Panama’s national railway administration SNDF and the Costa Rican operator Incofer have signed a Memorandum of Understanding (MoU) regarding the development of a future cross-border railway line. The agreement covers the joint planning of the routing from Panama City via David to the border town of Paso Canoas, with a connection to the railway network of Costa Rica and other Central American countries. Joint engineering studies, environmental assessments and the harmonisation of legal requirements and operational standards are planned for the roughly 475 km new line with 14 intermediate stations. The project also includes surveys of the population and businesses along the corridor, a feasibility assessment, market analyses and preliminary planning for a railway crossing of the Panama Canal. Back in December 2024, the Panamanian government awarded Aecom a contract worth EUR 1.9 million (USD 2.2 million) to update the project. This was followed in January 2025 by a further contract worth EUR 3.6 million for parts of the planning of key sections.