DOCSLIB.ORG

Republic of Panama Detailed Assessment of Anti-Money Laundering

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Republic of Panama Detailed Assessment of Anti-Money Laundering CONFIDENTIAL Restricted Use Only (not for use by third parties) FINANCIAL SECTOR ASSESSMENT PROGRAM REPUBLIC OF PANAMA DETAILED ASSESSMENT OF ANTI -MONEY LAUNDERING AND COMBATING THE FINANCING OF TERRORISM SEPTEMBER 2006 INTERNATIONAL MONETARY FUND LEGAL DEPARTMENT PANAMA AMLCFT Detailed Assessment Report of mission of May 2005.DOC January 8, 2007 (9:16 AM) - 2 - The contents of this report constitute technical advice and recommendations given by the staff of the International Monetary Fund (IMF) to the authorities of a member country in response to their request for technical assistance. With the written authorization of the recipient country’s authorities, this report (in whole or in part) or summaries thereof may be disclosed to IMF Executive Directors and their staff, and to technical assistance providers and donors outside the IMF. Disclosure of this report (in whole or in part) or summaries thereof to parties outside the IMF or other than technical assistance providers and donors shall require the written authorization of the recipient country’s authorities and of the IMF’s Legal Department. CONTENTS PAGE I. Assessment of Observance of the FATF Recommendations .................................................5 A. General......................................................................................................................5 B. Detailed Assessment of the Observance of the FATF Recommendations..............12 C. Recommended Action Plan.....................................................................................93 D. Authorities’ Response to the Assessment ...............................................................97 TABLES 4.1 Detailed Assessment of the Observance of the FATF Recommendations ......................12 4.2 Summary Table of Compliance with the FATF Recommendations................................89 4.3 Recommended Action Plan in Relation to the FATF Recommendations .......................93 BOXES 4.1 Regulation of AML/CFT by Activity ................................................................................7 ACRONYMS AML Anti-Money Laundering AFSSR Assessment of Financial Sector Supervision and Regulation BCP Basel Core Principles BHN Banco Hipotecario Nacional Bolsa Bolsa de Valores de Panamá, S.A. CFATF Caribbean Financial Action Task Force CFT Countering the Financing of Terrorism CNV Comisión Nacional de Valores CONAPRED Commission for the Study of Prevention of Drug-Related Crimes CPSS Committee on Payment and Settlement Systems CTR Currency Transaction Report DLMV Decree law of securities markets (Decree law number 1, July 8, 1999) DNFBP Designated Nonfinancial Businesses and Professions EGMONT EGMONT Group of financial intelligence units FATF Financial Action Task Force FIU Financial intelligence unit FSAP Financial Sector Assessment Program US-GAAP United States generally accepted accounting principles IAS International accounting standards IAIS International Association of Insurance Supervisors IOSCO International Organization of Securities Commissions IPACOOP Panamanian Autonomous Institute for Cooperatives LatinClear Central Latinoamericana de Valores, S.A. LEG IMF’s Legal Department MEF Ministry of Economy and Finance MFD IMF’s Monetary and Financial Systems Department 1 MICI Ministry of Commerce and Industry MLAT Mutual Legal Assistance Treaty MOU Memoranda of understanding OFAC Office of Foreign Assets Control PTJ Judicial Technical Police ROSC Report on Observance of Standards and Codes SdB Superintendency of Banks SIF Section of Financial Investigations of the Police (formerly UIF) SROs Self regulatory organizations SSRP Superintendency of Insurance and Reinsurance STR Suspicious transaction report UAF Financial Analysis Unit UN United Nations ZLC Free Zone of Colón 1 In August 2006, the Monetary and Financial Systems Department (MFD) was renamed the Monetary and Capital Markets Department (MCM). - 5 - I. ASSESSMENT OF OBSERVANCE OF THE FATF RECOMMENDATIONS A. General This assessment of observance of the Financial Action Task Force (FATF) Recommendations for anti-money laundering and countering the financing of terrorism (AML/CFT) has been completed as part of an evaluation of Panama’s observance of regulatory standards for the financial sector. 