AGP Executive Report

Vamos Coalition Turns Into a Party: Panama’s Vamos coalition approved steps to register with the Electoral Tribunal, moving from independent movement toward formal party status as it weighs how to survive political pressure and amid debate over proposed Electoral Code changes that could tighten rules for independents. ANTAI Closes Conflict-of-Interest Case: Panama’s transparency watchdog ANTAI shut down its investigation into Sherina Latorraca after she resigned from a legal advisory role at the DGCP, with ANTAI saying the case became moot and noting earlier claims about whether she consulted before her daughter’s appointment. El Niño Fallout for Farmers: Producers across Panama are discussing how to blunt El Niño impacts on crops and livestock after the government’s emergency declaration, pushing for mitigation, faster support, and planning for dry months ahead. Colon Development Plan Still Stalled: Local groups in Colón say they’re still waiting for Law 404’s Integral Development Plan to be implemented and funded, urging the province’s resources to move from paper into projects. Migration Through the Darién Gap: Preliminary National Migration Service data says 320 migrants crossed irregularly from Colombia into Panama between January and July, including 49 minors, with Venezuelans leading the registrations.

Panama Security & Justice: Panama brought home 17 citizens tied to the Russia-Ukraine war after prosecutors investigated an alleged recruitment network using false job offers, with Foreign Ministry and embassy talks helping return 11 from Russia and 6 from Ukraine. Anti-Corruption/Institutions: Panama’s ANTAI probe continues after Sherina Latorraca resigned, while separate reporting flags dismissals recommended at the University of Chiriquí. Retiree Policy: A Panama bill approved in third debate would fine companies up to B/.10,000 for failing to honor legally required retiree and pensioner discounts. Energy Transition: IRENA is inviting renewable project proposals across Central America and the Caribbean, including Panama, for potential financing and de-risking support. Maritime Climate Talks: Panama-linked shipping interests are watching IMO Net-Zero negotiations in London as governments debate how to price emissions and tighten rules. Public Safety: A 29-year-old woman was detained after an 83-year-old American man was stabbed to death in Punta Pacífica, with homicide and robbery charges pending.

Panama Security & Justice: Panama brought home 17 citizens tied to the Russia-Ukraine war after prosecutors investigated an alleged recruitment network using false job offers, with Foreign Ministry coordination involving Russian and Ukrainian missions. Public Integrity Watch: ANTAI’s probe continues after Sherina Latorraca resigned as director of Legal Advice for Public Procurement, following concerns tied to the appointment of a daughter of a procurement magistrate. Crime in Panama City: A 29-year-old woman was detained after an American man was murdered in Punta Pacífica, with prosecutors moving toward formal charges. Legislation for Seniors: Bill 226 would expand retiree and pensioner discounts and set penalties up to $10,000 for businesses that don’t comply, with ACODECO oversight. Maritime & Climate Policy: IMO Net-Zero talks resume in London with carbon pricing and ship emissions rules still contested, while Panama-linked shipping stakeholders also pushed low-carbon marine fuel discussions. Regional Environment: Communities near Panama’s Cobre Panamá mine launched a river monitoring program to track water and biodiversity with local participation.

Transparency & Ethics in Panama: Sherina Latorraca resigned from her role tied to public procurement legal advice, but ANTAI says its conflict-of-interest investigation remains open, keeping pressure on Panama’s ethics enforcement. Security & Border Control: President José Raúl Mulino delivered $785,656.89 in equipment to Senafront and ordered tougher patrols along the Panama–Colombia border to block armed groups. Prison Policy & Drug Links: Mulino said prisoners transferred to Coiba were sent due to “direct ties” to drug trafficking, including two PRD figures transferred after the president’s remarks. Banking Sector Move: Banistmo and Banco La Hipotecaria agreed to a merger by absorption, pending Superintendency of Banks approval, aiming to strengthen mortgage and housing lending. Water Monitoring Near Mining: Communities near the Cobre Panamá area launched “Guardians of Water and Biodiversity” to help residents monitor the Petaquilla, Botija and Caimito rivers with training and lab analysis. El Niño Emergency: Panama declared a national state of emergency over El Niño impacts, citing risks to drought, floods, and Panama Canal shipping.

