Panama Seeks UN Funding for Río Indio Reservoir

Panamanian President José Raúl Mulino has requested support from the United Nations to finance the construction of the Río Indio reservoir. This project aims to secure water for the Panama Canal, which handles approximately 5% of global maritime trade. The estimated investment is USD 1.6 billion, with construction slated to begin in 2028. The initiative comes after a drought linked to El Niño reduced daily vessel transits from 36 to 32.

25 de septiembre de 2026 • 1 min de lectura

Panamanian President José Raúl Mulino has requested support from the United Nations to finance the construction of the Río Indio reservoir, aimed at ensuring water availability for the operation of the Panama Canal. The waterway handles approximately 5% of global maritime trade.

Decreased water levels due to drought conditions associated with El Niño led to a reduction in daily vessel transits from 36 to 32, while authorities evaluate further restrictions. The reservoir project involves an estimated investment of USD 1.6 billion.

Construction is scheduled to begin in 2028 and would reinforce the water supply necessary for Canal operations. The project also raises concerns due to the displacement of approximately 2,000 people and worries expressed by residents and environmental organizations.