2 General Panama is a constitutional republic with a democratically elected president who is both chief of state and head of government. The current government began its four-year period in September 2004. The country has a unicameral legislative assembly, also elected by popular vote, and an autonomous judicial branch. The legal system is based on the civil law tradition, with some features of its commercial legislation being influenced by legal institutions of United States common law (i.e., the regulation of trusts). With a population of approximately 3 million , Panama has a territory of 78,200 square kilometers in the Central American isthmus, between the Caribbean Sea and the North Pacific Ocean, bordered by Costa Rica and Colombia. Full control and operation of the Panama Canal connecting the Atlantic and Pacific oceans were transferred from the United States to Panama in 1999. The Canal drives much of Panama’s economy, along with the Colon Free Trade Zone (ZLC), a booming real estate market and a well developed services sector, including banking and financial services. Although there is a legal parity between the local currency (Balboa) and the U.S. dollar, in practice no local currency circulates and all commercial payments and financial transactions are made in U.S. dollars. Panama endeavors to provide economic and political leadership in the Central American and Caribbean region and is a member of many international organizations, including the Caribbean Financial Action Task Force (CFATF), which it currently presides. Banking activities represent the most significant component of the financial services sector. Banking system assets on a nonconsolidated basis were $39.6 billion , and on a consolidated basis (including local and foreign subsidiaries of Panamanian-headquartered banks) were $45.8 billion at end-March 2006. At end–March 2006, there were 73 banks, including 2 state-owned banks, 37 general license private banks, and 34 international license banks. The banking center in Panama has a significant international presence, including banks from the United States, the United Kingdom, Spain, and other Latin American and European countries. Lawyers and accountants are not required to belong to a professional association in order to practice , and the associations’ codes of ethics are not legally enforceable. There are 2 The assessment was conducted by Messrs. Francisco Figueroa, Ernesto Lopez, Ms. Hellen Chirino-Roosberg, (all Fund staff), and Ms. Nancy Worthington (consultant to the Fund). - 6 - ethical rules for lawyers established by law and subject to investigation and sanction by the Supreme Court, although there have been very few sanctions in practice. General situation of money laundering and financing of terrorism Information from various criminal investigations shows that the reporting and other preventive requirements in the money laundering law have had a dissuasive effect on money laundering activity in financial institutions. The UAF reported that money laundering has moved towards other parts of the economy in order for launderers to avoid the developed capacity of banks to detect the introduction of illicit capital. The geographic location of Panama makes it an attractive transit area for drugs and related money laundering . To date, the 10 money laundering cases that have been prosecuted were based on narcotics-related predicate crimes. The cases have resulted from internal efforts in the Public Ministry (Ministerio Público) as well as from international cooperation. Other financial crimes cases have resulted mainly from foreign investigations of corruption where funds were later deposited in Panamanian financial institutions. An area of great concern involves the role that the Free Zone of Colón (ZLC) , the second largest free-trade zone in the world, can play as the originating or transshipment point for goods purchased with proceeds of narcotics trafficking, including through the Black Market Peso Exchange. The smuggling of currency, drugs, and prohibited chemical materials, the introduction and transshipment of counterfeit merchandise, and several forms of customs fraud also generate criminal proceeds that expose the system to money laundering. Officials advised that the Panamanian jungle border with Colombia is occasionally penetrated by the illegal armed groups active along their common border, but did not consider this to pose a terrorist threat to Panama. There have been no known cases of financing of terrorism. Overview of the Financial Sector and DNFBP Panama’s