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Panama: USAID Program Profile

Budget
FY 2005
Actual
FY 2006
Current
FY 2007
Requested
Total Program Funds
$8,101,000
$5,325,000
$3,180,000

The United States Agency for International Development’s (USAID) bilateral program in Panama contributes directly to the achievement of U.S. foreign policy objectives in the country in the areas of Infrastructure Network Protection (the Canal), Democracy, and Trade and Investment by advancing more responsive, transparent governance and the growth of an open, diversified economy. USAID regional programs provide additional assistance in other areas.

Ruling Justly: Aims to assure civil society participation in promoting judicial reforms and strengthening the rule of law by improving the justice system and facilitating citizens’ access to justice; improve transparency and accountability in government by supporting reform of the legal framework for transparency, and developing Panamanian capacity to curtail, investigate, and prosecute corruption cases; and strengthen citizen watchdog groups, and promoting ethical values in public and private institutions. Support to civil society organizations fortifies their social audit/government monitoring functions and catalyzes Panamanian focus on democracy and governance issues. In FY 2005, civil society organizations strengthened their advocacy for reforms of the judiciary and good governance. USAID was the first donor to support the work by the Citizens’ Alliance for Justice, a coalition of 15 Panamanian civil society organizations. This assistance resulted in a popular call for immediate action by the Executive Branch to curb public corruption and malfeasance. In quick order, the National Anti-corruption Council was established, a State Pact for Justice was signed by the President and prominent legal entities, and a Commission on Justice Reforms produced an agenda for critical reforms.

Economic Freedom: Focuses on facilitating market-led growth by supporting efforts by the Government of Panama and private sector to aggressively promote economic freedom, and increase the country’s productivity and competitiveness in order to benefit from global trade opportunities, and on improving the management and productivity of the Panama Canal Watershed. Activities are designed to build sector-level capacity in support of increased exports and firm competitiveness, and support integrated sustainable management of critical watersheds. USAID support facilitates policy and legal reforms, best practices, and environmentally-sound approaches to watershed and protected areas management that promote biodiversity and the sustainability of water and other natural resource use in the long term, including operation of the Panama Canal.

Improved Management and Conservation of Critical Watersheds: Endeavors to consolidate improvements in environmental management, land use and conservation through policy and legal reforms, changed resource use and a participatory, practical approach to resource management in the Panama Canal Watershed and protected areas. The program supports improved protected area management and environmentally-sound economic activities, including improved environmental governance. In FY 2005, USAID support raised the bar for environmental stewardship. The USAID watershed program led to major policy reforms and adoption, institutional strengthening, best practices in natural resource management for improved farm incomes, conservation of biodiversity, local stakeholder participation, and empowerment in strategic sub-watersheds in the Panama Canal Watershed and protected areas. To contribute to achieving U.S. national and strategic interests, USAID continued to solidify its cooperation with the Panama Canal Authority on managing the Canal watershed, and promoted integrated management in the Panama Canal Watershed in impoverished areas. Proceeds from two debt-for-nature swaps under the Tropical Forest Conservation Act complemented USAID resources in the conservation of biodiversity in two key protected areas. Also, the physical facilities of the Peregrine Fund continued to support breeding of harpy eagles in attempts to prevent the extinction of the National Bird, while promoting conservation of their tropical forest habitat and the biodiversity it supports.

Trade and Investment: Seeks to help Panama prepare for, and later implement, a free trade agreement with the United States in order for it to reap the benefits of trade development in a global market. To this end, USAID’s supports demand-led activities that enhance business development and provide linkage support in key sectors with great potential to compete in the global economy. In FY 2005, USAID support helped forge public-private partnerships to analyze constraints and identify opportunities for increasing rural and global competitiveness. Support for trade competitiveness is helping to prepare Panama to implement the anticipated bilateral free trade agreement with the United States and identify sectors that show promise for new investments and employment creation.

Community Strengthening Assistance in Darien: Empowers indigenous communities and helps legitimize local government authority in the economically-least-developed province of the Darien, which borders Colombia. USAID built numerous social and productive infrastructures while promoting community strengthening and self-help activities. The benefits are helping to thwart repeated forays and efforts to lure the Darien communities into illicit activities. In FY 2005, an additional 21 social infrastructure projects were completed, including public ground transportation terminals, pedestrian bridges, landing docks to spur eco-tourism, aqueducts, potable water systems, water sanitation and waste disposal systems. A total of 37 productive infrastructure projects were completed, including handicraft production and marketing, rural road rehabilitation, improved production and agro-processing of rice, bean, corn, yam, micro-enterprise services, municipal market construction and maintenance, community-based enterprises that generate a revenue stream from the sustainable use and management of natural resources (including eco-tourism and wood products) and tree crop production (i.e. coconut, coffee, and cacao). Additionally, a number of small projects completed by the implementing grantee's volunteers added value to the development work undertaken in the targeted communities. Program implementation ends in FY 2006. Funding totaled $6 million for the life of the program.

Regional Programs: Includes HIV/AIDS prevention and strengthening Panama’s disaster monitoring and response capabilities.

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Mon, 01 May 2006 08:22:24 -0500
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