Thursday, October 8, 2009

Panamanian president meets UAE FM on ties







PANAMA CITY, Oct. 6 (Xinhua) -- Panamanian President Ricardo Martinelli met on Tuesday with foreign minister of the United Arab Emirates (UAE) to discuss issues of bilateral interest.

Martinelli and Sheik Abdullah Bin Zayed talked about investment, trade and banking cooperation as well as the friendship between the two countries, the Press Ministry said in a statement.

Panamanian Vice Foreign Minister Meliton Arrocha said the meeting was an excellent opportunity to exchange views on the ties between Latin America and the Middle East.

According to Arrocha, the talks also promoted Panama's logistic and banking sector.

Bin Zayed arrived here on Monday from Nicaragua together with Interior Minister Reem Al Hashimy and Vice Economy Minister KhalidAl Gaith.

Sunday, September 27, 2009

Is Latin America Moving to the Right?













Panamanian President Ricardo Martinelli, left, and Brazilian President Inácio Lula da Silva, right, illustrate the growing right-leaning trend in Latin America. Martinelli, a conservative, defeated his center-left opponent in elections earlier this year, while leftist Lula's approval rating remains high but his recently announced chosen successor trails the opposition in polls.
By Stephanie Miller September 24, 2009
Nearly half a decade ago the dominant political story in Latin America was the growing strength of leftist movements, often called the “rise of the left,” and a string of electoral victories by left-leaning candidates throughout the region. But now that the region is entering a new wave of presidential and parliamentary elections, the scales may be tipping away from the leftist trend as a significant number of polls show conservative candidates leading in several countries where a leftist president is currently in power. There have also already been conservative electoral victories in several countries where there were formerly either left-leaning presidents or majorities in congress.

These latest developments may suggest a general trend in the region that can be linked to the global economic crisis’ impact on Latin America. But politicians and analysts of the region should also be asking whether the winners of the elections will address the region’s problems, which go beyond ideology and the global downturn.
The economic crisis that began in 2008 has spread to nearly every corner of the globe, and Latin America has not been immune. One of the economic crisis’ main effects on the region is a reduction in remittances sent there from workers in industrialized countries. After receiving nearly $70 billion in remittances in 2008, a recent study projects that the region will receive only $62 billion in 2009.
And even though the region as a whole was much more prepared to handle the effects of the crisis after six consecutive years of positive economic growth, the global economic recession resulted in a sharp decline in demand for the region’s main exports, such as oil, soy, and copper, leading to higher unemployment. After maintaining a regional gross domestic product growth rate of 4.2 percent in 2008, Latin America’s growth rate is expected to fall to -1.9 percent in 2009 with unemployment levels reaching 9 percent.
It’s still not clear whether what looks like an unfolding right-leaning trend in Latin American politics is the region’s response to the global economic crisis, and a survey of recent elections and polls doesn’t give conclusive results.
On the one hand you have the recent presidential election in Panama and parliamentary elections in Argentina, in which opposition conservative candidates defeated their competitors.
On May 3 of this year Ricardo Martinelli defeated the former President Martín Torrijos's chosen successor―former Housing Minister Balbina Herrera―taking nearly 60 percent of the popular vote. Martinelli campaigned on a platform emphasizing the need to battle rising public insecurity and provide business solutions to the challenges posed by the global economic crisis that began in 2008.
In Argentina recent parliamentary elections dealt a blow to left-leaning President Cristina Fernández de Kirchner and the ruling Peronist Party, which lost seats in both houses of congress. Largely viewed as a referendum on Fernández de Kirchner’s government, the Peronist party was defeated in Argentina’s five largest provinces and Fernández de Kirchner’s husband—former president Néstor Kirchner—lost the battle for a congressional seat in Buenos Aires. The government has lost considerable support for having nationalized the country’s pension system and for tax increases levied on farm exporters during the global economic downturn, which led to four months of protests and road blockades.
Then there are cases like Brazil and Chile, where left-leaning presidents are still very popular, yet current polling for upcoming presidential elections shows that opposition and more conservative-leaning candidates are in the lead. In Chile socialist President Michelle Bachelet enjoys a 73 percent rate of approval. Yet current polling for the upcoming presidential elections in December 2009 shows conservative opposition candidate Sebastián Piñera leading Bachelet’s chosen successor, former President Eduardo Frei, by nearly 10 percentage points.
Leftist Brazilian President Inácio Lula da Silva’s approval rating remains above 75 percent and is among the highest in the region. Yet similar to the situation in Chile, Lula’s recently announced chosen successor, Chief of Staff Dilma Rousseff, trails São Paulo State Governor Jose Serra, an opposition candidate, by nearly 20 points. Brazil’s 2010 presidential elections remain a year away―plenty of time for Rousseff to close the gap in voter preference―but the fact that an opposition candidate is currently polling so strongly even as Lula remains widely popular is noteworthy.
And then there is the case of Mexico, where the conservative ruling party, the Partido Acción Nacional, or PAN, lost the midterm parliamentary elections held recently in July 2009 to the Partido Revolucionario Institucional, or PRI―a more centrist or left-leaning party than the PAN. Mexico has been particularly hard hit by the economic crisis due to its proximity and economic interdependence with the United States. Even though a host of factors are influencing Mexico’s electoral politics—such as high rates of public insecurity and violence due to the presence of powerful drug trafficking organizations—Mexico’s poor economic performance during the last year clearly had an impact on electoral results.
The takeaway for Latin America’s politicians and analysts is that keeping tabs on whether conservative-leaning or left-leaning candidates win this next round of elections is secondary to whether the winners of these electoral contests provide solutions to the region’s problems, which apart from the economic crisis’ effects include corruption, inequality, institutional weakness, and rising public insecurity.
If the ruling parties and governments do not or have not sufficiently addressed the full range of issues by the time the next election cycle begins—rather than focusing only on the economic situation today—we may see an electoral response that favors opposition candidates throughout the region, regardless of ideology.

As long as the democratic process unfolds in each country in a clear and transparent manner, hopefully the dominant political story of this next round of elections won’t be another rendition of “the rise of the left” or the “return of the right,” but rather will focus on how the new governments will deliver on their promise for a better future for Latin America’s people.
Stephanie Miller is currently a consultant on U.S.-Latin America relations and was formerly the Research Associate for the Americas Project at the Center.

Panama: so much more than hats and a canal

Janice Nieder
SF Girlfriend Getaways Examiner
Why Panama?

Because hiding in that skinny little isthmus is one sorely under-appreciated Latin American country that is poised to explode as 2010’s hottest new Latin American travel destination. It offers something for travelers of every ilk, starting with a rich history, jam-packed with colorful tales of famous explorers, Spanish conquistadors, pirates and smugglers, bloody wars, slavery rebellions, all leading up to one of the world’s most extraordinary engineering achievements... the building of the Panama Canal.