Border Security Upgrade: President José Raúl Mulino delivered $785,656.89 in equipment to Senafront and ordered tougher surveillance and patrols along the Panama–Colombia border, including in the Darién, to block armed groups and criminal networks. Banking Sector Move: Banistmo and Banco La Hipotecaria agreed to start a merger by absorption, with Banistmo as the surviving entity; the deal now needs Superintendency of Banks approval and could take about six months to complete. Political Shake-Up: Deputy Paulette Thomas resigned from the Vamos coalition, citing the coalition’s ethics process and alleging she was not properly contacted or summoned before her suspension. Regional Sports Spotlight: Panama’s presence in international fixtures continues to ripple outward, with Canada set to play Panama in FIBA World Cup qualifying and Panama also scheduled to face India in a men’s friendly in Bengaluru on Sept. 26. Maritime Incident Watch: Two crew members rescued from the MV Ocean Winner sinking off India could not explain what happened to the 22 missing; investigators are weighing cargo shift and moisture-related causes. Legal/Policy Crosscurrents: A U.S. court ruling says forum non conveniens can’t be used to block cases confirming foreign arbitral awards under the New York Convention, a reminder of how international disputes can land in U.S. courts.

Sports Diplomacy: Canada kicks off FIBA World Cup 2027 Americas Qualifiers Round 2 on the road against Panama, with Canada entering Window 4 at 6-0 while Panama sits at 2-4 and faces a must-win push. International Football: India’s AIFF confirmed Panama will visit Bengaluru’s Sree Kanteerava Stadium on Sept. 26, followed by Brazil in Kolkata on Oct. 3 and Uruguay on Oct. 6 at Vivekananda Yuba Bharati Krirangan/Salt Lake Stadium—an unusually packed FIFA window featuring multiple World Cup teams. Regional Security Politics: Costa Rica’s drug violence surge is fueling a widening political fight between President Laura Fernández and the judiciary, with street protests and budget cuts escalating tensions. Maritime/Trade Watch: Search and rescue continues for 22 missing crew after the Panama-flagged MV Ocean Winner sank off India’s Odisha coast; two Chinese sailors have been rescued and brought to Paradip. Panama Economy & Investment: Panama’s Qualified Investor Programme gained momentum, with MICI reporting higher certificates and investment from June 2025 to June 2026, driven largely by real estate.

Operation Credentials 1.0: Panama’s Attorney General says it dismantled a fake-diploma network accused of selling forged qualifications to land teaching posts, with raids across Bocas del Toro, Chiriquí, Coclé, Panamá Oeste, Panamá, Colón and Darién. El Niño Emergency: The government declared a national state of emergency as El Niño intensifies, citing flood impacts since January and warning drought and heat could last into May 2027, with knock-on effects for water and agriculture. Panama Canal Pressure: Canal slot competition is spiking—ACP says more ships are arriving without reservations, driving back-to-back record auction prices as water limits force tighter transit planning. Prison Transfers: Panama’s Penitentiary System moved former Colón mayor Alex Lee and community board officials Javier Lynch and Orlando Salazar to Coiba, citing security and prison remodeling needs. Tourism Branding: Promtur launched a $6.5 million, two-year “Panama, host of the world” brand push aimed at boosting visitors, investment and global events. Fisheries Transparency: Panama backed the Mombasa Declaration to improve fisheries data transparency, while watchdog groups say implementation must be verifiable.

Panama Canal & El Niño Response: Panama declared a nationwide state of emergency over El Niño-linked drought and flood risks, warning of pressure on water supplies, hydropower, agriculture, and reduced canal transits. Maritime Economy: SK Gas paid a record $5.3m for an expedited Panama Canal slot as drought restrictions and demand drive congestion, with the canal preparing to cut daily booking capacity from mid-September. Local Governance/Institutions: Panama’s transparency authority (Antai) recommended dismissals at the Autonomous University of Chiriquí (Unachi), escalating a disciplinary process involving senior staff and regional center leadership. U.S.-Led Security in the Region: The U.S. military carried out another Caribbean strike on a suspected drug-smuggling boat, killing four, as SOUTHCOM continues its “narco-terrorist” campaign. Diplomacy: Eleven new ambassadors and high commissioners presented credentials to Sri Lanka’s president, including Panama’s envoy. Sports with Panama Ties: India confirmed a Sept. 26 friendly vs Panama ahead of Brazil, while Ghana’s World Cup run included a match against Panama.

