United States
Panama Travel and Destination Guide
CULTURE
Pre 20th Century History
The earliest known inhabitants of Panama were the Cuevas and the Coclé, who were decimated by disease and the sword when the Spanish arrived in the 16th century. After several forays along the country's Caribbean shore, the Spanish established a settlement, Nombre de Dios, at the mouth of the Río Chagres on the Caribbean coast in 1510. Panama's Pacific coast later became the springboard for invasions of Peru, and the wealth generated by these incursions was carried overland from the Pacific port of Panama (City) to Nombre de Dios. The transport of wealth attracted pirates, and by the 18th century the Caribbean was so dangerous that Spanish ships began bypassing Panama and sailing directly from Peru around Cape Horn to reach Europe.
In the years to follow, Panama went into decline, becoming a province of Colombia when the South American nation received its independence in 1821. In 1846, Colombia signed a treaty permitting the USA to construct a railway across the isthmus and to defend it with military force. The idea of a canal across the isthmus had been broached even in the 16th century, but a French attempt to build one in 1880 resulted in the deaths of 22,000 workers from malaria and yellow fever, and bankruptcy for everyone involved. However, a Frenchman who stood to gain handsomely from a US buyout of the French rights to build a canal was named 'envoy extraordinary' by Washington, and he negotiated and signed a canal treaty with the USA, despite the objections of the Colombian government. The financial and strategic interests of the US momentarily coincided with the sentiments of Panama's revolutionaries, and a revolutionary junta declared Panama independent on November 3, 1903, with the overt support of the USA.
Modern History
The canal treaty granted the USA rights in perpetuity over land on both sides of the canal and a broad right of intervention in Panamanian affairs. The treaty led to friction between the two countries for decades. The USA began to build the canal again in 1904, and 10 years later the first ship negotiated the engineering marvel. The US intervened in Panama's affairs repeatedly up until 1936, when it relinquished its right to use troops outside the Canal Zone. A new treaty was signed in 1977. Panama formally regained control of the canal in 1999.
In 1984, General Manuel Noriega took control of the country. A former head of Panama's secret police and a CIA operative, Noriega became a demagogic bogeyman, murdering political opponents, squashing democracy, trafficking drugs and laundering money. When the winning candidate of the 1989 presidential election was beaten to a pulp on national TV and the election declared null and void, Noriega's regime became an international embarrassment. Noriega appointed himself head of government and announced that Panama was at war with the USA. The following day an unarmed US soldier dressed in civilian clothes was killed by Panamanian soldiers; the Panamanians claimed that he was armed and had shot and injured three civilians before running a roadblock.
The US called in 26,000 troops for 'Operation Just Cause', which was intended to bring Noriega to justice and create a democracy better suited to US interests; it left more than 2000 civilians dead and thousands homeless. Noriega escaped capture by claiming asylum in the Vatican embassy; he was captured a few days later, sent to the US and convicted of money laundering.
The legitimate winner of the 1989 presidential election, Guillermo Endara, was sworn in as president. In 1994 Ernesto Pérez Balladares took office. Under his direction, the government implemented a program of privatisation and focused on infrastructure improvements, health care and education. In 1999 Mireya Moscoso, Panama's first female leader and head of the conservative Arnulfista Party (PA), took office.
Recent History
In 2000 Moscoso set up an investigation of state crimes committed between 1968 and 1989 and in 2002 set up another investigation, this time looking into government graft. She nevertheless lost the presidential election in May 2004, and was replaced by Martin Torrijos.
In October 2006, Panamanians voted in a referendum to expand the Panama Canal. The ambitious job-creating project started in September 2007, and will see the canal's system of channels and locks widened and improved to make it suitable for modern supertankers and to cut waiting times. The hefty multi-billion dollar construction bill is expected to be funded by an increase in canal tolls and foreign investment.
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