As for natural beauty, Panama’s got it going on. Flanked by the Pacific Ocean and the Caribbean Sea, there are miles of sandy beaches that are perfect for surfing, fishing and scuba diving; cool lush mountains just waiting to be climbed and biked, cloud and rainforests that will tempt the adventurer, and hundreds of gorgeous remote islands. (Calvin Klein and Playboy have both done model shoots here.) Cosmopolitan skyscrapers are just minutes away from steamy jungles teeming with wildlife. Crumbling colonial buildings are being transformed into edgy restaurants and boutique hotels. There is no shortage of vibrant markets, fashionable shopping malls, nightclubs, and luxury spas. About the only thing I didn't find in Panama were swarms of tourists.
After spending four days there last month, I highly recommend Panama as a unique, fun-filled, surprisingly safe, Girlfriend Gateway choice. (There were just a few sketchy run-down neighborhoods en route to Casco Viejo, which can be easily avoided by taking a taxi here.)
Day One
Checking out Panama City
Since I was visiting during the rainy season I expected Panama City to be unbearably hot and humid, and rainy, natch, but actually it wasn't bad at all. The warm precipitation seemed to freshen up the city and the sun would always shine brightly moments later. Plus, you can score some stellar hotel deals during the off- season.
Morning:
I awoke totally refreshed after a peaceful night’s sleep at the Country Inn and Suites. At first I questioned the choice of this rather generic hotel situated far from the hustle bustle of town, but it turned out to be a super location. My balcony had a sweeping view of the Pacific Ocean, dotted with boats bobbing under the soaring Bridge of the Americas, as they waited their turn to cross the canal. Country Inn sits at the beginning of the new Amador Causeway, formerly a U.S. military base, which juts out between the canal and Panama Bay and was formed from rocks excavated from the channel. This primo piece of real estate connects three small islands with a popular walking/jogging/biking path (plenty of bike rental shops nearby) that filled nightly with romantic couples taking full advantage of the glittering skyline backdrop.
Big Surprise:
A five minute jog down the causeway brings you to a startling tangle of dramatic beams, plaster and wire which is the result of four years work building the Bridge of Life Biodiversity Museum designed by Frank Gehry.

I spoke to the head engineer, who shook his head ruefully as he shared, “It’s the most exciting project I’ve ever worked on, as well as the biggest pain in the ass! Even Gehry’s simplest components turn into complex nightmares.”
He then proudly informed me that Gehry was married to a Panamanian woman. He hopes the iconic building will be finished next year and then this amazing accomplishment will provide an astonishing opening view for arriving cruise ships.
Head into town:
After a brisk, wake-up stroll, start your city tour by exploring the ruins of Panamá Viejo, the oldest capital in the Americas. This original 1519 Spanish settlement, sprawling over 57 acres, is now a UNESCO World Heritage Site. Stop in at the Visitor's Center and Museum for a thorough historical background and then climb Cathedral Tower for the money-shot outlook.
Time for Shopping:
Conveniently located next to the visitor’s center, the Mercado Nacional de Artesania, offers quality handmade crafts gathered from all over the country. Popular gift items include reverse appliqué stitched Molas sewn by the Kuna Indian women (these make good prezzies for teenagers who like to sew them on their backpacks), tiny ivory-like figures painstakingly carved from a tagua nut and intricately designed woven baskets, some are even tight enough to hold water.

Thursday, September 17, 2009

PANAMA CORPORATIONS ADVANTAGES

• Panama does not have tax information exchange agreements with other countries.
• Panama is planning to negotiate Double Tax Treaties to prevent double taxation.
• Panama Corporation Law has not been changed since it became effective in 1927.
• Law number 32 of February 26, 1927 (“Corporation Law”) expresses that two or more persons, of any nationality, even though not domiciled in the Republic of Panama, may form a corporation for any lawful purpose.
• In the practice, two nominee members incorporate the corporation.
• The articles of association is notarized and duly registered in the Public Registry of Panama.
• The Board of Directors must be composed of at least three different (3) members.
• Corporate entities from any jurisdiction, can act as directors.
• The corporation should have at least the following officers: President, Treasurer and Secretary.
• Corporate entities from any jurisdiction, can act as officers (President, Secretary and Treasurer).
• Nominee directors and officers can be appointed.
• Change of directors and officers needs to be filed in the Public Registry of Panama.
• No paid-in capital is required.
• No minimum or maximum capital requirements.
• Corporation can issue shares without nominal value.
• A connection between the paid-in capital and the value of the corporation assets is not required; The par value of the shares does not essentially correspond to the book value of the corporation.
• The shares of the corporation may be issued in nominative form or to the bearer.
• Flexible transfer of shares. Bear shares are transferred by delivery of the certificate. No filling is required in the Public Registry of Panama.
• The name of the shareholders of the corporation is confidential. The name of the shareholder is not public information. • No requirements to disclose ownership. The structure is confidential.
• Ownership may reside in a single individual or corporations and no part of the capital needs to be held by a Panamanian.
• A single person may be the owner of all the shares of the corporation.
• Shareholders, Directors and Officers are not required to be nationals or residents of the Republic of Panama.
• Corporate entities can act as shareholders and directors.
• Neither the Directors nor the officers are required to be shareholders.
• No requirement to hold annual meetings.
• Meetings may be held outside the Republic of Panama.
• Shareholders and Directors may attend meetings personally, by proxy, by phone or any electronic means.
• The corporation may execute in favor of one or more individuals a broad Power-of-Attorney to operate the company.
• The shareholder registry and minutes of the company can be kept in any part of the word.
• There is not restriction of the objects of the Panamanian corporation.
• Panamanian Corporations may conduct legal businesses all around the world.
• Income generated by Panamanian Corporations outside the Panamanian Territory is tax exempted.
• Corporation will only pay taxes on income from profitable activities within the territory of Panama.
• No need to file financial reports or tax returns in Panama if the company does not operate in Panama.
• Panama Corporations have to pay an annual tax of US$300.00.
• Panama corporations can be transferred to any jurisdiction.
• No restrictions on Mergers & Acquisitions.
• Every corporation ought to have a resident agent in the Republic of Panama.
• The resident agent is a Panamanian lawyer or law firm.
• KYC (Know your client) rules needs to be followed by lawyers before incorporating.

Air cargo shippers may show interest in Panama too

September 17, 2009
While the Canal expansion is getting most of the ink, Panama is also wooing U.S. air cargo shippers.As a consequence, the U.S. Trade and Development Agency (USTDA) has awarded a $258,000 grant to Gulf Coast International Cargo Panama S.A. to help conduct a feasibility study on the construction of an air cargo facility with cold storage capability at Tocumen International Airport.
U.S. companies may compete for the USTDA-funded study through the Federal Business Opportunities web site. Gulf Coast Panama will select the company.
“At present, few air cargo facilities in Latin America and the Caribbean have cold storage capacity, which hampers the region's ability to develop international markets for its perishable products and contributes to the region's food insecurity,”
USTDA said. Gulf Coast Panama, a private cargo and distribution firm, proposed to build a 2,330-square-meter air cargo facility at Tocumen that would include a refrigerated storage area for perishable goods.
USTDA spokesmen said the study will provide Gulf Coast Panama with a market analysis, an assessment of facility requirements, a financial plan, and both developmental and environmental impact analyses, all of which are needed to order to move to project implementation.
Posted by Patrick Burnson on September 17, 2009

Friday, September 11, 2009

Free internet is on its way

STAFF periodistas@laestrella.com.pa

PANAMA. The contract to bring free internet to the entire country, particularly low-income families, has been awarded to Liberty Technology Corp at a cost of $25. 5 million.
According to Liberty’s proposal, the 512kbps, 24-hour-a-day, wide band, 7 day a week wireless “Wi-Fi” and “Wimax” service should be up and running by the second week of October.
One of the promises of president Ricardo Martinelli during his election campaign was that people would have free access to internet within the first 100 days of his administration.
The free access points that will be set up in the first phase of the project will target numerous public areas including parks, tourist sites, schools, libraries, universities, hospitals and health centers in Penonome, Colon, David, Chitre, Las Tablas, Pese, Arraijan, La Chorrera, Santiago, Sona and the capital city.
In the second phase, public access sites in Meteti, Bugaba, Aguadulce, Chepigana, Ocu, Los Santos, Capira, Chame, Chepo and San Miguelito, Bocas del Toro and Changuinola will be put on line.
The second phase should be completed by 18 January 2010.
Liberty Technology Corp. will limit access to certain government-specified sites, including those involving pornography, “peer to peer“, gambling, downloading music and videos, and others.
The project entitled National Network for Universal Access is run out of the government’s Innovations Office.
The initial implementation costs will be $6.9 million, with an additional monthly fee of $310,000. Liberty Technologies Corp was founded in 2003.

