As the first bilateral free trade agreement with a Latin American country, the PSFTA opens up opportunities between Singapore and Panama businesses.

It allowed for tariffs on 98% of Singapore's domestic exports  to be eliminated upon entry into force of the agreement.

To enhance trade facilitation, the self-certification for the claiming of preferential tariffs has been implemented.

The PSFTA has also opened up government procurement related opportunities for Singapore businesses even though Panama is currently not a signatory to the WTO Government Procurement Agreement (GPA).