Panama Canal Management

Two major components of the Panamanian economy are its maritime sector and the Canal. The author covered the analysis of the former in a previous paper. For a rigorous study on the future capacity of the Canal, it is required, on the one hand, that an analysis of its management be done and, on the other hand, of its operation, modernisation and future scope. This paper focuses on the Canal management since its creation, reviewing its historical background, legal foundations, as well as its management and toll system currently in place-which is the responsibility of Panama nationals, once the Canal was transferred by the USA. Present management indicates optimum performance and outstanding improvements. It is successfully facing the challenge of maintaining the operating capacity to accommodate future world traffic. Its operation, traffic and modernisation will be the subject of our next paper.