Panama Roundup: Bitcoin for payments, Chiquita leaves Panama, over 650 ships removed from registr

Panama's President Jose Raul Mulino holds a press conference in Panama City, Panama, in this handout photo distributed on February 6, 2025. Presidencia de Panama/Handout via REUTERS/ File Photo
Panama's President Jose Raul Mulino holds a press conference in Panama City, Panama, in this handout photo distributed on February 6, 2025. Presidencia de Panama/Handout via REUTERS/ File Photo
Source: Handout

Panama Canal considers bitcoin payments for faster shipping

Panama City Mayor Mayer Mizrachi proposed prioritising Bitcoin payments for Panama Canal transit fees at the Bitcoin 2025 conference. The canal, handling 5% of global trade, earned $5 billion from nearly 10,000 transits in fiscal 2024, despite drought-related caps. Mizrachi believes Bitcoin could streamline payments and attract tech-driven logistics firms, citing Panama’s current acceptance of Bitcoin for taxes. He’s seeking to expand this to canal fees without legislative approval, amid economic and geopolitical challenges. Former President Trump has called for regaining U.S. control of the canal, adding urgency to Panama’s modernisation efforts.

Chiquita Panama to lay off all workers as management exits

Chiquita Panama's management has left the country, and the company is seeking government approval to lay off remaining staff, the labour minister said. This follows the firing of 5,000 workers after a strike at a banana farm, which resulted in $75 million in losses. Thousands protested amid broader social issues, with President Mulino calling the strike illegal.

Panama denies involvement in enforcing Iran sanctions

Panama rejects claims by United Against Nuclear Iran (UANI) CEO Mark D. Wallace that it fails to enforce sanctions. Through its Panama Maritime Authority (AMP), the country has de-flagged over 650 ships since 2019 to uphold international standards, including the UN Convention on the Law of the Sea. Panama works closely with the U.S. government, sharing ship registry details to fight terrorism financing and illegal fishing. In 2019, Panama signed the Registry Information Sharing Compact with other maritime nations to notify members of ships involved in sanctionable activities. Recent actions include new ship-to-ship transfer rules and Executive Decree No. 512, empowering Panama to de-flag vessels linked to sanctions. So far, 214 ships and 12 million GT have been removed. Panama remains committed to international maritime conventions and continues its cooperation with the U.S.

Panama’s Bitcoin policy and global financial stability impact

Panama City Mayor Mayer Mizrachi proposed allowing Bitcoin payments for Panama Canal tolls, stirring excitement and concern. Supporters argue it would streamline payments, reduce banking fees, and attract tech companies, transforming Panama into a digital hub. They also see Bitcoin as a tool to modernise the canal’s competitiveness in global trade. Critics, however, warn of Bitcoin’s volatility—a sudden price drop could hurt Panama’s revenue, which supports key services. They also fear regulatory backlash from countries wary of crypto’s ties to evading traditional finance. The debate: Can Bitcoin enhance trade or will it destabilise Panama’s economy?

Panama removes 650+ ships amid sanctions, tougher rules

Panama’s Maritime Authority has removed over 650 ships from its registry since 2019 to comply with U.S. sanctions and enforce stricter rules. Since last year, 214 ships have been withdrawn under new measures allowing faster action against violators. Panama responded to UANI’s criticism, which accused Panama of facilitating Iran’s oil trade and undermining sanctions. Panama says it shares information with other flag countries and enforces rules against ships that evade tracking.

You may be interested in

/
/
/
/
/
/
/