
Members of VIVECH, a plant nursery in the Panama Canal Watershed, proudly show check received for the sale of 9, 500 seedlings to the Barca Group. USAID assistance helped empower the women behind this sustainable income earning enterprise.
Panama Snapshot
Date of Independence: 1821
Population: 3,360,474 (2009)
GDP (PPP): $40.32 billion (2009)
GDP Per Capita: $11,900 (2009)
Source: CIA, The World Factbook
http://www.usaid.gov/pa/
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USAID Assistance to the Panama
(Dollars in Millions)

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Overview
An expanding skyline and the endless queue of traffic into the Panama Canal area give the impression of a modern, prosperous, and stable Panama. However, below the shiny exterior, the country faces serious security issues, environmental threats, and development challenges. In a two-tiered econ-omy with marked differences between the rich and poor, increased security issues are driven primarily by the rise in narcotics trafficking and the prolif-eration of gangs. Significant weaknesses and corruption in the justice system severely threaten Panama’s democratic institutions and political stability. Panama also faces major environmental challenges such as degradation and deforestation in critical areas of the Panama Canal Watershed and the Darien Provence. USAID programs that focus on watershed management, biodiversity conservation, youth-at-risk, government capacity building, encouragement of civil society, and micro-enterprise development are crucial in addressing these challenges.
Programs
Governing Justly & Democratically
Narcotics trafficking, the increase of gangs and gang-related violence are significant concerns of Panamanian citizens. To mitigate these security concerns, USAID is strengthening Panamanian governmental institutions at the national and local levels and cultivating opportunities for youth in a complementary inter-agency effort in the vulnerable region of the Darien Province. Under the Central America Regional Security Initiative (CARSI). USAID helps coordinate the efforts of the Government of Panama, private sector, and civil society to address security threats in urban areas. Emphasis is on strengthening community leadership and local governance, promoting community-based responses, and facilitating dialogue.
In order to build resilient communities where citizens can thrive, Panama needs capable and legitimate institutions, a vibrant civil society, transparency and accountability in government, and support for human rights and social justice through strong rule of law. To address these multi-layered issues, USAID supports civil society organizations in advocating for more transparent, efficient, and fair judicial processes.
Economic Growth
Economic Opportunity
To disrupt the cycle of poverty, which affects 37% of the population in Panama, USAID will promote increased access to financing for micro and small businesses. Assistance will help increase the flow of commercially viable financial products and services to productive micro and small enterprises in select value chains, as well as increase and broaden the participation of underserved populations in those competitive value chains. USAID-funded activities will promote policies that encourage financial institutions to increase the availability of commercially viable products and services to households, micro, and small enterprises. Targeted training and activities for women entrepreneurs to establish and grow micro-enterprises are a priority. Cross-cutting USAID activities focus on the livelihood and economic security needs of unemployed youth and marginalized communities, such as the indigenous and Afro-Panamanian populations.
Environment
To help conserve the rich biodiversity in Panama, USAID, in partnership with government institutions, civil society and select communities, consolidates interventions in the Panama Canal Watershed. Activities target the improvement of watershed management and the promotion of environmentally-friendly income-generating activities, conservation, and environmental governance, which contribute to safeguarding this important waterway.
The Darien region is a biodiversity hotspot and biological corridor for South American and North American species. USAID is supporting sustainable community forestry management and environmental governance, while expanding eco-friendly economic opportunities. USAID will carry out activities in the globally recognized Choco-Darien Eco-Region focused on adaptation to climate change and sustainable landscapes.
Investing in People
Health
Under the President’s Emergency Plan for AIDS Relief (PEPFAR), the Central America Regional Partnership Framework partners with the government, regional and national agencies, civil society, and other donors to influence and mitigate the impact of the HIV/AIDS epidemic among high-risk populations through focused technical assistance and capacity building of persons and health systems. |