Panama boosts its digital transformation with new submarine telecommunications cables

Posted on 2025-10-10

The Cabinet Council has approved new resolutions allowing the Ministry of Economy and Finance (MEF) to sign administrative concession contracts with Telconet Submarine Networks, S.A. (Telcosub) and Trans Caribbean Fiber Systems, Inc. for the installation and operation of two submarine telecommunications cable systems in Panamanian waters.

With a combined investment exceeding $3.6 million, these projects will consolidate Panama’s position as a strategic international connectivity hub, boosting the country's competitiveness in the digital sector and strengthening its technological infrastructure.

Resolution No. 110-25 authorizes the contract with Telcosub for the Carnival Submarine Networks-1 (CSN-1) system, with a 20-year term and an estimated value of $1,238,522.40. This system will connect key points from Ecuador and Florida (United States), improving coverage and data transmission capacity across the region.

Meanwhile, Resolution No. 120-25 approves the concession with Trans Caribbean Fiber Systems, Inc., responsible for the Trans Caribbean Fiber Systems (TAM-1) project, also for a 20-year term and an investment of $2,439,112.80.

Both initiatives mark an important step in Panama’s digital transformation, positioning the country as a regional leader in connectivity and advanced telecommunications.