According to Art. 11 of Decree-Law No. 10, the National Telecommunications Directorate, the executive authority for the supervision and administration of services in the telecommunications sector, is independent from the government in the decision-making process.

Resolution No. 52, issued by the Panamanian Authority for Government Innovation in September 2021, requires government entities with mission-critical or sensitive data in the cloud to transition such data to in-country storage facilities by end of December 2022. However, according to foreign companies and cloud service providers, the Resolution has not had a material impact on their operations in Panama and enforcement mechanisms have not been implemented.

Panama has not appended the WTO Telecom Reference Paper to its schedule of commitments.

It is reported that there are restrictions for obtaining a license to provide telecommunication services or to operate telecommunication facilities. In the specific case of mobile telephony, Art. 1 of Law No. 36 establishes that the market will be consolidated into three concessions for the operation of these services.

According to Art. 74 of the Decree No.73, it is necessary for service provider to obtain the corresponding concession in advance to provide any telecommunications service. For foreign companies, a registration in the Public Registry shall be finished before obtaining the concession.

According to Art. 8 of Law No. 17, concessions for cellular mobile telephony services can only be granted to Panamanians and foreign corporations domiciled in the territory of the Republic of Panama.

The government owns 49% of the shares of Cable & Wireless Panama, SA, which is a Panamanian telecom company governed by private law.

Panama does not mandate functional separation for operators with significant market power (SMP) in the telecom market. However, there is an obligation of accounting separation since 1999. Resolution JD-1334 of 1999 (Resolución No. JD-1334 - Por medio de la cual se dictan los parámetros para establecer posición dominante para la prestacion de servicios públicos de telecomunicaciones con fines comerciales) establishes the criteria which determine if a given company has significant market share. It is calculated in terms of Gross Revenue that exceeds by more than 25% or more the other competitors of the respective service.

Law No. 35 provides a framework for effective protection of trade secrets. Title IV the Industrial Property Law, regulates commercial and trade secrets and holds accountable whoever infringes these provisions.

There is an obligation for passive infrastructure sharing in Panama to deliver telecom services to end users. It is practiced in the mobile sector and in the fixed sector based on commercial agreements. As established by Art. 1 of the Resolution AN No. 2848-Telco and Annex A on Regulations for the installation, operation and shared use of towers and/or structures that support telecommunications service antennas.

Panama has ratified the World Intellectual Property Organization (WIPO) Copyright Treaty.

Panama has ratified the World Intellectual Property Organization (WIPO) Performances and Phonogram Treaty.

Panama has a clear regime of copyright exceptions that follows the fair use, which enable the lawful use of copyrighted work by others without obtaining permission. Law No. 64 provides the basic concepts as well as the limitations and exceptions to copyright, expressed in Arts. 26 to 73, which also include a reference to fair dealing.

It is reported that the rate of unlicensed software installation in Panama was 71% in 2017 (above the 52% rate of the Latin American countries) for an estimated commercial value of USD 112 million. Yet, in 2012, Panama updated its legislative framework to improve standards for protecting and enforcing IP protections with Law No. 64 on copyright. This included enhanced protections for patents, trademarks, digital copyrighted products such as software, music, text, and videos, and other measures to deter piracy and counterfeiting.

According to the Art. 29 of the Law No. 35, a patent applicant shall file the application through a lawyer office in Panama.