Panama 1983

By | September 12, 2023

In 1983, the Republic of Panama, a small yet strategically significant country in Central America, was navigating a complex political landscape while experiencing economic growth and modernization. This description provides an overview of Panama in 1983, including its political environment, economy, society, and key events during that time.

Political Landscape:

  1. Leadership and Government: In 1983, Panama was under the leadership of General Manuel Noriega, who held de facto control over the government. Noriega had risen to power within the Panamanian Defense Forces (PDF) and effectively governed the country despite not holding a formal political office.
  2. Relations with the United States: According to a2zgov, Panama’s relationship with the United States was strained during this period. The U.S. government had previously supported Noriega due to his anti-communist stance, but by the early 1980s, allegations of corruption and involvement in drug trafficking led to increasing tensions between the two nations.
  3. Constitution and Political Parties: Panama had a constitution in place, but it faced challenges due to the authoritarian rule of Noriega. Political opposition was suppressed, and political parties operated under significant constraints.


  1. Economic Growth: Panama’s economy was experiencing growth in the early 1980s, largely driven by the expansion of the Panama Canal Zone. The Panama Canal was a crucial source of revenue and employment for the country.
  2. Banking Sector: Panama was known for its offshore banking sector, which attracted foreign investments and deposits due to favorable banking regulations and tax incentives. The sector contributed significantly to the economy.
  3. Agriculture and Industry: Agriculture and industry played smaller roles in the economy compared to services related to the canal and banking. Agriculture included the cultivation of bananas, rice, and coffee, while industry focused on manufacturing and construction.
  4. Currency: The Panamanian balboa was the official currency, although the U.S. dollar was widely used and accepted, thanks to the country’s close ties with the United States.

Society and Culture:

  1. Ethnic Diversity: Panama’s population was ethnically diverse, with a mix of indigenous peoples, Afro-Panamanians, mestizos, and European descendants. This diversity contributed to a rich cultural tapestry.
  2. Languages: Spanish was the official language of Panama, while English was also widely spoken, especially in areas historically associated with the Panama Canal.
  3. Religion: The majority of Panamanians practiced Roman Catholicism, which had a significant influence on the culture and traditions of the country.
  4. Education: Panama had a growing education system, with efforts to improve access to education and literacy rates. Both public and private schools operated throughout the country.

Key Events in 1983:

  1. Political Unrest: 1983 was marked by political instability and civil unrest as opposition to General Noriega’s rule grew. Protests and demonstrations took place, leading to clashes between demonstrators and government forces.
  2. U.S.-Panama Relations: Relations between Panama and the United States continued to deteriorate. The U.S. government imposed economic sanctions on Panama and called for Noriega’s resignation.
  3. Elections and Controversy: General Noriega held elections in 1984, which were widely criticized for being rigged in his favor. International observers raised concerns about the fairness of the electoral process.
  4. Economic Growth: Despite the political turmoil, Panama’s economy continued to grow, thanks in large part to revenue generated by the Panama Canal and the offshore banking sector.
  5. Demands for Democracy: Both domestic and international pressures mounted on General Noriega to restore democratic governance and respect human rights in Panama.

In summary, in 1983, Panama was a nation characterized by political tension and economic growth. The authoritarian rule of General Manuel Noriega had led to strained relations with the United States and calls for democratic reforms. The country’s economy was thriving, largely driven by the Panama Canal and the offshore banking sector. Panama’s diverse society and cultural heritage added to its unique identity, while efforts were being made to improve access to education and promote literacy. The events of 1983 set the stage for further political developments and international scrutiny in the years to come.

Location of Panama

Panama, a narrow isthmus connecting Central and South America, occupies a strategic and geographically unique position in the Americas. Situated between the Caribbean Sea to the north and the Pacific Ocean to the south, Panama’s location has had profound historical, economic, and geopolitical implications. This description provides an in-depth overview of Panama’s geographic location, its diverse terrain, climate, and its significance in global trade and transportation.

Geographic Coordinates:

According to paulfootwear, Panama is located between approximately 7.5197° N latitude and 80.3580° W longitude. It is nestled in the heart of Central America, connecting North America to South America.

Borders and Neighbors:

  1. Costa Rica: To the northwest, Panama shares a border with Costa Rica. The boundary between the two countries is relatively short but plays a significant role in regional transportation and commerce.

Terrain and Geography:

Panama’s geography is marked by a diverse range of landscapes:

  1. Isthmus: Panama is an isthmus, a narrow strip of land connecting two larger landmasses. It serves as the land bridge between North and South America.
  2. Mountains: The country is characterized by mountainous regions, including the Cordillera Central and the Cordillera de Talamanca. The highest peak is Volcán Barú, which rises to an elevation of 3,474 meters (11,398 feet) above sea level.
  3. Lowlands: Lowland areas include coastal plains along the Caribbean Sea and the Pacific Ocean. The Gulf of Panama extends inland along the Pacific coast.
  4. Rainforests: Much of Panama is covered in lush rainforests, with diverse flora and fauna. These rainforests are home to a wide variety of wildlife, including jaguars, sloths, and numerous bird species.
  5. Rivers: Several rivers traverse Panama, with the Chagres River being one of the most significant. It played a crucial role in the construction of the Panama Canal.


Panama enjoys a tropical climate characterized by:

  1. Wet and Dry Seasons: Panama experiences a distinct wet season and dry season. The wet season typically occurs from May to November, with heavy rainfall and occasional thunderstorms. The dry season runs from December to April, featuring less precipitation and more sunshine.
  2. Humidity: Panama’s proximity to both the Caribbean Sea and the Pacific Ocean results in high humidity year-round.

Geopolitical Significance:

Panama’s strategic location has several geopolitical implications:

  1. Panama Canal: The Panama Canal, one of the most famous engineering marvels in the world, bisects the country from east to west. It connects the Atlantic and Pacific Oceans, allowing ships to bypass the lengthy and treacherous trip around the southern tip of South America. The canal has been instrumental in global trade and maritime transportation, significantly reducing travel times and costs for goods and vessels.
  2. Trade Hub: Panama’s role as a trade hub cannot be overstated. The country’s location at the crossroads of the Americas has made it a vital center for international commerce. The Panama Canal and the ports of Balboa and Colón are crucial for shipping and logistics.
  3. International Finance: Panama has established itself as an international financial center due to its favorable banking regulations and tax incentives. It serves as a bridge between North and South American economies.
  4. U.S.-Panama Relations: Historically, Panama’s strategic significance led to U.S. involvement in the construction and control of the Panama Canal. The Panama Canal Zone was controlled by the United States until it was transferred to Panamanian authority on December 31, 1999, in accordance with the Torrijos-Carter Treaties.
  5. Political Neutrality: Panama maintains a policy of political neutrality, which has made it a diplomatic center for regional and international negotiations and organizations.

In summary, Panama’s geographic location as a land bridge between North and South America, its diverse terrain, and its control of the Panama Canal have made it a pivotal player in global trade, transportation, and diplomacy. Its unique position continues to shape its history, culture, and role in the international community, cementing its status as a vital link between the two continents.