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The hot topic this week in the newspapers is the debate about constitutional reform in Panama. Of course, constitutional reform has been pending for the past ten years. Most parties, during election periods, promised to present and approve if elected.
One of the principal amendments: legislators limited to two consecutive terms (10 years).
Nonetheless, this newly elected government appears to be keeping its promise and has pushed the constitutional reforms onto the legislative agenda shortly after finishing its first 100 days in office. The reform process started with the Executive meeting with more than twenty representative groups. This is the Concertación Nacional para el Desarrollo – the National Agreement for Development. Workers, entrepreneurs, political parties, tribal groups, and other interests form the interest groups participating.
Following those meetings, a special delegation of commissioners from the legislature held meetings around the country to hear public opinions.
However, last week, the process stalled, when the Legislative Branch introduced amendments, not requested by the public debates, leading to outcry by SUNTRACS and university students. The criticisms that ensued argued that the legislators attempted to jeopardize the process of constitutional reform in Panama.
Criticisms
SUNTRACS, one of the largest unions, is calling these reforms patches. They prefer an abolition of Government, calling for a «parallel constituent». Of course, this would abolish the Executive and could lead to gross uncertainty. Nonetheless, their biggest criticism remains the amendments «slipped in» by the legislators, not contemplated by public debates.
The Chamber of Commerce, on the other hand, prefers the constitutional reform process actually in process. It is viable and practical, without hindering national development while constitutional reform takes place.
The biggest issue under debate: separation of powers between the legislature, the executive and judiciary.
University students took to the streets in protest – as one modification introduced removes the University of Panama from oversight in accreditation and quality control of University Degrees. Private universities requested that the University of Panama be replaced by a Committee of Higher Education.
The process for constitutional reform in Panama:
The Constitution permits two feasible ways for reform:
- Constitutional Assembly – a choice is made to dissolve the National Assembly and elect representatives from across the country;
- Double approval by the Legislature, in consecutive years, followed by approval by a public referendum.
In the first example, the Constitutional Assembly runs the country and the national assembly temporarily dissolved. Nonetheless, this creates a vacuum and uncertainty for businesses and investment.
The Legislature approves the constitutional reforms in three debates, in 2019. Upon approval, in 2020, the reforms pass through the debate process once again. Once approved in two consecutive years, the reforms then pass to Public Referendum for approval.
For any of your legal needs, please contact our law office for representation in Panama.
