Ghost Towers of Panama | Monte Friesner Financial News |
FROM THE - JOURNALS of Monte Friesner – Intelligence Analyst & Consulaire for WANTED SA ~
Friday June 29, 2012 ~
PANAMA | PARADISE LOST & AN ECONOMY THAT HAS COMMITTED SUICIDE |
Flying over Panama City and ready to land at the International Airport wakes many people up to the tragedy that has fallen over Panama. I was on the Copa Airlines flight to Panama with a practically empty plane; however, business class with full with people coming to Panama to salvage some of their assets, because they had been infected with real estate greed injected by the ruthless real estate consultants in Panama.
The sky was dotted with unfinished and empty towers both commercial and residential and Panama is rapidly becoming a bankrupt economy according to many financial analysts and banks; such as UBS one of the largest Asset Management Financial Groups in the world.
Quoted: “UBS: Panama loses credibility” ANA MENDEZ GRACIELA
Panama's fiscal credibility is damaged, according to the latest investment bank UBS.
"The government seems to overextend their search for additional funding [and] in the process tarnished our opinion of its commitment to fiscal responsibility," the entity.
The UBS report included the approval of the Savings Fund of Panama and the possible sale of shares in Cable & Wireless, among other measures, as a clear sign that the government's public finances are in danger. Also qualifies as questionable justifications for government to these measures.
UBS said that in his analysis, "increased risk" in Panama, largely due to the policies of President Martinelli, and the constant adjustments made by the Government.
"We have a hunch that this administration likes the concept [of fiscal responsibility], but prefers to leave the application of it to the next administration," says the bank.
One of the Government Officials the other day stated that the coming election will be financed by drugs and money laundering; however, he neglected to state that the previous election was spewed with the David Helmut Murcia Guzman scandal and the present President Ricardo Martinelli or that the present Administration for Tourism is suspected of Trafficking in Drugs, Money Laundering and Arm Sales in Latin America. In fact several Ministers and present Government Officials have had their Visas to the USA cancelled due to allegations of criminal acts.
Another major revelation has been exposed in the last week in dealing with the Ministry of Finance where the Auditor stated that he was forced to create “Fraudulent Financial Statements” for the Government of Panama and Quoted:
Nomura Bank which is a major and credible financial group revealed their findings:
"Creative Accounting" Masks Debt
"Turnkey” projects contracted by the Panamanian government totaling more than $5,000 million have not been included in public debt indicators.
A report generated by the Nomura bank said that the commitments generated by those projects to the government of Panama equate to 17% of gross domestic product (GDP).
The report also contains observations on the expansion of direct recruitment policy by the Martinelli administration, which has also been criticized by the Panamanian Association of Business Executives (APEDA).
According to an article in Prensa.com, APEDE "advises that these commitments [derivatives of turnkey projects] should be included in public debt indicators, to reflect the true financial position of the state."
Truthful and dangerous exposure to the economy of Panama and the financial stability of Panama. The latest report also states that Foreign Investment into Panama in the first fiscal quarter of 2012 has been reduced by 15%. Are investors becoming wise to the corruption and criminal activities in Panama; such as, the passengers on the Copa flight?
“Come to Panama and Invest”! The Investment can be a Tax Loss for residents of many countries.
The Republic of Panama has recently been exposed by the media around the world with Alerts being posted as to the financial and political stability; such as, articles in the “Wall Street Journal, The Economist, CBC, European Publications and of course in Panama”.
Panama: Economic Freedom Under the Magnifying Glass
Negative aspects such as high state spending and discrimination in income tax payments led to points deductions.
inShare.0 The Panamanian Association of Business Executives (APEDA), has presented the economic freedom index, an indicator designed to measure the country's climate for attracting business and chances of increased employment options in the country.
The score obtained by Panama was 3.2 out of 5, which is an improvement on the last score. Apede conducted the study.
Among the elements restricting economic freedom in the country are high government spending and discrimination when collecting income taxes, based on economic activity.
On the other hand, notes an article in Prensa.com, the best results come from government control in banking and finance, intervention in wages and prices, property rights, regulatory initiatives, private sector development and constraints on foreign investment. "
Panama is now plagued with a plundered and raped existence without any form of income coming in to suffice the massive debt. The real estate developers borrowed money from their own family banks and if they cannot repay the banks themselves will suffer a similar fates as banks in Greece, Spain, Iceland and Europe. They will go bankrupt taking the assets of the depositors with them, because Panama does not have a Central Bank to bail the present banks out.
Disasters of their own creation!
WANTED SA kindly thanks US Treasury, Kenneth Rijock, AFP, Reuters, BBC, Associated Press, DEA, FBI, ICE, Westlaw, Arutz Sheva, and all the Parties, Press, Journalists, Law Enforcement and Securities forces who have contributed to the many articles and their sincere opinions and statements.
WANTED SA states that the facts and opinions stated in this article are those of the author and not those of WANTED SA. We do not warrant the accuracy of any of the facts and opinions stated in this article nor do we endorse them or accept any form of responsibility for the articles.
For Confidential Contact:
WASHINGTON, D.C. 1.202.787.3861 -
TOLL FREE FROM USA & CANADA: 1.888.255.1533 -
LONDON CENTRAL, UNITED KINGDOM (44) 207.993.6256 -
Or e-mail us: