Why are these elections important?
The political crisis has embroiled Panama’s May 5 presidential election, exacerbating uncertainty in a country grappling with drought and the fallout from widespread protests.
Former president Ricardo Martinelli, who had appeared surveys as the favorite, he was disqualified from the race after receiving a 10-year sentence for money laundering. Panama’s Electoral Tribunal allowed his deputy, a former public security minister named José Raúl Mulino, to take his place. Mr Martinelli claims he is being politically persecuted.
Martinelli governed Panama during a period of strong economic growth and was popular despite his beliefs. Mr. Mulino seems to have inherited his following. The result is a paradox: Even though Panamanians see corruption as one of the country’s most pressing problems, they have also shown the greatest support for the Mill, which strongly supports Mr. Martinelli.
The elections are taking place against a backdrop of widespread frustration with the political establishment. The current president, Laurentino Cortizo, of Panama’s largest political party, is extremely unpopular and has weathered corruption scandals. His administration sparked huge protests, with Panamanians paralyzing the country in 2023 to oppose a copper mining contract that critics said would endanger the environment.
Political conflicts and social upheavals have affected the climate for foreign investment, an area on which Panama relies heavily. In March, Fitch Ratings downgraded Panama’s rating, citing the government’s closure of the mine after protests. The country’s gross domestic product growth is should decrease according to the International Monetary Fund, following closing at 2.5% in 2024 from 7.5% in 2023.
Who’s running?
Eight candidates are competing for a five-year term in single-round voting. Panama does not allow incumbent presidents to run for a second consecutive term. Panama is also choosing its representatives in the National Assembly and local governments.
Del Mulino, in addition to the aspirants, includes José Gabriel Carrizo, known as Gaby, who is the current vice president; Martín Torrijos, former president and son of a Panamanian dictator who negotiated the relinquishment of control of the Panama Canal by the United States; Rómulo Roux, former Foreign Minister; and Ricardo Lombana, former diplomat.
What are the main issues?
Panama, a global trading hub, has been one of the hemisphere’s fastest-growing economies, with development driven by the expansion of the Panama Canal and investors attracted by free trade agreements and the use of the dollar as the local currency. But the next president will have to deal with many fiscal, environmental, migration and corruption issues.
Panama’s pension system suffers from a high deficit. The economy, which relies largely on service work, also has a shortage of skilled labor and a high number of informal workers, which exacerbates income inequality.
Environmental challenges include a drought that has created low water levels in the canal, resulting in a reduction in the number of ships allowed through. The financial impact has so far been limited due to toll increases before the water crisis began, but shipping companies may eventually look for ways to avoid the canal.
Hundreds of thousands of migrants are crossing the jungles of Panama’s Darién Gap, creating a humanitarian burden that the next government will have to address. Finally, corruption is an ever-present concern, with a high profile”Panama documents” AND The Odebrecht robbery scandals that have put the country in an unflattering spotlight in recent years.
Who should win?
The polls prove it Mister Mulino with more than 10 points ahead of Mister Lombana, Mister Torrijos and Mister Roux, his closest rivals. Mr. Mulino’s campaign has said that “Il Mulino is Martinelli,” and it is unclear whether Mr. Mulino will be able to help Mr. Martinelli’s situation if he is elected president. Mr. Martinelli fled to the Nicaraguan embassy in Panama City after the Supreme Court upheld his conviction this year.
In March, Panama’s Supreme Court said it would hear an appeal of the Electoral Tribunal’s decision to allow Mulino to replace Martinelli as presidential candidate. It is unclear when he will govern.
When will we know the result?
The Electoral Tribunal will provide the results of the informal elections after 4.30pm on election day. The winner is expected to be clear that night.
