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Central America

Panama government and protesters strike deals to clear key highway

AFP

Panama’s government and indigenous leaders reached a second deal Sunday to clear all remaining demonstrators from the Panamerican Highway in exchange for lower fuel prices, ending a two-week blockade that had stymied food deliveries.

The government released footage from the signing of an initial agreement in far-west Chiriqui province, where most of the Central American country’s food is produced, and of a blocked section of the highway being cleared.

Angered by high prices and corruption, protesters had clogged the highway linking Panama to the rest of Central America over the past two weeks. Large trucks and banner-waving demonstrators paralyzed the strategic route, making it hard for the country of 4.4 million to feed itself. 

To avert the crisis, a second deal was signed later Sunday in Santiago de Veragua, a city 250 kilometers (155 miles) northwest of Panama City, the epicenter of the negotiations and a protester stronghold.

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“Many Panamanians have suffered from these stoppages,” said Vice-President Jose Gabriel Carrizo after signing the agreement. “This is a huge government effort.”

The deal establishes the fixed price of fuel for 91 and 95 octane gasoline and diesel, and is effective from July 18.

“The traffic of cars and heavy equipment in Veraguas is free,” Eduardo Cortés, who participated in the demonstrations on the highway, told AFP by phone.

The proposal of 3.25 dollars per gallon (3.78 liters), was better than the 3.30 offered in the deal made earlier in the day with the indigenous community of the Ngabe-Bugle Comarca in Chiriqui.

“This has not been easy, we have made progress with (reducing the cost of) the basic food basket,” said Luis Sanchez, a spokesman for the organizations promoting the protests.

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In Panama City, a hundred people gathered on the waterfront to demonstrate. They all wore black, in contrast with the white suits worn by lawmakers during official ceremonies.

Food costs are “higher than what is earned. We have a big social problem,” lawyer Jaqueline Hurtado told AFP. “People are fed up and have taken to the streets to demonstrate for things to change.”

Retiree Iliana Arango said: “In my 68 years of life, I am tired of seeing governments that promise, go up, steal, go down, the next one follows and here we are lacking everything, medicine, education, food.”

Year-on-year inflation in Panama of 4.2 percent was recorded in May, along with an unemployment rate of about 10 percent and fuel price hikes of nearly 50 percent since January. 

Despite its dollarized economy and high growth figures, the country has a high rate of social inequality. 

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Economic woes have led to a shortage of fuel in some parts of the country, and stalls at food markets in the capital have run out of products to sell. 

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Central America

Honduran Lawyer and Protected Witness in Angie Peña Case Shot Dead

Honduran lawyer and former judicial official Dereck McField was shot and killed on Monday morning, according to local media reports.

The attack took place in the street as McField was returning home after dropping off his young son at school, Honduran outlet HCH reported.

The killing sparked widespread concern after Honduras President Nasry Asfura later confirmed that McField was a protected witness in the case of Angie Peña, a Honduran university student who disappeared on January 1, 2022, while riding a jet ski on an island.

Authorities suspect Peña was trafficked to a criminal network for sexual exploitation. Her jet ski, life jacket and other belongings were found days later on a cay in Belize.

Four men — three Americans and one Honduran — have been charged in connection with the case and remain in pretrial detention as proceedings continue.

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At the start of the judicial process in 2024, authorities said they had evidence indicating that Harold Green allegedly sold Peña to William James Murdock for money. Prosecutors said the case included phone records, videos, photographs and witness testimony.

Search operations have been carried out since then in an effort to locate Peña, but she has not been found. Authorities have said they continue to hope that she is alive.

The three U.S. defendants live in Honduras and have tourism-related investments in Roatán.

McField’s killing raises new questions about the safety of witnesses involved in the high-profile case and comes as authorities continue investigating Peña’s disappearance.

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Central America

Guatemala Declares Highest Alert in Areas Affected by Fuego Volcano Eruption

Guatemalan authorities declared a red alert, the highest level of danger, on Tuesday in areas affected by the eruption of the Fuego Volcano, located about 35 kilometers from the country’s capital.

The most active volcano in Central America entered an eruptive phase on Monday morning, and its activity intensified overnight with lava emissions and large columns of gas and ash.

No fatalities have been reported, but the volcanic activity forced the evacuation of around 500 people as a precautionary measure.

The National Coordination for Disaster Reduction (Conred) declared a state of emergency in the departments of Sacatepéquez, Chimaltenango and Escuintla, the agency announced through its official X account.

The affected regions are home to approximately 1.6 million people. However, ashfall has so far impacted only about five municipalities.

Despite the increase in the alert level, authorities reopened a road leading to the city of Antigua, the country’s main tourist destination, after evaluating safety conditions in the area.

The Fuego Volcano is one of Guatemala’s most active geological formations and has a history of frequent eruptions, requiring continuous monitoring by national emergency agencies.

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Central America

U.S. Defense Secretary to Close Multinational Military Exercises in Panama to Protect Canal

U.S. Secretary of Defense Pete Hegseth will travel to Panama next week to close multinational military exercises involving more than 20 countries aimed at strengthening security measures for the Panama Canal against potential threats, a Panamanian government official announced Monday.

This will mark Hegseth’s second visit to Panama. The U.S. defense chief is expected to arrive on August 13 for the closing ceremony of the military drills, which began this week and have been conducted in the Central American country for more than two decades to support the protection of the interoceanic waterway, according to Panama’s Security Minister Frank Ábrego.

The exercises include participation from the United States, Argentina, Brazil, Chile, Colombia, Mexico, the Netherlands, Peru and the United Kingdom, among other nations.

“The canal is a strategic infrastructure that connects markets and supports global supply chains. Its security and uninterrupted operation are of fundamental importance for Panama, the United States and the international community,” said U.S. Ambassador to Panama Kevin Marino Cabrera.

The drills include maritime training operations, exercises in jungle areas surrounding the canal, as well as virtual simulations focused on cybersecurity and strategic planning.

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The Panama Canal, one of the world’s most important trade routes, handles approximately 5% of global maritime commerce, making its security a priority for international trade and logistics networks.

Ábrego emphasized that preparedness and international coordination are essential to maintaining stability.

“The best way to preserve peace and guarantee the continuity of global trade is to be prepared to respond in a coordinated and effective manner to any threat,” the Panamanian official said.

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