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Transparency, Varela’s Achilles heel


Transparency, or the sore lack of it, is one of the main weaknesses of President Varela’s administration. According to the latest polls published by Dichter & Neira (D&N), a full 76% of respondents have a negative view of the government, compared with only 20% that consider it to be acting with transparency. This, coupled with the 20-point fall in the general approval ratings of the President – from 66% to 46% in the year to April 2016 – delivers a damning verdict on the government’s constant improvisation, whether dealing with the day-to-day problems of ordinary Panamanians or with international scandals, like the infamous case of the Panama Papers.

In relation to the latter, and in her trademark make-believe style, Vice-President Isabel de Saint Malo de Alvarado poignantly remarked that “every crisis is a source of opportunities” and that “Panama should now lead globally on the issue of transparency”.  In fairness, those words sound somewhat hollow, given the constant, unwarranted intromission of the executive in the supposed investigation against law firm Mossack Fonseca. According to D&N, 50% of Panamanians do not believe that the disgraced law firm will be properly investigated – at least not in Panama – while a full 81% is convinced that the scandal will badly hit the economic prospects of the country.

They may be right. Following the physical raids carried out by the PM on the Panamanian offices of Mossack Fonseca, no one from the firm has yet been called to testify; no charges have been put forward; and no preventive detention measures have been announced.  And while Alvaro Aleman, Minister for the Presidency, candidly admits that the sharp fall in the ratings of the government can be attributed to this global scandal, President Varela’s main contribution on the subject was to repeat his mantra that “transparency is irreversible”. Unfortunately, the facts would appear to indicate otherwise.

 
According to economist Juan Jovane, this “government’s trademark is precisely its lack of transparency”, in spite of all the rhetoric to the opposite. One case in point is the deluge of direct procurement contracts that has been going on at Tocumen SA, the state entity in charge of managing the Panamanian airport. It has transpired that the airport operator has, yet again, favored a firm owned by President Varela’s main campaign supporter, Stanley Motta, a US- Panamanian businessman reputed to be the country’s richest man.  Insurer Assa, part of the Motta group of companies, was recently directly awarded a $1.95m contract from the airport administration. In a further perversion of the meaning of transparency, the general manager of Tocumen SA, Joseph Fidanque III, is a former director of Copa Airlines, the Motta-controlled company that is also the airport biggest single client. Mr. Fidanque III has been heavily criticized for multiple direct procurement contracts awarded to favored companies.

While the day-to-day problems of the Panamanians are left with no answer, and  according to D&N a majority (55%) expects things to stay this way or even get worse (18%), others appears to be fully enjoying the ride on the Varela gravy train.


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101 años de Panamá América

 
101 años Panamá América