In Panama, the form of government is a unitary constitutional presidential republic. In Panama, legislative power rests with a national assembly. The head of government is Juan Carlos Varela. A country's governmental structure determines the way laws are written, approved, and interpreted. The type of government determines the way elections are held as well as the country's system of policing its citizens. The term of office of the head of state in Panama lasts until January 1, 2019. The term of office of a head of state directly affects the power and influence of the executive branch. A longer term gives the head of state more authority. The term of office of the head of state in Panama lasts until January 1st, 2019. The length of a head of state's tenure directly affects the power and influence of the executive branch. A longer term gives the head of state more authority. The Global Peace Index (GPI) for Panama is 1.903. Due to the strong presence of the law enforcement authorities and the high level of social responsibility, Panama is very safe in international comparison. The Strength Laws Index for Panama is 7. Overall, it's considered fairly reasonable - bankruptcy and collateral laws are able to protect the rights of borrowers and lenders at least decently; Credit reports are usually sufficient and generally available. In 2013, Panama received $50.7 million in foreign aid. In 2014, foreign aid was $111.3.

Government
The head of government in Panama is Juan Carlos Varela. The system of government of Panama is a unitary constitutional presidential republic. In Panama, legislative power rests with a national assembly; This is a unicameral legislature and therefore a unicameral National Assembly. According to the World Bank Group, Panama's Government Effectiveness Index is 0.27. This shows that the government of Panama is mediocre. While some public and public services are limited, in other cases they can be considered adequate or even effective. Potential investors should carefully study the government situation in Panama before considering any business maneuvers.

Unions and alliances
This section provides a list of unions Panama is a part of.

Panama is a member of the United Nations (UN). Panama is a member of the World Trade Organization (WTO). Panama is a member of the International Monetary Fun (IMF). To learn more about when Panama became a member of these unions and what additional political unions and alliances Panama is a member of, click Panama's membership of international unions.

Freedom in Panama
In terms of political and civil liberties, Panama ranks 1st. Citizens in Panama experience total freedom. The majority of countries where citizens enjoy wide civil liberties and political liberties are representative democracies, where officials are directly elected by the citizens to advocate for their needs and wants. Free countries are often empowered by healthy economies and well-functioning governments.