major financial activity is banking . The most significant Panamanian local banks are Primer Banco del Istmo, Banco General, Banco Continental, and Global Bank. The largest foreign banks are: HSBC Bank, Banco Bilbao Viscaya Argentaria BBVA, Banco Atlantico, BNP Paribas, Dresdner Bank A.G., and Banco Latinoamericano de Exportaciones. Box 4.1 lists the types of financial institutions and designated nonfinancial business and professions (DNFBPs), and provides a brief description of key activities. Not all of these entities are subject to the preventive and reporting obligations of Law 42-2000. - 7 - Box 4.1 Regulation of AML/CFT by Activity Subject to Type of Financial Activities included in FATF Regulator/ AML/CFT Institution
Load more

Recommended publications
  • Regional Report on the Review of the Beijing Declaration and Platform For
    Regional report on the review of the Beijing Declaration and Platform for Action in Latin American and Caribbean countries, 25 years on Thank you for your interest in this ECLAC publication ECLAC Publications Please register if you would like to receive information on our editorial products and activities. When you register, you may specify your particular areas of interest and you will gain access to our products in other formats. www.cepal.org/en/publications ublicaciones www.cepal.org/apps Alicia Bárcena Executive Secretary Mario Cimoli Deputy Executive Secretary Raúl García-Buchaca Deputy Executive Secretary for Management and Programme Analysis Mario Castillo Officer in Charge, Division for Gender Affairs Ricardo Pérez Chief, Publications and Web Services Division This report was prepared jointly by the Division for Gender Affairs of the Economic Commission for Latin America and the Caribbean (ECLAC) and the Americas and the Caribbean Regional Office of the United Nations Entity for Gender Equality and the Empowerment of Women (UN-Women). The preparation of the document was coordinated by María Lucía Scuro, Social Affairs Officer of the Division for Gender Affairs of ECLAC, and was carried out on the basis of comprehensive national reviews of the countries of Latin America and the Caribbean regarding the application of the Beijing Declaration and Platform for Action (1995) in the context of the twenty-fifth anniversary of the Fourth World Conference on Women: Action for Equality, Development and Peace and the adoption of the Beijing Declaration and Platform for Action. Special thanks are extended to Cecilia Alemany, Nicole Bidegain, Laura González, Iliana Vaca Trigo and Alejandra Valdés for their contributions.
    [Show full text]
  • 2012 JRP Panama Report
    TABLE OF CONTENTS Introduction A Letter from Malik Harris, Project Leader……………………………………………………....2 Section 1 A Study of Demilitarization in Panama……………………………………………………….….3 Bibliography……………………………………………………………………………..22 Section 2 Joint Research Project After Action Report……………………………………………….......…27 Appendices……………………………………………………………………………….51 Dear ALLIES Members, It is with great honor and pleasure that I present the final reports and findings for the 2012 ALLIES Joint Research Project to Panama. Since 2007, students from civilian and military institutions have embarked all over the globe studying pressing issues of our times. However, never before has a trip been so successful in the ability to produce a research report, keep an accurate budget of expenses and document lessons learned to be passed to the future. On behalf of the delegation and the ALLIES family, I would like to extend my deepest gratitude and appreciation to Mr. Sherman Teichman, the Tufts Institute for Global Leadership, the ALLIES JRP Restructuring Committee, Lt. Col. Ben Paganelli, USAF (Ret.), LT Anne Gibbon, USN, LT Michael S. Weber, USN, Asst. Professor Nikolaos Biziouras, Midshipman Michael D. Fessenden, USN, Midshipman Connor McCubrey, USN and all those who made this project a reality and a tremendous success. Sincerely, Malik X. Harris Panama Project Leader 2 SECTION 1 PAGE LEFT BLANK ON PURPOSE ALLIES 2012 Joint Research Project to Panama City, Panama A Study of Demilitarization Malik Harris Amalie Steidley Anna Patten Michael Marks Allison Jeffery Robert Detchon Hannah Ringel May-July 2012 Do not cite without permission from the authors. 4 Abstract The research in this report centers on the process of demilitarization in Panama following the collapse of military rule by General Manuel Noriega in late 1989; it investigates the success of this process in Panama ever since.
