PANAMA CITY, PANAMA
Famous for being the region that connects two continents, North and South America, Panama City is also recognized historically for its being the location of the first colonial city in the Americas built by the conquering Spaniards, in 1513.
The attraction to colonizers and subsequent governments was the isthmus, a relatively narrow piece of land that allowed for the centralizing of commercial transit and communication routes.
The place called Panama today seceded from Spain in 1821. It becomes part of the region that will be called Gran Colombia, which included Venezuela, Colombia and Ecuador until it dissolved in 1830. Panama, with U.S. backing, secedes from Colombia in 1903 and promptly signs a treaty with the U.S. allowing for the construction of a canal and U.S. sovereignty over a strip of land on either side of the structure (Panama Canal Zone).
The U.S. Army Corps of Engineers builds the Canal between 1904 and 1914. The U.S. operates the zone, and controls the region surrounding it creating a completely segregated society in Panama for citizens who work in and for the Canal Authority and other Panamanians. U.S. military bases are also located in Panama during the period of U.S. occupation.
In 1977 an agreement is signed for the complete transfer of the Canal Zone to Panama to be phased out by the end of the 20th century. In 1989 dictator Manuel Noriega is deposed with U.S. help.
The Canal Zone is under expansion efforts approved by Panamanian voters in 2006. Completion is expected by 2015.
Sources: The World Factbook, http://www.cia.gov/library/publications/the-world-factook/print/nm.html
Guia del Mundo: El Mundo Vista desdel el Sur (Instituto de Tercer Mundo)
(2001/2002).