Pope Benedict receives invitation to visit Panama

Vatican City, Sep 11, 2009 / 10:51 am (CNA).- After a visit to the grave of Pope John Paul II on Thursday afternoon, President Ricardo Martinelli Berrocal of Panama met this morning with Pope Benedict XVI and extended him an invitation to visit his country.

The meeting with Benedict XVI took place at the papal summer residence in Castel Gandalfo, just outside of Rome.
The audience involved a discussion of the current international and regional situation.
"Attention also focused on certain aspects of the situation in Panama itself, in particular on the social policies launched by the government, development projects for the country, and collaboration between Church and State with a view to promoting Christian values and the common good," a statement from the Vatican press office said.
At the end of their conversation, President Martinelli invited the Holy Father to visit Panama.
Pope John Paul II’s visit to the country in 1983 was the last time a Pontiff spent time there.

Wednesday, August 26, 2009

ISLAMIC FINANCE

Screening companies for Haram, or forbidden, activities is becoming more and more sophisticated, says Zaineb Sefiani at BMB Islamic
Sharia-compliant investment management is concerned with investments in assets that are in compliance with Islamic law. An Islamic investor is not allowed to invest in companies that derive most of their revenue from non-Sharia-compliant business activities, or that use interest in operating or financing their business. In the context of investing in equities, screening for Sharia compliance is ensured using two main screens: business activities and financial ratios.
The first level is business activity screening, or sectoral screening, in which companies are filtered out if they derive more than a certain percentage (usually 5%) of their business activities from one of the sectors forbidden by Islamic law. The outright forbidden (Haram) trading sectors include pork, alcohol, gambling, interest-based banking and finance, tobacco, pornography and similar unethical activities.
The process of implementing de facto Haram is not straightforward, as we need to look at all the business activities involved in the value chain. In the case of an industry sector, this would mean from the production of a raw material, to the delivery of the final product.
It would be interesting to take one non-Sharia-compliant business activity, and analyse the entire value chain. If we take the example of alcoholic beverages, a company whose core activity includes producing wine, spirits and beer, such as Diageo, would naturally be screened out of any Sharia-compliant investment universe. Large pub-owning companies such as Scottish and Newcastle will also automatically be classified as Haram. At the logistics stage such as a company that delivers barrels to pubs and bars, there is a strict Sharia requirement to exclude these companies as well. In general, Sharia rules against any business activity that is directly or indirectly involved in Haram businesses. The 5% threshold is applied at any stage of the value chain. If for example, there is sufficient information to believe that a company produces aluminium cans solely for beer canning, this company should be screened out. The same rule applies to aluminium producers themselves.
Ethical investing
On the other hand, the screening process for companies operating in weaponry, advertising and media is less straightforward. While not overtly forbidden under Sharia law, these sectors are in effect filtered out on a moral and ethical basis. Investment in weaponry is permissible in Sharia law if the underlying motive is defensive in nature, and as long as there is no potential collateral damage. However, due to the subjectivity of differentiating what constitutes legitimate defence, contemporary Sharia opinion has opted to exclude this sector all together.
More recently, a top European ethical fund manager, in collaboration with BMB Islamic, has worked on a new investment approach that genuinely integrates ethical and faith-based investment strategies. This is an interesting example that adds a new layer to the traditional sectoral screening process. In addition to the traditional filters mentioned earlier, there is a positive screening process whereby companies are selected if they make a positive contribution to society and encourage good management practice of sustainable issues.
It is easy to see that this approach makes the stock selection process much more complex. Equally, in terms of negative screening, companies that have, for example, a high involvement in animal exploitation, nuclear power generation, poor relations with employees, customers or suppliers would come at the top of the Sharia screen list. The positive screening seeks out investment in companies that are involved in providing basic necessities to life, such as offering customers ethical and environmentally friendly product choice, or actively addressing climate change. The universe of investment stock might be considerably reduced once ethical filters are applied. This revolutionised investment approach has been endorsed by some of the most prominent scholars in the Islamic finance industry, four of which sit on the board of the Accounting and Auditing Organisation for Islamic Financial Institutions.
To accommodate the demand from Islamic fund managers, index providers were the first to introduce Sharia indices as early as 1998. The FTSE, DJIM, MSCI, S&P all offer a selection of Sharia indices that allow the end users like fund managers to pick stocks for their investment portfolios.
Many funds have composite portfolios that rely on one or several index providers. These Sharia indices, however, may give a fairly limited choice in terms of the investable universe. In addition, some of these indices do not delve deep enough into any given company’s financials so as to determine the exact percentage of revenue which is generated from prohibited activities. This has serious implications on other services related to Sharia compliance, such as dividend purification, where fund managers are required to purify dividends earned by companies in their investment portfolio that derive a percentage of their revenue from non-Sharia-compliant business activity.
In short, the indices’ sectoral screening is purely based on the primary business activity of the company. Those businesses whose primary activity is Sharia compliant, but derive a portion of their revenue from Haram activities are not excluded. The real challenge in Sharia stock screening application is to specifically capture the latter companies that still generate more than 5% of their revenues from prohibited activities.
For example, a company such as Sainsbury’s is categorized under the ICB sector ‘food and drug retailer’, but sells pork and alcohol and might be generating more than 5% from these business activities. Another example is Louis Vuitton Moët Hennessy, categorised as ‘clothing and accessories’, but that still earns revenues from the sale of wines and spirits.
In order to determine the exact percentage of revenue from non-Sharia activities within companies operating in multiple business segments and those that pass the generic industry filters, Islamic fund managers need to conduct a thorough analysis of the firms’ accounts and reports, which may not be readily available. A company like Sainsbury’s might not be segregating between its sources of revenues (from pork sales vs non-prohibited products).
New generation screening
A new generation of Sharia stock screening processes has now emerged, creating a sophisticated but viable stock screening system which identifies the exact portion of prohibited activity within a company.
A United States-based provider of Sharia fund management solutions offers its clients a global equity screening service which is considered a powerful filtering engine, composed of 40,000 stocks globally in 95 different countries. The service provider lists the investments that need purification, and also has the capability to calculate dividend purification. The screening system does not as of yet have a Fatwa from the scholars, but it can be programmed to accommodate any financial ratio at the discretion of the Sharia scholars of a fund management company. In terms of sectoral screening, the system has the ability to remove companies that are indirectly involved in Haram businesses, such as a software company that produces software for casinos. However, when the data information is not available, such as in the case of Sainsbury’s, which does not provide a breakdown of its revenues, this company is then considered Sharia-compliant unless there is sufficient evidence to prove otherwise.
A UK-based hedge fund manager that has spent two years on developing one of the most sophisticated and rigorous Sharia screening systems considers such companies as non-Sharia-compliant. This screening system looks at 38,000 stocks representing more than 95% of the stocks worldwide. Another interesting feature is that it has both a web-based interface where clients can search by name, sedol, and various tickers, as well as by geography and industry sector. In addition, the Sharia screening system has an Excel add-on whereby a client can screen a complete portfolio from within the Excel software, that takes daily downloads from global financial information providers.
The filtering system is achieved in two steps. The first step consists of removing companies whose core activity is prohibited. The second stage involves a manual in-depth research on the financial and business activities of those companies that pass the first step. This Sharia screening system also provides daily updates on the compliance status of a company. For example, the system takes into account daily corporate actions, which means that a fund manager holding a position on a stock that becomes non Sharia-compliant, will be notified on the same day, and in theory, can take immediate action.
The number of Sharia-compliant equity funds now exceeds 400, of which a large number are Middle East and North Africa focused, or targeting individual countries within that region. At the same time, there is a rising demand from fund managers seeking to outsource these labour-intensive tasks to an external specialist. Conventional fund managers looking to launch Sharia-compliant equity funds will find off-the-shelf Sharia-compliant stock screening systems a simple and practical solution. The move from the traditional approach of using in-house resources for stock screening to a new generation of screening and monitoring tools can be achieved by using specialist Sharia advisory and structuring firms.
• Zaineb Sefiani is associate client relationship manager at BMB
Islamic©2009 funds europe

