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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

Trump Pardons Former Honduran President Hernández and Warns of Aid Cuts Ahead of Election

On Friday, President Donald Trump granted a pardon to former Honduran President Juan Orlando Hernández — who was convicted on drug trafficking charges — and threatened to cut U.S. aid to the Central American nation if his preferred candidate loses Sunday’s presidential election.

Trump announced the pardon for Hernández, who is currently serving a 45-year prison sentence in the United States, through a post on social media.

In the same message, the former U.S. president voiced his support for Nasry Asfura, the candidate representing Hernández’s right-wing party in the Honduran elections.

“If he doesn’t win, the United States will not waste any more money, because the wrong leader can only bring catastrophic results to a country, no matter which one it is,” Trump wrote on his platform Truth Social.

Asfura, a 67-year-old construction magnate and former mayor of Honduras’s capital, is competing in a tight race against attorney Rixi Moncada of the ruling leftist Libre party and television host Salvador Nasralla of the right-leaning Liberal Party.

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Central America

Washington calls for oversight as Honduras faces allegations of electoral interference

The United States government urged members of the Organization of American States (OAS) on Tuesday to support a transparent electoral process in Honduras, free from intimidation, interference, or fraud, just days before the general elections scheduled for this Sunday.

The call was made by U.S. Deputy Secretary of State Christopher Landau during an extraordinary session of the OAS Permanent Council. The meeting was convened at the request of the United States in response to reports of irregularities marking the final stretch of Honduras’ electoral process. Landau expressed concern over the situation in the country, warning that Honduras is facing an institutional crisis. “I fear that Honduras faces an uncertain future. Therefore, I urge you to use your collective voice to warn Honduran officials about the consequences of interfering in the electoral process,” he stated.

The administration of U.S. President Donald Trump reaffirmed its support for electoral integrity and called on Hondurans to exercise their right to vote. “We hear you and we stand with you. Go out and vote on November 30 to be part of the democratic future of this country,” Landau said in Spanish during his remarks.

In response, Honduras’ ambassador to the OAS, Roberto Quesada, rejected the allegations and said there is no evidence of election-related crimes. “We are surprised that a Permanent Council meeting was called when no crime has been committed,” the diplomat said, dismissing reports of repression against journalists. “These narratives are invented because, as we know, fake news runs wild on the internet,” he added.

The session was also requested by Argentina, Ecuador, and Paraguay, whose governments expressed concern over the direction of the Honduran elections.

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The process has been questioned due to the actions of the Public Ministry and the Armed Forces, both accused of interfering in matters under the exclusive authority of the National Electoral Council (CNE). The Attorney General’s Office has opened investigations into senior electoral officials, while the military has been accused of improperly intervening in civilian affairs.

Marlon Ochoa, a CNE councilor, maintained that despite the pressure, “general elections will be held despite the conspiracy that has been attempted against the electoral process,” and confirmed that all logistical materials are ready.

Colombia’s ambassador, Luis Vargas, announced that his country will provide “accompaniment” during the election, while Argentina’s representative, Carlos Bernardo, stressed that “there is no room for rigged electoral processes” in the region.

The main presidential contenders are Rixi Moncada of the Libre party, Salvador Nasralla of the Liberal Party, and Nasry Asfura of the National Party.

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Central America

Panama reinforces security with new helicopters and Super Tucano Aircraft purchases

The government of Panama confirmed on Wednesday the purchase of two Bell 407 GXi helicopters for $10.49 million, aimed at strengthening the patrol and surveillance operations of the National Aeronaval Service (Senan), according to an official statement from the Presidency.

The funds used for the acquisition come from an insurance payout related to the crash of the AN-141 helicopter on September 10, 2023, an accident in which three Senan officers died. Panama received $13.4 million from the insurance claim, and the remaining balance will be allocated to three additional operational projects that have not yet been disclosed. “These two new aircraft are essential for Senan, as they will enable the protection of the country’s airspace, maritime domain, continental platform, as well as river and lake areas,” the statement emphasized. The government justified the purchase as necessary due to the deterioration of current aircraft and the reduced operational capacity of the security force.

In addition to the helicopters, President José Raúl Mulino’s administration announced the purchase of four A-29 Super Tucano aircraft from Brazilian manufacturer Embraer, valued at $76.3 million. These military-grade planes will bolster aerial and maritime surveillance and are intended to support operations against drug trafficking and organized crime.

According to Panamanian authorities, nearly 70% of homicides recorded in the country are linked to organized crime, especially gangs involved in drug trafficking. As Panama serves as a key transit point for narcotics moving from South America to the United States and Europe, strengthening its aerial capabilities forms part of its broader national security strategy.

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