US-Caribbean Counter-Narcotics: The U.S. military says it struck a suspected drug-smuggling boat in the Caribbean, killing four, as part of a broader campaign in Latin America; Southern Command offered no proof the vessel was carrying drugs. University Governance: Panama’s Antai recommended dismissals tied to the Autonomous University of Chiriquí (Unachi), escalating disciplinary pressure on university leadership and staff. Maritime Safety & Panama-Flagged Shipping: Search-and-rescue intensified after the Panama-flagged MV Ocean Winner sank in the Bay of Bengal; two were rescued and 22 crew remain missing. Regional Security Deals: The U.S. and Jamaica signed a Status of Forces Agreement to deepen security cooperation, adding to the week’s focus on expanding U.S. operations in the region. Panama in International Sports: India confirmed it will host Panama in a Sept. 26 men’s friendly ahead of Brazil, with the venue still to be named. Environment & Rights of Nature: A “Declaration of the Rights of Nature” debate resurfaced alongside climate warnings tied to El Niño and drought risks across the Caribbean.

Maritime Security: The IMO says 68 incidents near the Strait of Hormuz over six months of Iran–US–Israel conflict left at least 20 dead, 35 wounded and one missing, with UKMTO labeling 47 as attacks; Panama-flagged ships are among the most affected. Panama Courts: A judge rejected Nadia del Río’s bid to lift asset freezes tied to a Comptroller forensic audit, keeping precautionary measures in place while the patrimonial case moves forward. Travel Advisory: The U.S. updated its Panama travel warning to Level 2, “Exercise Increased Caution,” reiterating that the Mosquito Gulf and parts of the Darién remain off-limits due to crime and limited emergency support. El Niño & Canal Impact: El Niño-linked drought is forcing Panama Canal reductions in daily transits and affecting shipping operations. Regional Security Deals: U.S. and Jamaica signed a status-of-forces agreement to deepen security cooperation, as Washington expands counter-narcotics pressure across the region. Shipping/Ports Watch: Greek shipowners backed a Panama–Liberia NZF proposal ahead of IMO talks, arguing for a practical, fuel-availability-linked decarbonization framework.

U.S.-Jamaica Security: The U.S. and Jamaica signed a Status of Forces Agreement to deepen military and security cooperation, including training and joint operations, with both sides saying it’s meant to hit trafficking networks. Panama Governance/Tax: Panama’s National Assembly debate over Bill 30-26 would extend the 7% ITBMS to purchases and services on platforms like Amazon, Temu, Netflix, Airbnb, and other cross-border e-commerce—aiming to raise over $100 million a year. Water Crisis in Azuero: IDAAN says Azuero could see drinking water restored before December, but more tests on the La Villa River are still pending, with El Niño worsening supply. Conservation in Darién: After nearly a decade, leatherback turtles returned to Panama’s Pacific coast; 178 eggs were moved to protect hatchlings at El Fondiaderito near Jaqué. Regional Security Training: Panama is among the countries participating in Fuerzas Comando 2026, a multinational special-operations competition and leadership seminar sponsored by U.S. Southern Command. Tech & Rights: The Authors Guild warned that unlicensed, unrestricted AI training using books could “destroy the ecosystem for books,” as treaty talks over plastic production also draw sharp U.S. resistance.

Maritime Safety & Trade: India’s Coast Guard and Navy are racing to find 22 missing crew after the Panama-flagged bulk carrier MV Ocean Winner sank off Odisha; two Chinese nationals were rescued and are receiving medical care, while officials say rough seas and deep waters are hampering the search. Local Governance & Accountability: Odisha’s ports minister says the iron ore shipment from Paradip Port was legal and that documents are in order, as opposition lawmakers push for an independent inquiry into the cargo and the sinking. U.S.-China Tech Tensions: U.S. diplomats in Latin America accused Chinese telecom and surveillance firms of spying risks, prompting a sharp rebuttal from China’s mission in Panama. Regional Security: A Brazilian analyst warns that expanded U.S. ground operations in Latin America—announced during a Panama visit—amount to an “escalation of imperialism,” raising sovereignty concerns. Economy & Food Prices: The U.S. partially reopens Mexican cattle imports tied to screwworm controls, but economists doubt it will meaningfully lower beef prices. Panama Canal Watch: El Niño-linked drought is forcing Panama to cut daily canal transits, adding pressure to global shipping and food logistics.

