"It is not enough that Panama has the most ships, it should also show a stance that esteems responsibility and resolve to better its shipping register," the IMO Secretary-General told a news conference.

After such an audit, the IMO produces a confidential report outlining any problems it found, and proposing remedial steps. Carlos De la Lastra, from the Panama Maritime Authority, said the audit would serve to improve security and environmental controls.

of Panama-flagged ships and suggestions to resolve them., the largest fleet in the world, to help it improve security and environmental controls.

In 2006, Panama, which has the world's largest shipping registry, was moved from the 'black list' of the Paris MOU to its 'grey list'.

The Paris MOU, which originated in 1982, consists of 22 participating maritime administrations and covers the waters of the European coastal States and the North Atlantic basin from North America to Europe. It aims at eliminating the operation of sub-standard ships through a harmonized system of port state control.

The Paris MoU 'white list' represents quality flags with a consistently low detention record, and includes 34 flag states.

Annually over 18,000 inspections take place on board foreign ships in the Paris MOU ports, ensuring that these ships meet international safety, security and environmental standards, and that crew members have adequate living and working conditions.