Tuesday, September 25, 2012

Who owns the Panama Canal right now?

The government of the Republic of Panama now owns the Panama Canal, but the history of the ownership of the canal is fascinating and colorful. The first nation to attempt to dig a canal across the Isthmus of Panama, which was then a part of Colombia, was France. French teams attempted the excavation from 1881 to 1894, but they failed due to the rainforests full of venomous creatures, the difficult climate, deadly tropical diseases, and eventual bankruptcy.

The United States tried to secure a treaty with Columbia for perpetual control of the canal zone in 1903. When Colombia balked at ratification, President Theodore Roosevelt sent warships to support Panamanian rebels who wanted to break from Colombia and form an independent government. This new government signed a treaty with the United States in November 1903. It granted the United States permission to build the canal and indefinitely administer the Canal Zone.

The United States solely controlled the Panama Canal Zone until 1977. From that time, the Americans and Panamanians jointly administered the canal until December 31, 1999, when the government of Panama took over complete control. Currently, the Panama Canal is operated and managed by the Panama Canal Authority, which is a branch of the Panamanian government.
http://www.pancanal.com/eng/acp/acp-overview.html


The Panama Canal is owned by the Panamanian government and operated by the Panama Canal Authority (ACP). Due to its enormous strategic value, the Panama Canal had previously been controlled by the United States. Although, technically the newly-independent Panamanian government had granted the United States the right to administer the canal zone and its defenses indefinitely.
In 1977, President Carter signed a treaty with the Panamanian dictator Torrijos. Under the terms of the agreement, the Panamanians would eventually gain complete control over the canal, on the condition it would remain neutral. The reason for this is that the Carter Administration didn't want the American military presence to be replaced by that of a hostile foreign power. Full Panamanian control over the canal became effective at noon on New Year's Eve, 1999, and since then the Panama Canal has been administered by the ACP.

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