Wednesday, August 19, 2009

Internet access in Panama

August 19, 10:02 AM
Julie Ray
Major cities and even many small towns in Panama have one to many “Internet Cafes” (although often there is no “café”). Most places will charge by the ½ hour while others will have timers and charge you by the minute. In general, Internet places in the cities will be about $0.50 - $1.00 an hour, while those in smaller towns may be slightly more expensive. If you bring your own laptop, you may be able to use it at the Internet Café by having an attendant log you into the Wireless network. Many Internet places also will offer other services, such as printing and photocopying.
Panama uses the same electrical plugs as the United States (110 AC voltage). However, often outlets have only two prongs. If your computer (or other necessary appliances) have three prongs, pick up an adapter (3-prong to 2-prong) at any home improvement store for under $1.00. European visitors are encouraged to bring the necessary adaptors with them.

Most hotels in Panama now have a computer with Internet access, some times for free and other times payable with a credit card. Several places are now offering Wireless service (look for a MovilNet sign or other similar banner advertising Internet).
If you have a web-based email (Gmail, Yahoo!, or Hotmail) you should be able to access it from any Internet place. Some other web access mail programs require special software, which you may or may not be able to download onto the computer at the Internet Café. Utilize your own computer, which is set to receive your messages or consider forwarding your email to a web-based account during your trip. Computers loaded with Scype are now also available at most larger establishments.
Note that computers with public access may have viruses. Check all USB devices and your computer for viruses after use in an Internet café or hotel. Also, be sure to log-out of all accounts (email, bank accounts, Facebook, etc.) to ensure that someone does not access your information. Simply closing the webpage may not log you out of the account!

Hopefully these tips will help you stay connected while you travel through Panama!

Sunday, August 16, 2009

Opposition Lawmakers May Stall Canada-Panama Free Trade Accord

By Alexandre Deslongchamps and Eric Sabo

Aug. 14 (Bloomberg) -- The free trade agreement between Canada and Panama signed Aug. 11 may be stalled or even defeated in Canada’s Parliament unless Prime Minister Stephen Harper can convince at least one opposition party to overcome concerns about Panama’s tax policies.
Lawmakers from all three opposition parties said that while no decisions have been made, they may oppose the agreement over concerns that the Central American country is a tax haven.
Panama’s tax policies are “an area where we have a concern,” Scott Brison, the main opposition Liberal Party’s trade critic, said yesterday in an interview from Wolfville, Nova Scotia. “We are evaluating this particular agreement and will determine through the committee process whether or not it’s in the best interest of Canada.”
A refusal to pass the accord by opposition lawmakers would hamper Harper’s foreign policy strategy of forging tighter links with countries in the Americas. Harper has said he wants to bolster investment and trade in the region after negotiations at the Doha round of World Trade Organization negotiations stalled.
The Conservative government holds a minority of seats in the House of Commons and need the support of at least one opposition bloc to pass legislation.
A similar trade accord between Panama and the U.S., which was signed in 2007, has stalled in Congress after Democrats refused to support it unless Panama agrees to clamp down on tax evaders who find refuge there.
‘I Have My Doubts’
“We’ll read the text and look at the impacts, but given the problems with the tax haven status of Panama, I have my doubts,” Peter Julian, the trade spokesman for the New Democratic Party, said in an interview from Halifax, Nova Scotia. “If the deal has the results that we’re thinking about, then we’d be opposed to it.”
The Bloc Quebecois is also likely to vote against the agreement if it doesn’t contain new fiscal rules, said Serge Cardin, the party’s international trade spokesman.
“We at the Bloc Quebecois have denounced tax havens many times,” he said in an interview. “Now we have a chance, through the free trade agreement, to tell a country, if you want to do business with us, some things must change.”
Panama was the fastest-growing economy in Central America last year, expanding 9.2 percent. More than 17 corporations moved regional headquarters to Panama since legislators passed a tax exemption law in 2007, according to the Commerce Ministry.
The Paris-based Organization for Economic Cooperation and Development reiterated today that Panama is one of 26 jurisdictions that hasn’t “substantially implemented” its standard for sharing tax information, after the country agreed to do so in 2002.
Engaging Through Trade
Brison said the Liberals believe in the principle of free trade and that negotiating pacts with other countries can help engage them on issues such as governance, labor, and the environment.
Canada intends to propose negotiations on a tax information exchange agreement with Panama, a finance department official said in an e-mailed statement on condition that he not be identified by name.
The free-trade agreement would remove tariffs on 90 percent of Panamanian goods imported from Canada, with the remaining ones to be phased out over the next decade, Harper’s office said in an Aug. 11 statement. Canada exported C$128 million ($118 million) of goods such as meat, forest products and flight simulators to Panama in 2008, up 48 percent from 2007.
Under the agreement, Canada would immediately eliminate 99 percent of its tariffs on imports from Panama, leaving duties on some imports of sugar, poultry, eggs and dairy products. Panama would also end a ban on Canadian beef imports it imposed in 2003 following the discovery of mad cow disease in Canada.
A free-trade agreement with Peru came into force on Aug. 1 and Harper’s government is pushing opposition parties to approve another agreement it signed with Colombia last year.
To contact the reporter on this story: Alexandre Deslongchamps in Ottawa at adeslongcham@bloomberg.net; Eric Sabo in Panama City at esabo1@bloomberg.net Last Updated: August 14, 2009 15:19 EDT

Friday, August 14, 2009

Metro project is progressing well

http://www.laestrella.com.pa/mensual/2009/08/14/contenido/134358.asp

TRANSPORT

Metro project is progressing well

08-14-2009 MARIJULIA PUJOL LLOYD

Panama Star PANAMA. The metro project that could become the biggest achievement of the Ricardo Martinelli administration is progressing according to plan, says Metro Secretary, Roberto Roy.

“Currently the project is in the planning phase and we are estimating the costs and the technical viability. We are also doing the soil, and topographic studies and determining how much money we will have to pay to proprietors of the land affected by the metro,” said Roy.
It is unknown how much the metro is going to cost, because it will depend on the design.
The secretary said that metro would be a mixture of tunnels, ground level and aerial structures, which will follow the terrain.
“Initially we have planned a series of routes that will create a network able to transport a great amount of people in the metropolitan area. It expected that between 220,000 and 250,000 passengers would use the metro everyday, and this is just a conservative estimate,” said Roy.
The metro would have day and night schedules, but at the beginning would not operate 24 hours. The trains are going to have between three to six carriages that would be able to transport around 100 passengers each.
There will be two rails with trains traveling in opposite directions. In certain parts where elevated sectors are considered, special designs and materials will be put in place to minimize noise and at the same type blend in with the environment. The money to finance the metro will come from the private sector, the government and from international organizations.
Panamanian technical experts have visited metros in other countries such as the Dominican Republic, Colombia and Germany to see their designs, how they operate, but the one in Panama will have a unique design.
Roy said that the construction of the metro will start in 2010, with the first route open in 2014 and will be fully operational in 2015.
The metro department said that 90 percent of the routes have already being decided, but to avoid panic, they are going to be announced at a later date.
A Japanese commercial mission visited the government to express their interest in the metro and to give some advise.
Roy said that the construction of the metro is essential to make a proper reorganization of the transport system, in which passengers can travel in comfort, safety and arrive to their destinations on time.