    [Show full text]
  • In the Matter of an Arbitration Under the Arbitration Rules of the International Centre for Settlement of Investment Disputes O
    IN THE MATTER OF AN ARBITRATION UNDER THE ARBITRATION RULES OF THE INTERNATIONAL CENTRE FOR SETTLEMENT OF INVESTMENT DISPUTES OMEGA ENGINEERING LLC AND MR. OSCAR RIVERA CLAIMANTS v. THE REPUBLIC OF PANAMA RESPONDENT CLAIMANTS’ REJOINDER ON PRELIMINARY OBJECTIONS Counsel for Claimants JONES DAY SHOOK, HARDY & BACON LLP 51 Louisiana Avenue, N.W. Citigroup Center Washington, DC 20001 201 S. Biscayne Blvd., Suite 3200 United States Miami, FL 33131 United States of America JONES DAY 21 Tudor Street London EC4Y 0DJ England 20 JANUARY 2020 TABLE OF CONTENTS I. INTRODUCTION ..................................................................................................................... 5 II. THE ARBITRAL TRIBUNAL HAS JURISDICTION OVER ALL CLAIMS ................................ 10 A. Respondent’s Illegality Objection Does Not Impugn This Tribunal’s Jurisdiction (and, in any Event, Fails on the Facts)......................................... 10 1. Respondent’s Illegality Allegations Are Baseless as a Matter of Fact ..... 14 a. Respondent Fails to Prove the Key Elements of Bribery and Corruption ..................................................................................... 16 b. The Criminal Investigations Were Fatally Flawed and Do Not Prove that the La Chorrera Contract Was Acquired Through Corruption ..................................................................................... 23 c. Respondent Ignores Key Evidence that Shows that Claimants Did Not Secure the La Chorrera Contract Through Corruption and Instead Focuses on Irrelevancies
    [Show full text]
  • Icptaplpanama POLICE TWINING PROJECT EVALUATION FINAL
    ICPTAPlPANAMA POLICE TWINING PROJECT EVALUATION FINAL REPORT August 23, 1994 National Cenfcr for State Courb 1700 North Moore Street, Suite 1710 Arlington, VA 22209 (703)84 1-0205 1 Fax (703)84 1-0206 TABLE OF CONTENIS DICTIONARY OF ACRONYMS ........................................ iv EVALUATION METH0DOU)GY ....................................... v L BACKGROUW ................................................ 6 A . BEFORE "JUST CAUSE" ..........: ................... 6 1 . The Panama Polie ........................ 6 a Wceden~.... ...................... 6 b. ~ol~t~c~zat~on,.... ..................... 6 c. M~l~tmzat~on..................... 6 d. Corru~tion....................... 7 2. JCITAP ................................. 7 B. POST "JUST CAUSE" ................................. 7 1 . Chaos and Cnsrs .......................... 7 2. Com~romisedmons~ ..................... 8 3 . Y.S.Assistance ........................... 8 C PRIOnEVALUATION ................................ 10 IIL (JJRRENT STATUS OF POLICE ORGANIZATICiNS AND FUNCIIONS .... 114 A . NATIONAL P;OLICE ................................ 14 1 . Function ............................... 14 2. Jvhna~rementand Adminiad .............. 15 a _General. ......................... 15 b. -8zatlon . an d-Bmmud mln~stration. ................ 15 d. Communicaho~.................. 18 e. ............. 18 3 . Traininn ............................... 18 a Back- ..................... 18 ' . (1) The PNP .Academx . ..... 19 (2) Field Trlunlnn Ofia CFTO") Pronrm .... 22 b. ICITAP Assistanqe Pro~osedfor 1994/1995
    [Show full text]
  • Panamá 2019 Crime & Safety Report
    Panamá 2019 Crime & Safety Report This is an annual report produced in conjunction with the Regional Security Office at the U.S. Embassy in Panama City, Panamá. The current U.S. Department of State Travel Advisory at the date of this report’s publication assesses Panamá at Level 1, indicating travelers should exercise normal precautions. Overall Crime and Safety Situation The U.S. Embassy in Panamá does not assume responsibility for the professional ability or integrity of the persons or firms appearing in this report. The ACS Unit cannot recommend a particular individual or location and assumes no responsibility for the quality of service provided. Review OSAC’s Panamá-specific webpage for proprietary analytic reports, Consular Messages, and contact information. Crime Threats There is considerable risk from crime in Panamá. Practicing common sense security habits is essential. Panamá remains relatively safe when compared to other Central American countries, yet crime rates are high, including shootings, rapes, armed robberies, muggings, and thefts. The provinces with the largest cities also had the highest overall crime rates: Panamá, Colón, Herrera, and Chiriquí. According to statistics from the Panamanian National Police (Policía Nacional de Panamá, PNP), overall homicide numbers rose slightly from 424 in 2017 to 440 in 2018. Reports of assault rose from 3,380 to 3,670 in 2018; sexual assault rose from 4,681 to 4,959 in 2018; robbery decreased from 9,683 to 8,939 in 2018; and theft decreased from 17,365 to 14,233. It is important to note that crime reporting is typically lower in some rural provinces.
