YANKEE GONE HOME, PANAMA & THE US LEGACY
Jun 20 '02 (Updated May 09 '05)
The Bottom Line So much more than a big ditch between two oceans.
The United States were involved in Panama for a long time. There have been Yankees there from the very beginning of that small Latin American country. In fact it was US interference or intervention in the area that resulted in the independence of Panama in the first place.
In 1903 various US business and Government interests wanted very much to carry on where the French had so recently failed, and complete a canal across Central America linking the Caribbean Sea and the Pacific Ocean. However the Government of Colombia of which Panama was at the time a part of denied them the concession rights awarded to and abandoned by the French.
Enter then US President Teddy Roosevelt and his take on foreign affairs in the region. There were elements within Panama who wished to obtain independence from Colombia. These elements soon found they had a powerful backer in the United States who of course was interested solely in seeing a people achieve their destiny. Oh yeah that and the matter of the canal of course.
In 1903 Panama declared its independence from Colombia. By sheer coincidence a large force of US Navy warships found itself on a goodwill cruise in the waters of the southern Caribbean at the time. A convoy of warships and troop transports despatched from Colombia's Caribbean ports to show the Panamanian's the error of their ways found their passage blocked and returned to port. Shortly after that a treaty regarding the construction and operation of the canal was signed by both nations.
The cost of that "independence" was high and many Panamanians would argue they merely exchanged one colonial master for another. For almost 100 years from 1903-1999 the United States would play a dominant factor in almost all aspects of the country.
First and foremost was the canal zone, an area immediately either side of the canal of stretching from one coast to another. In here were the installations to operate and maintain the canal. These include military bases and even whole towns.
This swatch of land that literally cut the nation in two was defacto US territory. Panamanians who lived and worked in the zone were subject to US law there. In fact they were considered "foreigners" and at times even second class citizens.
Aside from the military bases in the canal zone proper there were other US installations scattered about the country. These were there as part of the US commitment to defend the canal as required by treaty. The bases were expanded as perceived threats increased during the Second World War and later the cold War.
Sure the bases were a good source of local income and employment, but there were also problems. An influx of American military personnel into a region, mainly young, male and with much more disposable income than the locals, while you get the idea.
Like many smaller countries Panama was to an extent dominated by the almighty US Dollar. Panama never even developed or produced their own distinctive currency. Instead they adopted the US Dollar as their official currency. Sure they call it the Balboa, but they're still good old US Greenbacks printed in the US.
They do mint their own coins' mind, counterparts to the nickel, dime and quarter etc. Panamanians will point out though that the coins are of the same weight and metal content as their US counterparts. I guess this is useful information for visiting Americans who can use any they find after their trip in vending machines back home.
Then of course there was the 1989-90 Invasion, Operation Just Cause. Sure it was "needed" to overthrow the dictator Manuel Noriega. Mind the fact that the US was responsible for putting Noriega in power in the first place may have caused some resentment. One Panamanian likened it to successful cancer surgery on a patient by the same doctor who'd been pushing cigarettes on him all his life.
The amount of firepower needed to dispose of him was a bit of an issue too. Burning a quarter of Panama City to the ground is bad enough. It's worse when the neighbourhood you torch is where most of the people opposed to Noriega, you know the one's who you've come to rescue, live. Probably simpler just to have him taken out quietly, or better yet not put in power in the first place.
Panamanians though are on a whole a tolerant bunch. They surprisingly don't resent the US much for this or for the ninety-six years of Yankee domination. Well not too much anyway. they admit it's been a love hate relationship and still is.
On December 31, 1999 the US formally handed over control of the canal and withdrew from Panama. They also withdrew from their various military bases both in the canal zone and elsewhere, although most of those had been phased out prior. The turning over of the canal was the final act in the treaty signed in 1977 between the two countries over the future of the canal. There are of course security clauses which would allow the US military to come back and defend the vital waterway if needed.
The reason for withdrawal from all the military bases though is a little more vague. According to the Panamanians the US was more than welcome to retain and maintain the bases. However Panama wanted rent for them, just as the US pays other nations, Spain, Italy, Germany et all, where they also maintain bases. Up until now this was not the case.
The US position was that they should not have to pay anything, as the bases were good for the local economy. Not only did soldiers sailors, airmen and their dependants spend money, but the bases provided many jobs for locals. All well and fine the Panamanian Government responded but that's also the situation in those other countries too, and you still pay rent there. Soon after the US packed up and went home.
That did cause a hit to the local economy. There was a loss of quite a few service industry jobs and the money they pumped into the economy. Also the loss of any money spent by US service personnel and their families in the country.