Wednesday, July 15, 2009

Panamá ante la presión global

http://www.prensa.com/

Rogelio Tribaldos-Alba
Los tratados de intercambio de información fiscal (Tax Information Exchange Agreement o TIEA) y los convenios para evitar la doble imposición (Double Tax Treaty o DTT) son las dos fórmulas aplicadas en la actualidad para alinear a los llamados paraísos fiscales, con la imperial armonización fiscal tan vociferada por la OCDE. Permítaseme utilizar en adelante las siglas TIEA y DTT que son las siglas más conocidas en la literatura.
Los DTT interesan, en principio, a aquellos países de alta fiscalidad que, sobre la base de su sistema esencialmente universal, gravan a sus residentes por sus ingresos en cualquier lugar del mundo. O sea, si un francés invierte en Japón, el DTT entre estos países evita que el francés tribute doblemente, en Francia y en Japón.
En contraste, los TIEA son impuestos por los poderosos a los miniestados y territorios dependientes, especialmente si son tildados de paraísos fiscales. El interés por intercambiar unilateralmente información tributaria basada en los TIEA no se origina entonces en países de poca tributación, sino en los países de alta fiscalidad universal. Por lo general, al tratarse de colonias británicas y otras posesiones europeas en el mundo, los tratados de doble imposición (DTT) no interesan al estado colonial. Por eso, las Islas Vírgenes Británicas tienen un solo DTT con Inglaterra.
Consecuentemente, los acuerdos que está firmando para liberarse del estigma de Unco-Operative Tax Haven, son únicamente TIEA, acuerdos de una vía para satisfacer el apetito fiscal del gobierno inglés. De cara a las Islas Vírgenes Británicas, la imposición de los TIEA es injusta, pero no hay que asombrarse: Los británicos tienen experiencia en imponer “tratados desiguales” (China, 1841, Guerras del Opio). Amén de las potencias coloniales Francia, España y su mejor aprendiz, Estados Unidos.
No hay una definición generalmente aceptada de paraíso fiscal, pero proponemos decir que es un ordenamiento jurídico que, en lo tributario, grava la renta de sus residentes principalmente basado en la fuente y aplica tasas impositivas muy bajas o inexistentes a no residentes. Por lo general, son territorios dependientes o miniestados soberanos que, por falta de materias primas y por su limitado territorio y población, ofrecen facilidades jurídico-fiscales y de confidencialidad que les permiten percibir beneficios intermediando vehículos jurídicos y participar así en la economía mundial.
Panamá siempre tuvo un sistema de territorialidad, uno de los sistemas impositivos más antiguos que se conocen y que se aplica parcialmente aún en todo el mundo. Sería lógico entonces que Panamá firmase convenios tipo TIEA con las potencias globales para que “nos dejen en paz”.
Sin embargo, antes de tomar una decisión apresurada, analicemos mejor el asunto.
No somos colonia de nadie y, si por casi un siglo fuimos un “cuasi-protectorado” gringo, hemos demostrado a la saciedad que somos una digna y libre nación. Es una ofensa que se nos imponga un “tratado desigual” como el TIEA, el cual pondría en peligro nuestra economía de servicios y, lo que es totalmente inaceptable, nos cerraría la puerta al futuro desarrollo de nuestro centro financiero. Con base en los TIEA, no afluirían hacia Panamá patrimonios no declarados por temor al intercambio de información fiscal, ni patrimonios declarados por falta de los Double Tax Treaties.
Otra cosa sería nuestro centro financiero si Panamá dispusiera de una red de convenios para evitar la doble tributación (DTT). Estos tratados disponen de una cláusula sobre intercambio de información fiscal por lo que son muy bien aceptados por las potencias globales. Una buena red de DTT convertiría a Panamá en una plaza de gestación patrimonial internacional; se desarrollarían en nuestro medio las técnicas y el conocimiento de la planificación fiscal, sucesoria y financiera (Tax, Estate & Financial Planning). En poco tiempo, Panamá pasaría a ser para el hemisferio occidental lo que es Suiza para Europa y Singapur para el Asia. Este sofisticado esquema atraería masivamente la inversión extranjera, con la creación de nuevas industrias, actividades comerciales y, por ende, muchísimos puestos de trabajo.
Necesitamos urgentemente una estrategia nacional de desarrollo que permita aprovechar las ventajas naturales que caracterizan al Istmo. La historia de Panamá refleja al máximo el axioma de que el destino de los pueblos pasa por su geografía.

Se necesita el debate nacional sobre el futuro de nuestra economía, actualmente egoístamente cuestionada por las potencias globales sin importarles el daño que nos puedan causar. Así como no podemos prohibir a Estados Unidos que produzca acero para exportar armas, ni a Alemania que declare que su industria automovilística “es de interés nacional”, tampoco podemos permitir que nos destruyan las únicas ventajas que tiene nuestro país, la economía de servicios.
El gobierno panameño tiene que declarar oficialmente al centro de servicios como asunto de interés nacional (el 80% de la economía), a la vez que dar a conocer al mundo su disponibilidad de aplicar la Ley de Retorsión contra cualquier país que nos discrimine. Como nación progresista, tenemos también que estar dispuestos a adaptar nuestro ordenamiento jurídico a las exigencias del tiempo.
Tenemos que hacer las reformas necesarias que nos permitan negociar con éxito convenios de doble tributación y rechazar al mismo tiempo los denigrantes tratados de intercambio de información fiscal. Los amigos o la moral no pueden determinar nuestra política exterior, sino esencialmente el interés nacional; ¡defendamos lo nuestro!

Wednesday, July 8, 2009

Third Set of Locks Bid Opening Ceremony

VIDEO OF THE EVENT

http://www.pancanal.com/eng/index.html

Panama canal says Sacyr, Impregilo give lowest bid

http://www.reuters.com/article/marketsNews/idUSN0838739520090708

Wed Jul 8, 2009 11:41am EDT
* Panama Canal Authority unveils bids on contract

* Consortium led by Sacyr, Impregilo submit lowest bid
PANAMA CITY, July 8 (Reuters) - A consortium led by Spanish firm Sacyr (SVO.MC) and Impregilo (IPGI.MI) of Italy submitted the lowest bid on a contract for the largest portion of a project to expand the Panama Canal, the Canal Authority said on Wednesday.
The consortium submitted a bid of $3.12 billion, which was below the target price of $3.48 billion also announced on Wednesday by the canal authority, or ACP.
The ACP, which is overseeing the bidding, may take several weeks before announcing a winner. This contract is the largest piece of a $5.25 billion project to expand the interoceanic canal.
Bids were placed months before a presidential election brought into power millionaire supermarket magnate Ricardo Martinelli, bucking a trend of left-wing leadership victories in Latin America.
The other two bidders in the process were a consortium including Spanish giants ACS (ACS.MC), FCC (FCC.MC), Acciona (ANA.MC) and Mexican firm ICA (ICA.MX); and a consortium led by privately owned Bechtel. Bechtel had teamed up with Japan's Taisei Corp (1801.T) and Mitsubishi Corp (8058.T). (Reporting by Elida Moreno; Editing by Tim Dobbyn)

Sunday, July 5, 2009

Martinelli Will Be a Great President for Panamá

http://www.diariolasamericas.com/news.php?nid=80711

EDITORIALES

Publicado el 07-02-2009

Significant for democracy in the Americas has been the presidential election of Ricardo Martinelli in Panamá, a man who represents a serious and sensible ideological current in terms of human rights in the political and of free enterprise in the economic. This is a man who has acquired great wealth with honest work and constantly trying to improve himself in an exemplary way.
He came to power because of the will of a considerable majority of his fellow citizens who, knowing that his ideology is contrary to the populism now in vogue, supported him to reorganize Panamá and consolidate the institutions of the republic.