    [Show full text]
  • Front Matter
    Panama’s Canal What Happens When the United States Gives a Small Country What It Wants Mark Falcoff The AEI Press Publisher for the American Enterprise Institute WASHINGTON, D.C. 1998 Available in the United States from the AEI Press, c/o Publisher Re- sources Inc., 1224 Heil Quaker Blvd., P.O. Box 7001, La Vergne, TN 37086-7001. To order: 1-800-269-6267. Distributed outside the United States by arrangement with Eurospan, 3 Henrietta Street, London WC2E 8LU England. Library of Congress Cataloging-in-Publication Data Falcoff, Mark. Panama’s Canal : what happens when the United States gives a small coun- try what it wants / Mark Falcoff. p. cm. Includes bibliographic references and index. ISBN 0-8447-4030-6 (alk. paper). — ISBN 0-8447-4031-4 (pbk. : alk. paper) 1. Panama Canal (Panama)—Politics and government. 2. Panama Canal Treaties (1977) 3. Panama—Politics and government—1981– 4. Panama— Social conditions. 5. Panama—Foreign relations—United States. 6. United States—Foreign relations—United States. I. Title. F1569.C2F35 1998 327.7307287—dc21 98-14395 CIP 13579108642 © 1998 by the American Enterprise Institute for Public Policy Research, Wash- ington, D.C. All rights reserved. No part of this publication may be used or repro- duced in any manner whatsoever without permission in writing from the Ameri- can Enterprise Institute except in cases of brief quotations embodied in news articles, critical articles, or reviews. The views expressed in the publications of the American Enterprise Institute are those of the authors and do not necessarily reflect the views of the staff, advisory panels, officers, or trustees of AEI.
    [Show full text]
  • Panama: Is Restructuring the Razor to Cut out Corruption?
    SMALL WARS JOURNAL smallwarsjournal.com Panama: Is Restructuring the Razor to Cut Out Corruption? by Anthony Scheidel In August 2008, Panama‟s National Assembly passed laws reorganizing the service groups within the country. One law created the National Aeronaval Service (Servicio Nacional Aeronaval; SENAN), effectively merging the National Maritime Service (Servicio MarÍtimo Nacional; SMN) and National Air Service (Servicio Aéreo Nacional; SAN) into one service group, while at the other end of the spectrum, the National Borders Service (Servicio Nacional de Fronteras; SENAFRONT) emerged as its own entity, rising up from under the control of the Panamanian National Police (Policía Nacional de Panamá; PNP). On February 2, 2010, the Panamanian Government‟s Cabinet Council approved the creation of the Ministry of Public Security and the Ministry of the Interior with Panama‟s National Assembly officially accepting the proposal on March 11, 2010.1 With this authorization, Panama finally had all of its service groups logically organized under one roof: the Ministry of Public Security. This restructuring of the service groups and ministries is designed to reduce corruption and provide the country better security capability to counter rising crime levels. Changes in Defense Organization Following the defeat of General Manuel Noriega‟s Defense Forces by the U.S.-led invasion codenamed Operation Just Cause, the Panamanian security force structure underwent numerous grand changes in order to prevent a military leader to ever be able to rise to that level of power again. After the 1989 overthrow of Noriega, elected Panamanian President Guillermo Endara took control of the country and began implementing significant transformations.
