How Panama is transforming fragmented systems into a digital state
The Autoridad Nacional para la Innovación Gubernamental (AIG - National Authority for Government Innovation) is the central agency driving Panama's digital transformation. Its mission is to make public services easier to access, more transparent, and more efficient. Panama aims to join the world's top 40 digital governments by 2027, supported by a nationally mandated push for interoperability, online service delivery, and reduced bureaucracy.
The challenge
Eliminating siloed systems so citizens don't have to re-submit information.Like many governments, Panama historically operated with fragmented IT systems and institutional silos. Citizens were forced to re-enter the same personal data repeatedly - whether registering a business, applying for a subsidy, requesting their police record, or checking if a vehicle had been towed.
Each department held its own records, logins, and processes, with no shared view of the citizen. This fragmentation led to duplication, inefficiencies, and a poorer user experience.
The government set out to fix this. The strategic goal was more than convenience - it was structural reform.
Panama aims to deliver 100% online services that work across ministries, eliminate duplicated data entry, and make it easier and faster for citizens, businesses, and investors to interact with the state. Panama is working toward a one-time data entry model used by leading digital governments - where citizens provide information once and it is reused securely across institutions.
To realize this shift, Panama needed a secure, flexible, scalable, and cost-effective way to connect systems and enable real-time data exchange across government departments.
"Interoperability is essential to achieving our goal of delivering 100% online government services. We need to integrate data from several different institutions into multiple workflows."
The solution
A central digital portal powered by an open-source, interoperable integration backbone.
At the centre of the transformation is Panama Connect, the government's flagship digital portal providing citizens and investors with a single access point for government services.
Launched in July 2025, Panama Connect consolidates services that were previously fragmented, supports single sign-on, and enables departments to coordinate around shared data. Users can also submit reports and requests 24/7 via the Citizen Service Center 311 app.
Underpinning Panama Connect is Zato, an open-source integration platform acting as the interoperability layer linking diverse institutional systems. AIG selected Zato for its flexibility, avoidance of vendor lock-in, and capacity to scale with government needs.
"We've had a good experience using Zato to achieve interoperability - it's proving a successful path."
The use of open source reflects a deliberate policy choice prioritizing cost control, sovereignty over core systems, and the freedom to personalize technology around national priorities.
Since deployment, Panama has scaled rapidly, increasing API connections from 10 to more than 100 within four months. This allows departments to reuse shared capabilities rather than build in isolation.
The outcome
A rapidly expanding suite of digitized services delivering faster results and greater accountability.
Panama's digital reforms are already improving citizen experience. Routine tasks that once took days or weeks can now be completed online, quickly and securely. One example is the digitization of police record requests for job applications - a widely used service that was previously manual and slow.
"It used to take several days to get your police record. Now it's 100% online and much quicker. People are using that service a lot."
As of early 2026, 60 citizen services are available through Panama Connect. The platform continues to expand, with a roadmap to add the most in-demand services by the end of 2026. "We began with the most fundamental services.
Upcoming priorities include digitizing construction permit submissions to accelerate industry efficiency, and putting public subsidy applications online - particularly beneficial for rural citizens who currently have to travel to the capital to apply.
AIG is now developing performance indicators to monitor data flows and ensure efficient, accountable exchange of information - strengthening operational transparency.
"In 2026, we aim to have digitized the services that cover 80% of what citizens and international investors need from the government", says Adolfo Fábrega.
Transparency and accountability
Transparency is another core pillar of Panama's digital transformation drive. The government plans to publish data on public subsidies and incentives, making taxpayer spending more visible and strengthening trust and accountability."Transparency is a core ethical principle. Citizens should know who benefits from public programs."
AIG openly acknowledges that digital transformation is a work in progress rather than a completed destination. Tracking data flows, improving governance, and removing duplication are ongoing efforts rather than finished achievements - but the strategic direction is set, and institutional capability is building.
Recommendations for others
As Panama continues scaling digitization, Adolfo is clear about what matters most for those following a similar path:
"Our main recommendations for others pursuing digital transformation are to build a strong service-oriented architecture and ensure good data governance."
By serving as Panama's interoperability backbone, Zato provides the technical foundation for greater coordination, efficiency, and resilience - helping shift service delivery from transactional to structural, and putting citizens at the centre of government interaction.
"We recommend Zato to other governments with similar digital transformation goals and challenges."
Adolfo Fábrega, General Administrator, AIG Panama
— John Adams
