The Board of Directors Approves the Transfer of 2016 Net Earnings to the National Treasury
Panama | Dec 14th, 2017
The Board of Directors of the Fondo de Ahorro de Panama (“FAP” or “Fund”) today approved the transfer of B/. 31.4 million to the National Treasury with respect to the Fund’s 2016 net earnings. (Note: B/. 1.00 = 1.00 USD.)
Notably, the Fund has transferred nearly B/. 100.0 million in net earnings to the National Treasury since its inception in 2012.
“The Fund closed 2016 with net assets of B/. 1,265.0 million, higher by B/. 40.1 million compared to 2015. The results are mainly associated with our strategic asset allocation and a strong focus on obtaining moderate risk-adjusted returns, in light of the Fund’s long-term profile,” commented Abdiel A. Santiago M., Secretary of the Fund.
José N. Abbo, Chairman of the Board, expressed that “this result reflects an efficient management of the assets – savings of the Panamanian State – characterized by a prudent and long-term investing strategy.”
As indicated in Executive Decree 1068 of September 6, 2012, which regulates the FAP Law, the Fund’s net earnings, upon request of the Ministry of Economy and Finance, may be withdrawn annually for their respective incorporation into the General State Budget, and for public investment purposes.
About Fondo de Ahorro de Panama
The Fund was created by Law 38 of June 5, 2012, whose main objectives are:
Establish a long-term savings mechanism for the Panamanian State; and
Establish a stabilization mechanism in case of a state of emergency (declared by the Cabinet’s Council) and economic slowdowns.