    [Show full text]
  • Education Ministry Claret School Claretian Missioners 12 Grade Commerce Commercial English Gangs in Panama Students Ocando Camin
    Education Ministry Claret School Claretian Missioners 12 Grade Commerce Commercial English Gangs in Panama Students Ocando Camino, José Ocando Khalek Tulloch, Amir Abdel Proffesor Gomez Laurenza, Armando Delivery Date Panama, July 24 th 2014 1 Index 3. Introduction 4. Gangs in Panama and History 5. Main Gangs 6. Types of Crime 7. Types of Crime 8. Political Violence 9. Political Violence 10. Political Violence 11. Conclution 12. Webgraphy 2 Introduction Crime in Panama is moderate but becoming less frequent. Police checkpoints have become common place on weekends on roads in between cities. Based upon reported incidents by local police, the high-crime areas around Panama City are San Miguelito, Rio Abajo, El Chorrillo, Ancón, Curundu, Veracruz Beach, Panama Viejo, and the Madden Dam overlook. The crimes plague metropolitan areas and include rapes, armed robberies, muggings, purse-snatchings, "express kidnappings" from ATM banking facilities, in which the victim is briefly kidnapped and robbed after withdrawing cash from an ATM, and petty theft. There have been several targeted kidnappings in Panama with the complicity of corrupt law enforcement. Panamanian authorities have adopted a curfew policy for youths under age 18. Students who are attending night classes must carry a permit or identification card, provided by the school or an official certified person. Youths under 18 who are caught without them are subject to detention at a police station until they are released to their legal guardians. A fine around $50.00 is issued to the legal guardians if the youth is apprehended for the first time. Curfews consist of special strategic checkpoints around the main streets in Panama.
    [Show full text]
  • Request for Arbitration
    IN THE MATTER OF AN ARBITRATION UNDER THE ARBITRATION RULES OF THE INTERNATIONAL CENTRE FOR THE SETTLEMENT OF INVESTMENT DISPUTES OMEGA ENGINEERING LLC AND MR. OSCAR RIVERA CLAIMANTS v. THE REPUBLIC OF PANAMA RESPONDENT CLAIMANTS’ REQUEST FOR ARBITRATION Counsel for Claimants JONES DAY JONES DAY 600 Brickell Avenue 21 Tudor Street Brickell World Plaza, Suite 3300 London EC4Y 0DJ Miami, Florida 33131 England United States JONES DAY INTERNATIONAL DISPUTE RESOURCES 51 Lousiana Avenue, N.W. 1314 East Las Olas Boulevard 1148 Washington, DC 20001 Fort Lauderdale, FL 33301 United States United States 30 NOVEMBER 2016 i TABLE OF CONTENTS I. INTRODUCTION .......................................................................................................... 1 A. CLAIMANTS................................................................................................................. 5 B. RESPONDENT ............................................................................................................... 6 II. FACTUAL BACKGROUND ........................................................................................... 7 A. CLAIMANTS’ INVESTMENT IN PANAMA ............................................................................. 7 1. Claimants’ Contractual Investments .......................................................................... 10 B. EARLY OPERATIONAL SUCCESS WAS FOLLOWED BY OPPRESSION FROM THE NEW PANAMANIAN ADMINISTRATION ......................................................................................................
