Panama’s history has shaped it into the country it is today. Panama is very unlike its neighbours in that its canal gives it a unique source of wealth, influencing the economy and the people. The different facets of Panamanian life reflect different times in its past.
Panama is not littered with ancient temples the way other Latin American countries are, but the indigenous people of the country are testimony to the way of life which once presided here. Panama has been inhabited for the last 10,000 years, and the earlier inhabitants were part of a trade route that spread across Latin America. Apart from the remaining tribal people, archaeologists have discovered some traces of ancient life such as statues, pottery and gold ornaments, and are hopeful of finding more clues to the lost civilisations.
More in evidence is the influence of the Spanish, who explored Panama in 1502 and established the original Panama City – Panama Viejo – less than 20 years later. Spain turned the entire continent around, implementing their own society and obliterating the ancient ones. Panama City was the starting point of the expedition that ended up conquering the Inca Empire. Now, colonial buildings abound in the country, particularly in the Casco Viejo in Panama City, where not only can the once-great wealth be observed, but the decline of the wealth, in the shabby, peeling buildings which have gone to ruin.
After 300 years of Spanish rule, the entire region was revolting and Panama was no exception – but its relegation to part of Colombia was found unsatisfactory, and they spent the next 80 years trying to break away. Finally, after a period of tumultuous riots and government changes, Panama declared its independence in 1903.
The building of the Panama Canal, which was completed in 1914, was to change everything for Panama. 75,000 labourers of all nationalities flocked to Panama at the prospect of work and building a new life for themselves, bringing in a huge influx of different cultures. The Americans bought the rights to the Panama Canal Zone and had a huge influence in the running of the country, and the wealth generated by the Canal went largely to them.
The 20th century became something of a wrestling match over government and rights to the canal. A military coup in 1968 led by General Omar Torrijos Herrera saw the country turn into a dictatorship until the general’s death in 1981, and then even longer as his former intelligence chief, Manuel Noriega, took over the running of the country, and the strained relations with the US which resulted from this leadership led to US financial assistance being cut. By the time President George Bush sent in a military invasion to wrest power from the dictator the country was suffering from a crippling lack of funds, and the nineties saw Panama slowly getting back on its feet.
But the defining moment of Panama history, and what has given it its true independence which will alter its future dramatically, was the official handing over of the Panama Canal by the US to Panama. In 1977, at the time of the Torrijos dictatorship, a treaty was signed between Panama and the US agreeing that the US would hand over the rights to the canal by 1999. And in 1999, on schedule, they did just that.
Panama is still slowly building itself back up, and the alarming discrepancy between the wealth and poverty in the country is testimony that there is a long way to go. But plans for an ambitious expansion of the Panama Canal are being implemented, and the project is set to be completed by 2014. This will mean a greater amount of traffic will be able to pass through the canals, and trade routes should flourish, allowing the country to distinguish itself further and bring in new wealth.
Almost all Christian; 90% Roman Catholic (FCO figures). Other representations include Protestants, Jews and Muslims.
Social conventions:Handshaking is the normal form of greeting and dress is generally casual. The culture is a vibrant mixture of American and Spanish lifestyles. The mestizo majority, which is largely rural, shares many of the characteristics of mestizo culture found throughout Central America. Only three indigenous tribes have retained their individuality and traditional lifestyles as a result of withdrawing into virtually inaccessible areas.
The official language is Spanish, but English is widely spoken.
