I always enjoy my Panama travels, and the few days I spent there last week was no different. It's always good to see old friends and make new ones, and to gage the progress and growth this leading tax haven is making.
It is also good to know that the government of Panama is now under control of a new president, Ricardo Martinelli, (left) and his conservative Alliance Party in the National Assembly.
One change since may last visit in October 2008 is the massive redevelopment of the Panama City waterfront along Avenida Balboa, the major thoroughfare that crosses Panama City from its busy city center to the Casco Viejo, the oldest quarter that dates back to 1519.
On the Waterfront
In a period of less than a year the entire waterfront, formerly home to the worst traffic jams in the city, has been widened and improved with parks, recreation areas and parking, as well as 12 lanes of traffic where once there were only four. This massive project is called the Cinta Costera (coastal beltway) and stretches for about an impressive mile and a half.
This project literally gives Panama City's impressive skyline, dotted with scores of high rises, a highly complimentary Pacific Ocean front parkland and promenade that frames the down town in a dramatic way.
Highway, Canal Expansion
Equally impressive is the completion of the new multi-lane transcontinental highway linking Panama City on the Pacific with Colon on the Atlantic. This modern highway, built in parts over the last several years, replaces the old, narrow, winding two-lane road that was marked by treacherous curves and many accidents.
Along with the Panama Railway, travel from sea to sea can now be accomplished in about an hour, depending on traffic and the weather. (Panama's tropical rain storms can be fierce).
The other major project underway is the modernization of the Panama Canal, the first major overhaul and expansion since the U.S. built waterway opened in 1912. This $5.25 billion project, scheduled to open in 2014, will add a wider third lane to the ocean-linking waterway, doubling its vessel capacity and allowing for the first time transits by the world's largest cargo-carrying vessels.
A Gash in the Earth
"Under leaden skies, mammoth yellow vehicles prowl an enormous gash in the earth. Excavators, bulldozers and loaders relentlessly carve the rippled black and brown ground, reshaping nature's handiwork." That’s how an excellent and informative article in USA Today began last week, describing the Canal project.
When it opened in 1914, the canal revolutionized sea transport. For ships steaming between California and the East Coast of the U.S.A., the canal, linking the Caribbean Sea to the north with the Pacific Ocean to the south, turned a 15,000-mile journey around the tip southern tip of South America at Cape Horn into a relatively swift, 6,000-mile transcontinental jaunt.
Well before that, during the California Gold Rush of 1849, thousands of Americans trekked across Panama 's jungles on their way to the hunt for gold.
American Built
"The creation of the Panama Canal was far more than a vast, unprecedented feat of engineering...Apart from wars, it represented the largest, most costly single effort ever before mounted anywhere on earth," historian David McCullough wrote in his magisterial account of the canal, The Path Between the Seas.
The U.S. exclusively operated the canal and the surrounding Canal Zone as its own colonial fiefdom until 1977, when it agreed to return the area to Panamanian sovereignty. On New Year's Day 2000, Panama finally assumed full responsibility for canal operations, amid widespread American doubts about the abilities of local officials.
Another Panama Boon?
A recent Business Week headline reads: "Retirement: Why Panama is the new Florida" and continues, "Panama's quality health care, low costs, and proximity to the states are attracting American professionals as a retirement haven."
According to a report by the Migration Policy Institute, the number of Panama visas issued to U.S. citizens began to rise dramatically after 2003, and an estimated 25,000 U.S. expatriates live here today.
See Panama for Yourself
During my visit to Panama I witnessed a new wave of immigrants arriving in Panama -- exiles from Hugo Chavez' socialized Venezuelan police state, and North Americans seeking an escape from the recession. Panama City's condo and apartment supply is in major surplus and real bargains are available.
If you are interested in living or investing in Panama our associate, Opportunity Travel, will conduct a "Panama Profit Expedition," November 28-December 5, 2009. More information on this extensive tour of Panama is available here.
** To learn about the many offshore opportunities offered by the Republic of Panama, my book, Panama Money Secrets, is a helpful guide.
** The Sovereign Society is a recognized voice in the complex offshore world. Join the Sovereign Society and keep informed.
Comments