    [Show full text]
  • Creating New Horizons in Latin America
    PMR Cover-2019-20-No.2.indd 1 30/10/2019 09:58 Seatrade Proof High Resolution PDF Boskalis tailors innovative, sustainable CREATING NEW and competitive solutions. From feasibility studies, design and execution to HORIZONS IN maintenance and operational services, LATIN AMERICA we can help you meet your challenges. We are a global leading expert in: Design, construction and maintenance of ports and waterways Design and construction of projects for the offshore energy sector, including diving and ROV services Land reclamation Coastal defense and riverbank protection Heavy marine transport and installation Terminal and harbor towage services Marine salvage projects and services Boskalis Panama, S.A. T +507 3177000 [email protected] CREATING LA PINTA, THE SECOND PUNTA THE SECOND PUNTA LA PINTA, CREATING ISLAND IN PANAMA PACIFICA www.boskalis.com Always there UNMATCHED HARBOR TOWAGE OPERATIONS IN THE AMERICAS We are leaders in the provision of safe, reliable, and efficient towage services for both harbor and offshore needs. With a state-of-the-art fleet and safety-conscious crew, we provide a full spectrum of towage services for more than 55 years. We are committed to making port activities safer. Canada Mexico Guatemala Costa Rica Panama Ecuador Brazil Contact us: Uruguay [email protected] Chile www.saamtowage.com IFC PMR19 Boskalis 1 30/10/2019 12:18 CONTENTS 3 Foreword: ACP Administrator Dr Ricaurte Vasquez 5 SeaAsia 7 The Panama Canal 17 Construction & Expansion of the Canal 23 Customers of the Canal 31 US Ports: Moving with the times 36 Panama Maritime Authority (AMP) 43 Panama Ship Registry 49 Port Development 59 Bunkering 67 Logistics 71 Shipping Services 107 Legal Services 113 The Economy 116 Cruise 120 Tourism 124 Map 126 Port Facilities 128 Useful Information 129 Directory Published in November 2019 by © Seatrade, Informa Group, Sheepen Place, Colchester, Essex CO3 3LP, UK.
    [Show full text]
  • It's Panama's Canal
    WARNING! The views expressed in FMSO publications and reports are those of the authors and do not necessarily represent the official policy or position of the Department of the Army, Department of Defense, or the U.S. Government. Under New Ownership — It's Panama's Canal by Mr. William W. Mendel Foreign Military Studies Office, Fort Leavenworth, KS. This article appeared in Military Review July-August 2000 The canal must always be regarded as a potential target for both conventional and unconventional forces, given its importance to global commerce and for military transits.1 —General Charles E. Wilhelm On 31 December 1999, after 85 years of US military presence and influence, the Republic of Panama took full ownership and responsibility for the Panama Canal. Full control of the country's sovereign territory offers Panamanians increased esteem and energizes the spirit of economic opportunity. Even in this time of electronic commerce and jet transport, the canal is important to global trade and the economic growth in Latin America. However, as the largest user of the canal, the United States has an economic stake in its future—about 66 percent of the canal's traffic starts or ends at US ports, accounting for 12 percent of US seaborne trade.2 Former US President Jimmy Carter and Head of Government for the Republic of Panama, Omar Torrijos Herrera, signed the Panama Canal Treaties at the Organization of American States building in Washington, D.C. on 7 September 1977, announcing the return of the canal to Panama at the end of the 20th century.
    [Show full text]
  • Impact Evaluation: Panama Country Report
    Impact Evaluation: Panama Country Report By Susan Berk-Seligson, Ph.D. Diana Orcés, Ph.D. Georgina Pizzolitto, M.A. Mitchell A. Seligson, Ph.D. Carole Wilson, Ph.D. The Latin American Public Opinion Project (LAPOP) Vanderbilt University This study was performed with support from the Program in Democracy and Governance of the United States Agency for International Development. The opinions expressed in this study are those of the authors and do not necessarily reflect the point of view of the United States Agency for International Development. September 2014 Impact Evaluation Panama - Report Contents List of Figures .................................................................................................................................5 List of Tables ..................................................................................................................................7 Executive Summary .......................................................................................................................9 I. Overview ...................................................................................................................................9 II. Main Findings ..........................................................................................................................9 III. Policy Recommendations .....................................................................................................14 Part 1: Methodology ....................................................................................................................17
    [Show full text]