Central America

Himself accused, Costa Rica’s president vows to tackle sex harassment

AFP

Costa Rica’s new president Rodrigo Chaves, elected despite a cloud of sexual harassment allegations, took the oath of office Sunday with promises to revive the economy and end the abuse of women in his country.

As feminist organizations protested nearby, the right-wing economist said the “first political commitment” of his four-year term would be to stamp out gender discrimination and harassment.

“We will not tolerate the harassment they (women) suffer every day and in all areas of society,” he told congress after being sworn in to lead one of Latin America’s most stable democracies.

“It cannot be that our women are afraid to walk alone on the street, feel afraid in their own home, at work, in a park, at a concert.”

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Chaves, 60, was investigated over sexual harassment complaints brought by women while he was a senior official at the World Bank, where he worked for 30 years.

He was demoted over the claims, and later resigned.

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.”

– ‘We will be vigilant’ –

Dozens of women protested Sunday near the seat of congress against gender violence and unequal pay in a country where abortion is allowed only if the woman’s life is in danger.

“We are telling the country and the president-elect that we are here. That we will be vigilant,” Sharo Rosales of the Women in Action movement told local media.

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Chaves takes over an economy in decline, with rising foreign debt — about 70 percent of GDP — a poverty rate of 23 percent, unemployment of nearly 14 percent, and public sector corruption.

Vowing to “repair the country,” he said: “We will not just clean house. We will rebuild it!”

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.

“If the political class fails once more, our country could fall apart,” Chaves said.

He has previously vowed to improve the terms of an agreement Costa Rica’s reached with the IMF for a loan of more than $1.7 billion.

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The economist, 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.

Chaves had been a surprise qualifier for the April 3 final race, having polled fourth ahead of February’s first round.

This week, Chaves said his government would not ratify the so-called 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.

Chaves did not address environmental issues in his first public speech.

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Shortly after his inaugural address, Chaves signed his first decrees, including scrapping obligatory mask-wearing for people other than front-line health workers, and compulsory coronavirus vaccination for the public sector.

Spanish King Felipe VI attended the ceremony at Congress in San Jose, along with other heads of state or government and delegations from nearly 100 countries.

Central America

U.S. and Guatemala Sign Trade Deal Granting Zero Tariffs to Most Exports

The United States signed a reciprocal trade agreement with Guatemala on Friday, under which 70.4% of Guatemalan exports will enter the U.S. market tariff-free.

Guatemalan President Bernardo Arévalo highlighted the importance of the agreement, stating that it creates a framework of cooperation, certainty, and new opportunities for producers, workers, and entrepreneurs in the country. His remarks were shared in a video published on his official social media channels.

In 2025, 30.3% of Guatemala’s total exports were destined for the United States, amounting to approximately $4.3 billion. As a result, the agreement is expected to directly benefit key sectors of the Guatemalan economy, including agribusiness, manufacturing, and the textile industry.

“Today we have taken another step toward consolidating a country that, when it moves forward united, generates confidence, attracts investment, and creates real development opportunities for all its people,” Arévalo added.

The agreement with Guatemala follows a similar trade deal signed by the United States with El Salvador on Thursday, which includes the elimination of a 10% tariff on Salvadoran imports.

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Central America

Panama Supreme Court Strikes Down Panama Ports Concession as Unconstitutional

Panama’s Supreme Court of Justice has ruled unconstitutional the concession contract granted in 1997 to Panama Ports Company (PPC), a subsidiary of the Chinese conglomerate CK Hutchison, which operates two strategic ports along the interoceanic canal. The decision was announced on Thursday, January 29, 2026, following two lawsuits filed by the Comptroller General’s Office.

The ruling directly affects the management of the ports of Balboa, on the Pacific coast, and Cristóbal, on the Atlantic side, both of which have been operated by the company for nearly three decades. According to Panama’s Comptroller General, Anel Flores, an audit uncovered irregularities in the contract that resulted in more than $1.3 billion failing to enter state coffers.

“It is a predatory contract, abusive to the interests of the country,” Flores stated.

The Supreme Court determined that Law 5 of 1997, its subsequent amendments, and the automatic extension granted in 2021 are unconstitutional. The ruling noted that the contract renewal took place without adequate oversight and amid allegations of corruption, despite the Panamanian state holding only a 10% stake in the company.

Central America

Guatemala President Says Starlink Terminal Found Inside Prison

Guatemalan President Bernardo Arévalo revealed on Tuesday that a Starlink terminal was discovered inside a prison in the country, highlighting corruption and the illegal introduction of advanced communication technology into the penitentiary system.

Arévalo did not specify which prison the device was found in but stressed that Starlink’s ability to connect directly to low-orbit satellites makes it particularly difficult to disrupt, posing a serious security risk.

The disclosure was made during a press conference attended by Interior Minister Marco Antonio Villeda and Defense Minister Henry Sáenz.

On January 6, specialized units of Guatemala’s National Civil Police (PNC), members of the Army and prison security personnel carried out Operation Sentinel at the Renovación 1 Maximum Security Prison for Men, located in Escuintla. According to the Interior Ministry, the operation aimed to reduce criminal activity, prevent illicit acts and stop the trafficking of prohibited items inside the prison.

During the operation, authorities also dismantled businesses operating near several prisons after detecting routers that were allegedly used to redirect internet signals into penitentiary facilities, according to local outlet Emisoras Unidas.

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Tensions escalated further over the weekend of January 17 and 18, when inmates affiliated with gangs staged riots in three prisons. During the unrest, they took prison guards and a psychologist hostage, demanding extra-large beds, air conditioning, transfers to other facilities and access to the internet.