“Panama, a small nation of just three million, has the largest shipping fleet in the world, greater than those of the US and China combined.
“Panama only has one small shipping line as well as a number of companies providing supplementary maritime services around the ports and canal.
“Under international law, every merchant ship must be registered with a country, known as its flag state. That country has jurisdiction over the vessel and is responsible for inspecting that it is safe to sail and to check on the crew's working conditions.
“By last year, almost three quarters of the world's fleet was registered under a flag of a country other than its own. The registry is lucrative for Panama, bringing in half a billion dollars for the economy in fees, services and taxes.
Note: In the Chinese version, BBC misspelled the given name of the reporter, missing the “i.”