The World Bank announced in a statement on Thursday that it has authorized a loan of $150 million to help Panama achieve equitable development and climate resilience.

The first of two operations in the Central American nation, the Development Policy Loan (DPL), is intended to assist the energy transition, socially inclusive growth, and sustained capital for the resilient growth of Panama. 

The lender stated that outcomes from the program’s implemented policy changes should be seen by 2025 and that they should also help stop the destruction of the nation’s mangrove forests and increase distant areas’ access to energy and the internet.

The project is also anticipated to assist Panama in implementing more energy-efficient policies, safeguarding its ocean, conserving its forests, and decarbonizing its land transportation.

Hector Alexander, Panama’s economy and finance minister, stated in the statement that “this financial operation will enhance Panama’s efforts in establishing the policy foundations to foster the country’s sustainable economic growth, low emissions, and resilience to climate change.”