Maritime Safety: India’s Coast Guard and Navy are still searching the Bay of Bengal after the Panama-flagged bulk carrier MV Ocean Winner sank with 24 crew aboard; two Chinese sailors were rescued and are receiving medical care while 22 remain missing. Regional Security & Shipping: Iran’s Persian Gulf Strait Authority announced a new “Non-Compliant Vessels” list, warning ships could face fines, detention, seizure or confiscation—amid signs Iran’s control over the Strait of Hormuz is weakening as traffic jumps nearly 400% and more vessels route via a US-backed corridor. Canal & Climate Pressure: El Niño is strengthening and could peak in late 2026 to early 2027, with global agencies urging preparations for extreme weather—while Panama’s canal operations face reduced transits due to drought-linked water levels. Public Finance & Governance: Panama’s Presidency budget for 2027 is set at about $246.5 million, with major shares going to institutional protection and the executive directorate, plus $70 million earmarked for renovations, rail, and water. Local Security: Herrera and Los Santos report rising robberies, injuries, and domestic-violence cases, prompting a meeting with the security minister and local officials. Aviation Development: Panama is moving ahead with a 25% higher reference budget for Bocas del Toro’s airport expansion, including a new terminal, runway upgrades, and added land.

Maritime Safety: India’s Coast Guard and Navy are still searching the Bay of Bengal for 22 missing crew after the Panama-flagged MV Ocean Winner sank off Odisha; two Chinese sailors were rescued and are receiving medical care, with officials saying the ship listed and went down within about eight minutes. Canal Watch: Panama’s El Niño-linked drought is forcing the Panama Canal to cut daily transits, with the authority preparing to prioritize larger vessels as freshwater levels fall. Regional Security: The U.S. and Jamaica signed a Status of Forces Agreement to deepen defense cooperation, including training and joint operations, following talks held in Panama. Environment & Land Use: MiAMBIENTE launched a technical committee in Chiriquí to address long-running social and land-use issues in Paso Ancho inside Volcán Barú National Park, including housing, water, insecurity, and wastewater needs. Local Politics: A Panama Canal-related political dispute is still unfolding, with budget and administrative fights continuing as officials debate funding and oversight.

Maritime Safety: A Panama-flagged bulk carrier, MV Ocean-Winner, sank off India’s Odisha coast in the Bay of Bengal with 24 crew aboard; two were rescued and 22 remain missing as Indian Coast Guard and Navy search continues. Canal & Trade: Panama Canal Authority says El Niño-linked drought will cut daily transits, lowering available slots to 34 from Sept. 3 and 32 from Sept. 15, with further changes possible. Environment & Mining Oversight: MiAmbiente is inspecting the closed Cobre Panamá project, demanding correction of non-compliance tied to reforestation, ecological restoration, and environmental management obligations. Economy Watch: ECLAC projects Panama growth at 4.4% in 2026 and 4.6% in 2027, while warning the region still struggles with low productivity and climate vulnerability. Local Politics: Panama’s David communal board faces a leadership vacuum after its representative and substitute were arrested, leaving local services in limbo. Justice: Panama’s Operation Fusion sentencing handed down prison terms up to 18 years for drug and money-laundering convictions tied to Tocumen Airport.

Canal Water Cuts: Panama Canal Authority will reduce daily vessel transits from 36 to 34 starting Sept. 3, then down to 32 from Sept. 15, citing El Niño-linked drought and faster-than-expected watershed changes. National Assembly Budget Clash: Budget committee hearings opened with sharp questioning and political friction as government entities defend proposed allocations ahead of the national budget’s legislative path. Local Governance Vacuum: In David, a corregimiento representative and designated substitute can’t serve because both are under arrest, leaving the communal board without clear leadership for now. Anti-Drug Court Sentences: Panama’s Oral Trial Court imposed prison terms up to 18 years in “Operation Fusion,” tied to drug trafficking and money laundering through Tocumen International Airport. Corruption Case Update: Former Panama vice-president Gaby Carrizo remains under house arrest despite his lawyers seeking a less severe precautionary measure. Security Cooperation: The U.S. and Jamaica signed a Status of Forces Agreement to govern temporary deployments for training, joint operations, and disaster response. Cybercrime Watch: Banking trojans including Manic and Grandoreiro remain active, with Manic reported targeting banks and services and Grandoreiro continuing to focus on Latin America. Regional Sports: Trinidad and Tobago begin the 2026/27 CONCACAF Nations League against Haiti on Sept. 24, with Panama among the teams in the knockout pathway. Port/Trade Logistics: Crowley announced a new weekly container service linking Houston with Guatemala and Honduras gateways. Global Trade Disruption: El Niño is also reshaping shipping planning worldwide, including Arctic route testing by South Korea amid Middle East conflict.