Panama's President Juan Carlos Varela speaks as he gives a joint statement to the press along with Chinese President Xi Jinping (out of frame) after holding a meeting, at the presidential palace in Panama City, on Dec 3, 2018. (LUIS ACOSTA / AFP)

PANAMA CITY - Establishing diplomatic relations with China in 2017 is a great benefit to Panama, President Juan Carlos Varela said Wednesday.

That was a decision of the state, taken with transparency, thinking always of the best interests of the nation and future generations

Juan Carlos Varela, President, Panama

In his latest state of the nation report to the National Assembly, Varela described establishing diplomatic ties with China as one of the key achievements in his five-year presidency, which ends this summer.

"That was a decision of the state, taken with transparency, thinking always of the best interests of the nation and future generations," said Varela.

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The central American country established diplomatic relations with China on June 13, 2017.

"It is undeniable that establishing the new diplomatic ties will bring Panamanians investment, employment, economic growth, tourism, cultural exchanges and well-being," Varela said.

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