Certainly, several or many anti-democratic governments that pose as democratic in the Americas, although represented at the solemn inauguration of President Ricardo Martinelli and his Vice President Juan Carlos Varela, must have been surprised and dejected by the victory of a serious man who has all the characteristics of a statesman, although this might not be his academic background. However, he is a citizen who is determined to carry out his work with a serious ideological sense within the norms of representative democracy.
It would have been terrible for democracy in the Americas that Panamá had fallen into the populist abyss as has happened in several republics of the continent that are now in jeopardy of ceasing to be republics because of the demagoguery of their rulers set upon deforming the democratic life of their nations.
The speech made by President Martinelli on his inauguration described, with simple words, what his regime would be, reducing the scope of the government to the benefit of the citizenry. He began by receiving the presidential sash wearing formal suit, different to what some rulers are wearing now who seem to be in costume when one compares them with the traditional customs in official ceremonies.
In his speech, he said the following: “Panamá has to be a leader of freedom and justice, not only here in our home, but in our region and our continent”. He added that, “As President, I will do everything within my power to advance the ideals of a free economy, defying the ideological pendulum in Latin America.” These are significant words that reveal a firm stand on behalf of the political seriousness of democracy in the region.

Future looks bright for Panama



http://www.telegraph.co.uk/expat/5733774/Future-looks-bright-for-Panama.html



Panama has a slice of everything and something for everyone, says Richard McColl.



He explains why the future looks bright for Panama.



By Richard McColl
Published: 4:45PM BST 05 Jul 2009

There is no mistaking where we are, soaring above the Central American isthmus and over the Bridge of the Americas – an ironwork structure that from the air looks as if it is a giant's clasp fastening North and South America together either side of the Panama Canal.

Our plane banks up and over an endless line of waiting tankers before catching a glimpse of Panama City's exponential upward – or even skyward – growth. For the centre city now resembles a mirrored glass complex of clustered stalagmites, although you'll hear estate agents and residents claiming that the city has a "Manhattan" skyline.

Panama is booming, in fact it has been booming for some time now. Those who missed the boat in Miami and found Costa Rica inadequate and too costly, set their sights on this sliver of a country that since the strongman Manuel Noriega was deposed in 1989 has been a model of stability.

Many expat retired people have also been enticed into investing in property here because of Panama's easy access to both oceans, abundance of flora and fauna, by a favourable climate – which conveniently lies south of the hurricane belt – and most importantly the infrastructure.

"Panama is in a privileged location, multinational firms are moving their Americas headquarters here, Panama City has all the benefits of a first world city and Tocumen International airport has daily flights to 42 countries," says Jaime Figueroa, of estate agents Panama All in One.

Sitting in the shade of a jacaranda tree in a handsome plaza in the colonial Casco Viejo quarter of the city, my reflections on Panama's history as key to Spanish imperialism in South and central America are interrupted by a raucously loud Blackberry device.

Carefully I cast a glance over my shoulder to see a fiftysomething North American woman, dressed impeccably, sipping tonic water sitting before a pile of immaculate office files. There's no doubt about it, she's an estate agent. And by the sound of things business is good. Could this be the agent who brokered the deal for Sean Connery or for Mel Gibson in Panama's current hot spot, the Azuero Peninsula, an axe-head shaped parcel of land in Panama's southwest jutting out into the Pacific, or perhaps she is sweetening the deal for prospective clients Angelina and Brad on the Caribbean's Bocas del Toro region? Apparently Pierce Brosnan is fond of Panama as well since he can move about for the most part unrecognised.

Brian Requarth, managing director of VivaReal (www.VivaReal.net), an English language online property site, says: "We saw Panama as a key market as there are a growing number of investors drawn to the area. The country has provided some excellent incentives to attract foreign investors to the region and the strategic location really makes Panama a bridge into South America."

These incentives include a conservative banking industry and a stable economy, the balboa is pegged to the US dollar. In addition to this, the Panamanian authorities have waived property taxes on people investing in Panama for a period of 20 years as well as not taxing earnings made elsewhere.

Celebrities aside, Panama gained some notoriety in recent years from "canoe man" John Darwin and his wife Anne, the debt-ridden Hartlepool couple who were so enamoured by the county that they staged John's death to invest the life insurance payout here.

Intending to set up a business, they bought a £200,000 lot in Escobal, which is just a few kilometres outsite the run down and dangerous city of Colon on the Caribbean coast, which is an hour's drive from downtown Panama City and the location of the famous Zona Libre (Tax-Free Zone). Similar lots are selling up fast, partly due to the publicity surrounding the Darwins causing a mini surge in tourism.

One assumes that the Darwins did a thorough reconnaissance trip around Panama before settling on Escobal, shunning the cooler climes of the mountain town of Boquete, steering clear of the Miami-like Panama City, staying away from the busy Caribbean islands of the Bocas del Toro and obviously staying to the North of the troublesome Darien area.

In short, Panama has a slice of everything and something for everyone. With a new government elected in May that is ambitious and overtly friendly and open to foreign investors, the future looks brighter and brighter for Panama.

"As soon as the United States was attacked on 9/11," says Figueroa, "Panama saw an upsurge in interest in people looking for first-world amenities, warm weather and security, and they found it here."

I won't be found criticising the United States for their role in the forming of modern day Panama – I am benefiting from it right now. Rather than check into a soulless multinational establishment in the downtown mayhem and rush hour traffic of El Cangrejo or Marbella, I have decided to stay in Balboa, the heart of the former Canal Zone.

Here the streets are wide, a breeze takes the edge off the stuffy mornings, people still tend to their lawns and there is an appreciation of personal space. A basketball net adorns the eaves of a garage door and it is hard to imagine that I am anywhere else but in a parallel version of Americana, certainly not in Latin America.

Perhaps the only difference is that over breakfast on the terrace, looking out at the exotic birds of paradise I can make out a family of coati scavenging for food near the bottom of the garden and up above a pair of toucans sing their morning tunes, whistling through their colourful beaks.


Saturday, June 27, 2009

Panama: Boxing to a better life

http://features.csmonitor.com/globalnews/2009/06/25/panama-boxing-to-a-better-life/

By Sara Miller Llana Staff writer 06.25.09

A local, slice-of-life story from a Monitor correspondent.

PANAMA CITY – Eusebio Pedroza, a former world boxing champion, started punching at age 9 in a local gym. But he hid it from his parents for a decade, sneaking off to Friday night fights with his trainer uncle, until he made it professional. “They wanted me to study,” he says.

These days kids have nothing to hide – as boxing is making a comeback across Panama. In April, the government inaugurated the Roberto Duran arena, a $16.5 million renovation expected to attract world-class title events. Panama currently boasts three world champions – no small number considering the country’s population of 3 million.
It is in this context that Mr. Pedroza has set up a nongovernmental organization to help the kids in the same hardscrabble neighborhood where he grew up shining shoes and selling candy on the streets as a small boy.

The two-year old Association for Organic Human Development helps in all kinds of ways: with tutoring or after-school activities to steer boys away from gangs and girls from prostitution. Boxing is just a piece of it, but one that Pedroza is willing to teach.
“Boxing is more than just an art, it is defense for an individual and it teaches discipline,” he says. But education is what he tries to underscore. “Education is always the priority,” he says.

And he teaches by example. He might not have the celebrity status of Roberto Duran, but Pedroza has an advanced degree, has served in public office, and continues to work in a variety of capacities for the government.

Monday, June 22, 2009

10 words you will hear in Panama, but may not find in your dictionary

http://www.examiner.com/x-12916-Norfolk-Panama-Travel-Examiner~y2009m6d21-10-words-you-will-hear-in-Panama-but-may-not-find-in-your-dictionary

June 21, 4:03 Pm

Julie Ray
Norfolk Panama Travel Examiner

Here are some words that you are sure to hear during your visit to Panama, but may not find in your dictionary.


