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Weekly Report - 1 September 2011 (WR-11-35)
PANAMA: Ruling alliance implodes
The ruling alliance in Panama is rapidly unravelling. The resulting acrimony could threaten political stability. President Ricardo Martinelli dismissed Juan Carlos Varela, his foreign minister, on 30 August. Varela is the president of the Partido Panameñista (PP), which forged a coalition with Martinelli’s Cambio Democrático (CD) to bring him to power in 2009. It did so on the proviso that Martinelli would back Varela in the next presidential elections in 2014. Martinelli is reneging on that promise. All of the PP’s cabinet ministers have resigned in solidarity with Varela.
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