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Area : 29761  sq.mi - Population 3300000 hab.
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On the crossroads between the two continents of North America and South America, Panama separates the Pacific ocean from the Atlantic ocean. Several native tribes (Cunas, Chocos and Guaymis) not so different from the Incas and Mayas used to live in this region. In the XVIc and XVIIc, Panama was used as a base for the shipping transportation of precious ore from Peru to Spain. Depending on Peru, the country was then assimilated to New Granada and remained under Spanish domination until 1821, date of the union to "Gran Colombia". In the mid-XIXc, a railway line was built by the Americans and across the country from one ocean to the other. Then a French man, Ferdinand Lesseps, started building a canal, in 1880, to link both of oceans. Nine years later, the works were interrupted because of a political and financial scandal. The US bought the rights off the French, for the sum of 40 million dollars. Panama became independent in 1903; the date when it was recognized as a fully-fledged country by Uncle Sam. The relationship between the United States and Panama have remained a major economical issue up to now.
Chronology:
1501: discovery of Panama by explorer Rodrigo de Bastidas.
1519: foundation of Panama.
1739: the country is incorporated into the viceroyalty of New Granada.
1821: Panama obtains its independence by being part of Gran Colombia.
1846: The treaty of Mallarino-Bidlack allows the United States to build a railway line.
1855: The State of Panama is created, federated by New Granada (present-day Colombia).
1880-89: The French "Premiere Compagnie" undertakes the building of the canal.
1903: Independence, with the support of the USA. Hay/Bunau-Varilla treaty: The USA have rights of usage of the zone limited to canal needs.
1915: inauguration of the canal, considered at the time as the "8th wonder" of the world.
1920-24: 3rd presidential mandate for Belisario Porras.
1931: coup performed by the Patriotic communal action. For several decades, presidents succeed one another.
1964: anti-American riots.
1969: civilian junta; Demetrio Lakas Bahas is president, inducted for a period of 6 years.
1972: New Constitution; General Omar Torrijos becomes head of the government until October 1978.
1977: Torrijos-Carter treaty about the canal (valid until 1999), replaces the 1903 treaty: the country ensures the control of the canal and regains sovereignty over the canal zone, American administration is then replaced by joint American and Panamanian administration. In 2000, the neutrality of the canal zone would later be ensured by the USA and Panama.
1978: Aristides Royo is elected president. Anti-American riots, then intervention of the United States.
1987: riots in order to obtain General Manuel Noriega's resignation - the head of the defence force since 1983 (nicknamed "Pineapple face", accused of drug trafficking), took refuge in Vatican.
1989: Guillermo Endara, head of state, placed there by the Americans.
1990: the country ensures the management of the canal for the first time since 1914.
1992 Noriega, extradited to the United States, is condemned to a 40 year prison sentence for drug trafficking.
1994: Ernesto Pérez Balladares ("el Toro") is elected president after the first ever presidential election in the history of Panama.
1999: retrocession of American sovereignty on the canal zone and withdrawal of the last remaining North-American troops. Mireva Moscoso (widow of Arnulfo Arias) is elected president ahead from Martin Torrijos.
2004: Martin Torrijos, 40 years of age, son of the old dictator, wins the presidential election on May 2nd ahead of ex-president Endara. He was a candidate under the social-democrat label, an alternative to the conservative party in power.