Balboa: (ball-bo-a) Several things bear the name Balboa in Panama, in honor of Vasco Núñez de Balboa, a Spanish explorer who crossed Panama in 1513 to become the first recorded European to see the Pacific Ocean from the New World. If you hear this word while trying to make a purchase, it is most likely in reference to the Panamanian currency. Panama utilizes the US dollar (although they have their own printed coins that are interchangeable with US coins), but calls the paper money the ‘Balboa’. Instead of writing a price with the $ sign on price tags, they may write 'B./' to indicate ‘Balboas’. Cashiers will announce your total in ‘dolares’ or ‘Balboas’. Balboa also is the name of a beer served in many restaurants and bars in Panama.
Interior: (in-tear-e-or) The areas of Panama between Panama City and Chiriqui (near the Costa Rican border). This term may be used in general conversation to reference the poor, rural areas of western Panama.


Chiva: (che-va) Most often used as the name for the small van-like buses and, in rural areas, for pick-up trucks with the bed covered and equipped with benches for passengers. Chivas travel locally between towns throughout Panama. They will stop to pick up passengers between the two designations, but usually do not travel more than two hours each direction.

Diablo Rojo: (dee-ah-blo row-ho) Old US school buses that provide transportation around Panama City (and in some other cities). The buses are characteristically decorated with dramatic pictures and streamers. The route traveled by each bus is painted on the windshield and often shouted out by the driver or helper. The cost is $0.25 to ride in Panama City, paid when you get off the bus. Diablo Rojos do travel past Tocumen International Airport during daytime hours (leaving from Albrook Bus Terminal; about $1.00 each way). Be ready to exit the bus quickly at your stop as the driver will not wait long.
Interamericana: (inter-amer-a-cana) Refers to the Pan-American Highway. In total, the highway extends from Prudhoe Bay, Alaska into the southern parts of South America (the actual ending point is disputed). In Panama the highway runs the length of western part of the country (4-lanes for nearly the whole distance) and is only interrupted by the ‘Darien Gap’ in eastern Panama, where 87 kilometers (55 miles) has not been completed.

Corredor: (core-e-door) A toll road (4-lane) most commonly traveled between Panama City and the Tocumen International Airport by tourists. It heads in both directions, so you will see signs for Corredor Norte and Corredor Sur. If you catch a taxi at the airport, you may be asked if you would like to take the ‘Corredor’ to the city. This option will help avoid potential traffic delays, but you will be charged more to cover the tolls (there are 2 between Panama City and the airport, totaling about $3.00).
Dale: (doll-e)A slang term, at times followed by the word ‘pue’ (translation: then). When on the bus, you will hear the secretary (the person who helps you on the bus) say this to the driver when you are clear to move away from a stop. Taxi drivers may call this out. It also is commonly heard coming from a group playing fútbol (soccer). The literal translation is ‘give it’, but it can mean ‘go ahead’ or ‘move it’.
Fonda: (fon-da) A small restaurant serving traditional Panamanian food. Each normally will offer a limited number of dishes each day. Meals may consist of rice, beans or lentils, and a meat (chicken or beef, at times pork or fish). Soup (chicken, beef, or fish) also may be available and you can ask for a plate of rice to accompany this (noodles are not typical). Prices are usually cheap ($1-$3/meal) and meals are served quickly compared to restaurants where large menus are offered.
Sancocho: (san-co-cho) A traditional soup. It contains meat from a farm-raised hen chicken and vegetables and herbs like yucca, ñame (a type of tuber), onions, oregano, and cilantro. The soup can be served with rice, but does not contain noodles.
Mondungo: (mon-dun-go) A dish made from the intestines of a cow. Very chewy and typically not a favorite of Americans or some Europeans! I personally cannot recommend choosing this from the menu! (Have seen this dish spelled as mundungo in some places in rural Panama).
Print this list of words and tuck it into your dictionary. I would be surprised if you did not hear (and perhaps wonder about) at least one of these words during your trip to Panama!

Sunday, June 21, 2009

"We Need Fathers To Step Up"

by President Barack Obama
published: 06/21/2009
Two days before the inauguration, PARADE published a letter from Barack Obama to his daughters about what he hoped for them and all the children of America.
The letter attracted international attention.
On this Father's Day, we asked the President to reflect on what fatherhood means to him. [Get the story behind the story from PARADE Editor Janice Kaplan.]
As the father of two young girls who have shown such poise, humor, and patience in the unconventional life into which they have been thrust, I mark this Father’s Day—our first in the White House—with a deep sense of gratitude. One of the greatest benefits of being President is that I now live right above the office.
I see my girls off to school nearly every morning and have dinner with them nearly every night.
It is a welcome change after so many years out on the campaign trail and commuting between Chicago and Capitol Hill. But I observe this Father’s Day not just as a father grateful to be present in my daughters’ lives but also as a son who grew up without a father in my own life.
My father left my family when I was 2 years old, and I knew him mainly from the letters he wrote and the stories my family told. And while I was lucky to have two wonderful grandparents who poured everything they had into helping my mother raise my sister and me, I still felt the weight of his absence throughout my childhood.
As an adult, working as a community organizer and later as a legislator, I would often walk through the streets of Chicago’s South Side and see boys marked by that same absence—boys without supervision or direction or anyone to help them as they struggled to grow into men.
I identified with their frustration and disengagement—with their sense of having been let down. In many ways, I came to understand the importance of fatherhood through its absence—both in my life and in the lives of others. I came to understand that the hole a man leaves when he abandons his responsibility to his children is one that no government can fill.
We can do everything possible to provide good jobs and good schools and safe streets for our kids, but it will never be enough to fully make up the difference. That is why we need fathers to step up, to realize that their job does not end at conception; that what makes you a man is not the ability to have a child but the courage to raise one.
As fathers, we need to be involved in our children’s lives not just when it’s convenient or easy, and not just when they’re doing well—but when it’s difficult and thankless, and they’re struggling. That is when they need us most. And it’s not enough to just be physically present.
Too often, especially during tough economic times like these, we are emotionally absent: distracted, consumed by what’s happening in our own lives, worried about keeping our jobs and paying our bills, unsure if we’ll be able to give our kids the same opportunities we had.
Our children can tell. They know when we’re not fully there. And that disengagement sends a clear message—whether we mean it or not—about where among our priorities they fall. So we need to step out of our own heads and tune in. We need to turn off the television and start talking with our kids, and listening to them, and understanding what’s going on in their lives.
We need to set limits and expectations. We need to replace that video game with a book and make sure that homework gets done. We need to say to our daughters, Don’t ever let images on TV tell you what you are worth, because I expect you to dream without limit and reach for your goals.
We need to tell our sons, Those songs on the radio may glorify violence, but in our house, we find glory in achievement, self-respect, and hard work. We need to realize that we are our children’s first and best teachers. When we are selfish or inconsiderate, when we mistreat our wives or girlfriends, when we cut corners or fail to control our tempers, our children learn from that—and it’s no surprise when we see those behaviors in our schools or on our streets.
But it also works the other way around. When we work hard, treat others with respect, spend within our means, and contribute to our communities, those are the lessons our children learn.
And that is what so many fathers are doing every day—coaching soccer and Little League, going to those school assemblies and parent-teacher conferences, scrimping and saving and working that extra shift so their kids can go to college. They are fulfilling their most fundamental duty as fathers: to show their children, by example, the kind of people they want them to become.
It is rarely easy. There are plenty of days of struggle and heartache when, despite our best efforts, we fail to live up to our responsibilities. I know I have been an imperfect father. I know I have made mistakes. I have lost count of all the times, over the years, when the demands of work have taken me from the duties of fatherhood. There were many days out on the campaign trail when I felt like my family was a million miles away, and I knew I was missing moments of my daughters’ lives that I’d never get back. It is a loss I will never fully accept.
But on this Father’s Day, I think back to the day I drove Michelle and a newborn Malia home from the hospital nearly 11 years ago—crawling along, miles under the speed limit, feeling the weight of my daughter’s future resting in my hands.
I think about the pledge I made to her that day: that I would give her what I never had—that if I could be anything in life, I would be a good father. I knew that day that my own life wouldn’t count for much unless she had every opportunity in hers. And I knew I had an obligation, as we all do, to help create those opportunities and leave a better world for her and all our children.
On this Father’s Day, I am recommitting myself to that work, to those duties that all parents share: to build a foundation for our children’s dreams, to give them the love and support they need to fulfill them, and to stick with them the whole way through, no matter what doubts we may feel or difficulties we may face. That is my prayer for all of us on this Father’s Day, and that is my hope for this nation in the months and years ahead.

