Panama.
Information.
PANAMA (officially the Republic of Panama), is the southernmost country of Central America. It is bordered by Costa Rica to the west, Colombia to the southeast, the Caribbean to the north and the Pacific Ocean to the south. Area - 75 517 sq.km. Population - 3 405 813 (2010) Capital - Panama City . Prior to the arrival of Europeans, Panama was widely settled by Chibchan, Chocoan, and Cueva peoples. Rodrigo de Bastidas, sailing westward from Venezuela in 1501 in search of gold, was the first European to explore the isthmus of Panama. A year later, Christopher Columbus visited the isthmus and established a short-lived settlement in the Darien. Vasco Nunez de Balboa's tortuous trek from the Atlantic to the Pacific in 1513 demonstrated that the Isthmus was, indeed, the path between the seas, and Panama quickly became the crossroads and marketplace of Spain's empire in the New World. Gold and silver were brought by ship from South America, hauled across the isthmus, and loaded aboard ships for Spain. The route became known as the Camino Real, or Royal Road, although it was more commonly known as Camino de Cruces (Road of the Crosses) because of the abundance of gravesites along the way. Panama was part of the Spanish Empire for 300 years (1538–1821). Spanish authorities exercised little control over much of the territory of Panama, large sections managing to resist conquest until very late in the colonial era. However, Panama was enormously important to Spain strategically because it was the easiest way to transship silver mined in Peru to Europe. Silver cargos were landed at Panama, and then taken overland to Portobello or Nombre de Dios on the Caribbean side of the isthmus for further shipment. Because of the incomplete Spanish control, the Panama route was vulnerable to attack from pirates. Sir Francis Drake's famous raids on Panama in 1572–73 were aided by Panama cimarrons, and Spanish authorities were only able to bring them under control by making an alliance with them that guaranteed their freedom in exchange for military support in 1582. The prosperity enjoyed during the first two centuries (1540–1740) while contributing to colonial growth; the placing of extensive regional judicial authority (Real Audiencia) as part of its jurisdiction; and the pivotal role it played at the height of the Spanish Empire -the first modern global empire- helped define a distinctive sense of autonomy and of regional or national identity within Panama well before the rest of the colonies. In 1671, the privateer Henry Morgan, licensed by the English government, sacked and burned the city of Panama – the second most important city in the Spanish New World at the time. In 1717, the viceroyalty of New Granada (northern South America) was created in response to other Europeans trying to take Spanish territory in the Caribbean region. The Isthmus of Panama was placed under its jurisdiction. However, the remoteness of New Granada's capital, Santa Fe de Bogota (the modern capital of Colombia) proved a greater obstacle than the Spanish crown anticipated as the authority of New Granada was contested by the seniority, closer proximity, and previous ties to the viceroyalty of Lima and even by Panama's own initiative. This uneasy relationship between Panama and Bogota would persist for centuries. As the Spanish American wars of independence were heating up all across Latin America, Panama City was preparing for independence; however, their plans were accelerated by the unilateral Grito de La Villa de Los Santos (Cry From the Town of Saints), issued on November 10, 1821 by the residents of Azuero without backing from Panama City to declare their separation from the Spanish Empire. In both Veraguas and the capital this act was met with disdain, although on differing levels. To Veraguas, it was the ultimate act of treason, while to the capital, it was seen as inefficient and irregular, and furthermore forced them to accelerate their plans. Nevertheless, the Grito was an event that shook the isthmus to the core. It was a sign, on the part of the residents of Azuero, of their antagonism towards the independence movement in the capital. Those in the capital region in turn regarded the Azueran movement with contempt, since the separatists in Panama City believed that their counterparts in Azuero were fighting not only for independence from Spain, but also for their right to self-rule apart from Panama City once the Spaniards were gone. What they had counted on, however, was the influence of the separatists in the capital. Ever since October 1821, when the former Governor General, Juan de la Cruz Murgeon, left the isthmus on a campaign in Quito and left the Veraguan colonel in charge, the separatists had been slowly converting Fabrega to the separatist side. As such, by November 10, Fabrega was now a supporter of the independence movement. Soon after the separatist declaration of Los Santos, Fabrega convened every organization in the capital with separatist interests and formally declared the city's support for independence. No military repercussions occurred because of the skillful bribing of royalist troops. In the first eighty years following independence from Spain, Panama was a department of Colombia, since voluntarily becoming part of it at the end of 1821. In November 1903, Panama proclaimed its independence and concluded the Hay–Bunau-Varilla Treaty with the United States. The treaty granted rights to the United States "as if it were sovereign" in a zone roughly 10 miles (16 km) wide and 50 miles (80 km) long. In that zone, the U.S. would build a canal, then administer, fortify, and defend it "in perpetuity." In 1914, the United States completed the existing 83 km (52 mi) canal. The early 1960s saw the beginning of sustained pressure in Panama for the renegotiation of this treaty. From 1903 until 1968, Panama was a constitutional democracy dominated by a commercially oriented oligarchy. During the 1950s, the Panamanian military began to challenge the oligarchy's political hegemony. Currency : Balboa (PAB).
