement to the aid plans that the Ministry of Economy and Finance is managing, the “Adopt your Micro and Small Business ” initiative seeks to display talent and horizontal focus through commercial support to the smallest local clients and suppliers – so that they can quickly re-start their activities.
This is a first step in that direction with respect to financing these businesses, in order to present the different options that are available, with the aim that none of them lag behind in the economic reactivation process for which the CCIAP presented proposals and is working to promote it responsibly. CCIAP is available to support all the processes that are necessary for companies to apply to these financing instruments. ”.
The Chamber of Commerce, Industries and Agriculture represents the 15 main sectors of the Panamanian economy including tourism, which puts them as part of this program.
What lessons do you consider the new normality brings to rethink new economic and social models and how Panama can reinvent itself as a country of service and connectivity to be competitive internationally?
“Without a doubt, the panorama will change after the pandemic, and it is time for all companies to review their strategies, so that speed and adaptability allow them to play an important role in the future. That is, the “new normal” which is much more than adopting the home office where possible: there will also be new consumer behaviors, online sales opportunities, direct delivery to the consumer, etc. The concept of the liquid organization is going to take relevance; It is the one that can be easily adapted to the changes that occur. Another change and at the same time an additional engine for the economy will be public-private partnerships, which launched their legal framework in 2019. The issue will definitely take relevance due to the fiscal tightness and limits on debt capacity. This scheme is going to play a very important role in the revival of the economy”.
