Transaction Capital Drops 20%, Panama Seeks to Reopen Key Mine; Peruvian Port Project Advances

Mixed economic signals in Latin America: The transactional market sees a 20% drop in capital mobilization. Meanwhile, Panama seeks to reopen the giant

Cobre Panamá mine and the development of the Peruvian Chancay megaport is progressing.

Beyond politics and security, other relevant news paints a mixed economic and development picture in Latin America this 12th.

May.

A fact that raises alarms about the regional economic dynamism is the 20% drop in capital mobilized through mergers and acquisitions (M&A) in Latin America during the first four months of 2025, compared to

with the same period of the previous year.

• Lower Investment: This significant reduction in transaction volume suggests a possible slowdown in investment or greater caution on the part of companies and investors in the current economic environment.

  global and regional.

• Context: Factors such as political uncertainty in some countries, high interest rates or lower global economic growth could be

  influencing this trend.

In contrast to the possible general investment slowdown, significant movements are observed around large natural resource projects and

infrastructure:

• Panama Seeks to Reopen Cobre Panamá Mine: Panama's newly elected president, José Raúl Mulino, has expressed his intention to seek a way to reopen the Cobre Panamá mine. This enormous copper mine, operated by FirstQuantum Minerals, was abruptly closed following massive social protests and an adverse court ruling. Its reopening would be a major economic event for Panama, although politically sensitive. The decision is also

  closely followed in Peru, as First Quantum operates the La Granja project there.

• Chancay Megaport (Peru) and Connections: The development of the Chancay megaport, north of Lima, a project with significant Chinese investment (Cosco Shipping), continues to advance. This port is poised to become a key logistics hub on the Pacific coast of South America. In addition, the possibility of a railway project connecting Brazil with this Peruvian port is mentioned, facilitating the export of Brazilian raw materials to Asia via the Pacific.

  initiative of great geostrategic magnitude.

"Panamanian President José Raúl Mulino said he will seek a way to reopen the Cobre Panamá mine."

These examples show the coexistence of worrying economic trends (a drop in M&A) with the persistence of large bets on the exploitation of natural resources and the development of strategic infrastructure, projects that, while promising growth, often face challenges.

significant social, environmental and political.

Do you think the reopening of Cobre Panama is positive for the region?

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