There was no loss of income with the canal workers though. They just have a new paymaster. In fact employment would have gone up as locals took over some jobs held by Americans. Besides the tolls from the canal which are substantial now flow into the Panamanian Government's coffers. That's a lot more than a janitor at Howard Air Force Base makes in a year, or for that matter what A Marine will spend on a Saturday night in downtown Panama City.
All in all the US departure is good for Panama in the long run. Sure there is that small initial loss in some jobs and income but there is the legacy that was left and what it can mean in the long term.
The US left major military installations around the country and they left them intact and in many cases with a lot of their rolling stock and other equipment. Most of the stuff was written off and abandoned when the troops pulled out. It was easier than shipping it home.
Overnight the Panamanians found themselves with several fully functioning military bases and literally hundreds of vehicles, cars, vans and trucks. Considering they had disbanded their own Armed Forces after Noriega there remained the question of what to do with it all. Various Government agencies and the ACP, the agency that runs the canal, soon found themselves with enough rolling stock to meet their immediate and future needs for the foreseeable future.
Even the bases themselves could be put to good use. Albrook Air Base was converted into a new domestic airport for Panama City. This meant that the old airport at Punta Paitilla could be demolished and the valuable land used for development.
The old World War Two era base at Rio Hacho was torn down and a 600-room beach resort built in its place. Fort Amador near the Pacific entrance to the canal on the outskirts of Panama City would also make an excellent resort. The barracks could easily be converted into hotel rooms and the various messes and clubs could become the resort's dining rooms, bars and discos.
Jutting into the Pacific ocean near the canal entrance are a group of small islands connected by the Amador Causeway. The hills on them are hollow. Munitions storage depots and a hospital once existed here. Now some of the former military facilities have been turned over to the Smithsonian Institute for research. Isla Flamenco the furthest island out now boasts a restaurant complex, and a new marina complete with a small a duty shopping centre.
Even the canal has become a tourist attraction. Tours are available including full and partial transits on specially built ferries. The Miguel Flores Locks now boast a massive tourist viewing area mere minutes form the hotels of Panama City.
Another tour company has taken the eco tourism route and offers trips on Gatun Lake to observe the canal's eco system up close. One of the highlights is a visit to an abandoned US Military base that is slowly but steadily being reclaimed by the jungle.
The most ambitious use of the former bases though is reserved for one of the larger ex military base complexes located just outside of Panama City. Here plans are underway to convert the entire place into an institute of higher education, a "City of Learning." Seven Canadian and US Universities are partners in this project and will open colleges here.
The infrastructure is already in place. Classroom space exists and other buildings can easily be converted to their new role. Barracks will become dormitories and mess hall's student and faculty cafeterias. At present there are three universities in the country. When finished this project will dramatically increase the numbers of future generations of Panamanians who will be able to receive a quality post secondary education.
One thing that most likely will be taught here is tourism. As noted a lot of the old military infrastructure has been converted to this area. More can easily be as well. Panama is perfectly suited for a tourist boom. Many of the attractions of nearby Belize and Costa Rica, eco tourism, beaches, jungles, wildlife, are also evident here.
The country as a whole is perfect for this type of development. The location makes it easy to reach from both North and South America. In addition to the bases there are other facilities, including several more airfields which can be converted to tourist airports. A fairly good road network will make moving around the country relatively easy.
The most important asset though is the people. Another legacy of the long US involvement here is that, as noted, many worked on the bases or in other capacities. This has produced a stable literate work force which can act as a base on which both a tourist industry can be built on
Future generations of graduates from the "City of Learning" can be added to this force. Panama at present has the highest standard average per capita income of the Central American countries. This can only improve.
Most importantly a large majority of these people, as do many Panamanians, have a fair to excellent command of English, the accepted lingua franca of tourism. Incidentally many of these older workers are eligible for and receive US Government pensions. This again brings more hard currency into the country.
Overall the future for Panama looks good. They have a stable Government at last. There is economic growth, and although wealth redistribution remains a problem it is no more than elsewhere in the region. The canal provides a steady solid source of revenue. This can be reinvested in new ventures such as international banking and as noted tourism. It took a long time and the road was hard but Panama has finally become more than a transit point between two oceans
More Articles on Panama
The Panama Canal
http://www.epinions.com/content_61126446724
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http://www.epinions.com/content_2661195908
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http://www.epinions.com/content_2725224580
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Noriega’s Beach House Rio Hacho
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Banana Beach Bar Rio Hacho
http://www.epinions.com/content_2622857348
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