The Panama Canal increased both vessel transits and cargo volumes during the first nine months of fiscal year 2026. At the same time, it is preparing contingency measures as the risk of a severe El Niño event increases. Between October 2025 and June 2026, the Canal handled 10,726 transits, up 5.2% from 10,191 in the same period of fiscal year 2025. Cargo volumes reached 389.96 million Panama Canal Universal Measurement System (PC/UMS) tonnes, a 7.2% increase from 363.66 million PC/UMS tonnes a year earlier. The Canal said container ships and LPG carriers drove the growth. Financial performance also improved. Revenue reached US$4.8 billion, up 17% year-on-year. Net income rose 19% to US$3.6 billion. The Canal is now preparing for a possible severe El Niño event. Officials said the probability has increased from 25% in April to 81% in July. If water levels decline, the Canal may introduce draft restrictions and reduce the number of daily booking slots. Officials said the timing of any measures will depend on weather conditions and market demand. The Canal has avoided draft restrictions for almost two years. Heavy rainfall during 2025 and an unusually wet 2026 dry season kept reservoir levels above normal. Meanwhile, several strategic projects continue to advance. The port terminal and pipeline projects have entered the final prequalification stage. Work also continues on the Río Indio reservoir and the Logistics Corridor. The Canal is also progressing with the Río Indio Lake Project, which aims to improve long-term water security. More than 1,100 local residents have joined conservation and community programmes. Engineering work has finished ahead of the planned 2027 tender, while environmental studies and the resettlement programme continue. Meanwhile, work continues on several long-term infrastructure projects. The port terminal and pipeline projects have entered the final prequalification stage, while progress continues on the Río Indio reservoir and the Logistics