Panamanian President Ricardo Martinelli has announced that he will be initiating a session of his country’s National Assembly in the next few weeks in order to finish legislation that grants the diamond exchange free zone status. The President also claimed his government would speed along panama’s membership in the Kimberly Process.

The legislation would provide permanent free-trade status to the area of the Panama Diamond Exchange. It will allow duty free importing and exporting of diamonds, as well as a preferential tax exempt status for companies that locate within the area.

PDE President, Erez Akerman, said: “What it effectively will do is provide the diamond trade easy passage into the fast growing Latin American diamond market, complemented by a tax environment that compares favorably with those existing in diamond centers like Belgium, Israel and Dubai. This is an essential step in our program to transform Panama into the primary diamond, gemstone and jewelry center for all of Latin America.”

Panama's membership in the Kimberly Process is also a necessary step toward reform. “President Martinelli's pledge to drive through the steps necessary to complete Panama's KP membership was most encouraging, and his personal involvement in the entire process is definitely apparent. Immediately upon my return to New York from Panama, I was contacted by Panamanian government officials about procedural steps that need to be taken in order to obtain KP membership,” said World Diamond Council Chairman, Mr. Izhakoff.

The PDE is currently located in the Torre de las Amiricas complex in Panama City's Punta Pacifica business district. It will move to the dedicated Panama Diamond Exchange Complex, which will be built in the Costa del Este neighborhood.

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