Central America
Economist to be sworn in as Costa Rica president
AFP
Economist and former finance minister Rodrigo Chaves is to be sworn in Sunday as Costa Rica’s president for a four-year mandate focused on reinvigorating one of Latin America’s most stable economies.
The former World Bank executive, who resigned from the global lender amid a sexual harassment scandal, has vowed to tackle Costa Rica’s severe economic problems: rising foreign debt — about 70 percent of GDP — a poverty rate of 23 percent, unemployment of 14 percent and public sector corruption.
Tourism, one of the country’s main economic drivers, was hard hit by the coronavirus pandemic, and the country of 5.2 million people experienced an increase in unemployment equaled in the region only by Peru.
“It is fundamental for the country that Chaves improves the economy,” Adrian Aguiluz, a 35-year-old resident of the capital, said ahead of the inauguration.
“This new government has an opportunity to do something different.”
Chaves, who served six months as finance minister in the outgoing government, won a runoff election over former president Jose Maria Figueres — himself tainted by a corruption scandal.
The 60-year-old Chaves had been a surprise qualifier for the April 3 runoff, having polled fourth ahead of February’s first round.
While he was a senior official at the World Bank, where he worked for 30 years, he was investigated over sexual harassment complaints brought by multiple women.
He was demoted, and later resigned to take on the role of finance minister in President Carlos Alvarado’s government.
Last month, Chaves offered “sincere apologies” to two accusers, young subordinates, having previously said the alleged harassment amounted to mere “jokes” that were “misinterpreted due to cultural differences.”
This week, Chaves said his government would not ratify the Escazu Agreement that establishes protection for environmentalists, arguing it was unnecessary and would harm the economy. Costa Rica, a regional leader in environmental protection,had hosted the signing of the agreement in 2018.
The new president has also vowed to improve Costa Rica’s deal with the IMF for a loan of more than $1.7 billion.
Spanish King Felipe VI is set to attend the ceremony in San Jose, along with delegations from nearly 100 countries.
Central America
Mulino warns Trump: Darién is U.S.’s ‘other border’ in call for bilateral solutions to migration
Panamanian President José Raúl Mulino reiterated on Thursday that the Darién region is “the other border” of the United States and that President-elect Donald Trump must understand this, given his announcement to toughen U.S. immigration policy.
“And I repeat what I have said: he (Trump) must know that his other border, the U.S. border, is in Darién, and we need to begin solving this issue bilaterally or together with a group of countries that contribute people to the migratory flow,” Mulino stated during his weekly press conference.
The Panamanian leader added that the United States “needs to be more aware that this (the flow of irregular migrants through Darién) is their problem. These people are not coming to stay in Panama… they want to go to the United States for whatever reasons they may have.”
In 2023, more than 520,000 irregular migrants crossed the Darién jungle into Panama, a historic figure. This year, the flow has decreased, with more than 281,000 travelers making the journey by October 31, mostly Venezuelans (over 196,000), according to Panama’s National Migration Service.
“Panama is doing what it can,” Mulino said, emphasizing the country’s significant financial investment in security, medical care, and food for migrants. However, he noted, “As long as the crisis in Venezuela persists, all signs point to this continuing, with the human drama that it involves.”
He emphasized that Venezuelans make up the majority of those crossing the jungle, with 69% according to Panamanian statistics, followed by Colombians (6%), Ecuadorians (5%), Chinese (4%), and Haitians (4%). The rest come from over fifty countries worldwide.
On July 1, when Mulino began his five-year term, Panama and the United States signed an agreement under which the U.S. government covers the costs of repatriating migrants who entered through Darién. Under this program, which is funded with $6 million, more than 1,000 people have already been deported, mostly Colombians.
Central America
Ten dead in Panama due to storms causing over $100 million in damages
Ten people have died in Panama due to storms that have caused over $100 million in damages from flooding and infrastructure collapse in the last ten days, President José Raúl Mulino reported on Thursday.
The most affected areas are the western provinces of Chiriquí, which borders Costa Rica, Veraguas, and the indigenous Ngäbe Buglé comarca, due to heavy rains that have been falling for more than ten days.
During his weekly press conference, Mulino initially stated that the storm had caused five deaths, but this was immediately corrected by the director of the National Civil Protection Service (Sinaproc), Omar Smith, who confirmed that the number of deaths had risen to ten.
“What worries me are the human lives, I think we had five (deaths), how many? Ten already? Imagine that,” Mulino said.
Last year, Panama experienced a drought that led to reduced traffic through the interoceanic canal, which operates on fresh water, but the situation began to normalize this year with the onset of the rainy season, which has been abundant since May.
The president announced that the government will declare a state of emergency for the affected areas, where rivers have overflowed, homes have been damaged, landslides have occurred, roads have collapsed, and crops have been lost.
“Based on the reports I’ve received, the damage is significant,” Mulino noted.
Central America
Bukele urges Costa Rica to reform prison system amid rising crime rates
El Salvador’s President, Nayib Bukele, recommended that Costa Rica toughen its prison system, describing it as too “permissive” after visiting a Costa Rican prison with his counterpart, Rodrigo Chaves, on Tuesday at the end of an official visit.
“We believe the prison system should be less permissive, focusing more on the rights of those outside and a country’s right to security,” Bukele said after touring the La Reforma prison, located 23 km east of San José.
During Bukele’s visit to Costa Rica, the two presidents discussed different security approaches and strategies to combat organized crime. They also signed memorandums of understanding on tourism, trade, and bilateral relations.
Bukele noted the contrasts between Costa Rica’s prison system and that of El Salvador, which he reformed as part of his “war” against gangs launched in March 2022 under a state of emergency allowing arrests without warrants.
The Salvadoran president pointed out Costa Rica’s high cost per inmate, which he estimated at around $1,200 per month.
“They are spending nearly two minimum wages per inmate. It’s an injustice,” Bukele stated, adding that Costa Rica’s penal system “needs reform.”
Regarding inmate rights, Bukele suggested limiting intimate visits and TV access to prevent prisons from becoming “headquarters for crime.”
“We hope you take the necessary measures,” Bukele said about the increase in crime in Costa Rica, which has seen 757 homicides in 2024, mostly related to drug trafficking.
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