Sunday, June 14, 2009

Natá, Coclé, Panama: Hidden history in the Interior













































Are you interested in history or enjoy beautiful architecture? Would you like to attend a service in an ancient church? Or perhaps you are seeking a break during your travels towards the western part of Panama? I encourage a stop in Natá, Coclé. Natá is one of the oldest cities in Panama, established in 1622, and is home to one of the oldest surviving churches of the New World.

Natá, originally settled by the Spanish, is a quaint community of about 6000 residents. Natá has a bank, Western Union office, pharmacy, a store with construction supplies, and a couple of small fondo restaurants.

It is located on the Interamerican (Pan-American) Highway between Penonomé and Aguadulce (two of the largest towns located in Coclé, both also located on the highway). You can arrive from Panama City by taking the Aguadulce bus (or any bus heading further to the west) and asking to be dropped off in Natá ($6-$7/person). You also can take a small chiva (van-like bus) from Aguadulce or Penonomé (~$2/person) or arrive by private vehicle. Located, in the lowlands, be prepared for hot temperatures and afternoon rains, especially during the rainy season.

You can visit the church by turning left (when traveling west) in the center of town and heading straight until you see the large, white tower or the park across the street. Ask a local person to point you towards the iglesia if you don’t find it right away. The church, a National Historic Landmark, is in great condition thanks to continuous restoration efforts by the local people. Catholic services are held daily and festivals are frequent events.

Friday, June 12, 2009

PRPA and Panama Canal Authority co-promoting Asia route

Friday, June 12, 2009, 4:00pm EDT

Philadelphia Business Journal - by Athena D. Merritt

Staff Writer

The Philadelphia Regional Port Authority and Panama Canal Authority agreed on Friday to jointly promote a shipping route between Asia and the city’s port via the Panama Canal.
The agreement, which is renewable after two years, will include joint marketing activities and sharing best practices and information, including market studies, information on improvements and/or modernization efforts and personnel training programs.
“The strategic alliance with the Panama Canal Authority will increase job opportunities at our regional ports and attract new business,” says PRPA Board Chairman John H. Estey.
“This collaboration aligns with our mission to become one of the most competitive U.S. East Coast seaports and has an increasingly marked contribution to the economic health of the state.”
Half of all of the cargo PRPA handled last year (1,906,343 long tons) was either on its way to or from the Canal last year, which is up 17,000 long tons over the prior year.
Expansion projects are under way in both areas. PRPA is sponsoring the five-to-seven year project to deeper the Delaware River Main Channel from 40 feet to 45 feet. The Panama Canal Expansion Program, expected to be completed in 2014, will add a new lane of traffic along the Canal that will allow for wider ships and double capacity.

Friday, June 5, 2009

Rethinking Panama

Eric Farnsworth
http://www.as-coa.org/article.php?id=1694

Poder
June 2009

Score one for pragmatism over ideology in the ongoing fight for the soul of Latin America.On May 3, Panamanians elected a new president, businessman Ricardo Martinelli, by a wide margin over his closest rival, Balbi­na Herrera, a former housing minister linked to Manuel Noriega and, more recently, shady campaign donors.
The Panamanian people, tired of exploding crime and an imploding economy, turned to a candidate outside the two major political parties who promised to use his business acumen to restore Panama’s recent fortunes.It will be a tall, but not impossible task.First, the good news.
Martinelli has made a fortune in supermarkets but he’s no stranger to politics nor to management of Panama’s crown jewel, the canal. As former Minister for Canal Affairs and also Chairman of the body that oversees the canal, Martinelli has moved seamlessly among virtually all parties in Panama, and with the international community as well, particularly the United States.
He understands Panama’s geography as a crossroads and rightful place in the global economy, and has been an instrumental voice in the massive ca­nal expansion project that, once completed, will allow Panama to compete for an ever larger share of global commerce that currently avoids the canal because it cannot handle the largest cargo loads.On the political side, Martinelli’s victory represents a cry by Panamanians for practical solutions to daily concerns.
Panama is not Nicaragua, Ecuador, or Boliv­ia—and Panamanians know their future lies with active participation in global commerce, rather than ideologi­cal hook-ups with anti-U.S. populists.
But now, the President-elect must deliver. In addition to spiking street crime and corruption, which the new Panamanian administration must quickly get under control, perhaps with increased Merida program assistance from the United States, Panama has been buffeted by the global economic recession.
Explosive recent growth of around 9 percent annually has been cut by two thirds, and the pace of recovery is uncertain.In the first instance, Martinelli will seek to re­store growth. He has pledged to go forward with the canal expansion project as a means to juice Panama’s economy and position the country for the future. That’s the right move.
At the same time, he has said that the signing and implemen­tation of the FTA negotiated with the United States will be his top priority.Under normal circumstances, conclusion of the trade agreement should be a slam dunk in Washington. It’s non-controversial to all but the most ardent anti-traders. It would link a small, services-based economy to the world’s largest economy, hardly a threat to U.S. economic stand­ing. Along with the pending U.S.-Colombia FTA, it would bridge the gap of free trade from Central to South America.
And it would be the next logical step to build a bilateral relationship that has mir­rored the historical arc of U.S. relations with Latin America generally: from gunboat diplomacy at the birth of the nation to questions of sovereignty, dictatorship, drugs, and finally partnership build­ing commerce and mutual respect.But we are not living under normal circum­stances.
Arguably, both Panama and the United States made a significant tactical mistake by leaving Panama out of the original DR-CAFTA and seek­ing to do a stand-alone bilateral agreement. Such a move was always risky, but concerns were brushed aside. In the meantime, the makeup of the U.S. Con­gress changed significantly.
As more trade skeptics were elected, the opponents of trade continued their relentless a lacks without an effective coun­tervailing push-back from the business and policy communities, and the global economy tanked.The Obama Administration has now suggested it wants to move forward with the Panama FTA sooner rather than later, but the lack of a defined timetable is troubling, particularly now that its U.S.-based critics are urging that Panama be included in the Administration’s announced push to close down foreign tax havens. If it weren’t this, it would be something else; the bottom line is that Washington these days is a hard place to be for trade, and unless the White House actively gets behind the agree­ment, the US-Panama FTA won’t move.
But with everything else on the Administration’s plate in the current moment, that’s a tough political call to make, particularly since the Summit of the Americas is now out of the way and there are few other action-forcing events on the horizon beyond the 20th anniversary of Operation Just Cause, on December 20.
Like outgoing President Martin Torrijos, Presi­dent-elect Martinelli sees the FTA as an anchor of Panama’s long-term economic health, an invest­ment promoter and job creator that will help build out Panama’s economy to take full advantage of its strategic position. Together, once the global econo­my recovers, canal expansion and the bilateral trade agreement will give Panama a compelling competi­tive advantage. But we have to get there first.
This piece was originally published in PODER.