Panama Votes to Expand its Canal

With expanding global trade, container ships have more than doubled in size. To accommodate the massive ships, Panamanians approved the addition of a third navigational channel and construction of larger locks for the canal that crosses their country. The extra channel might also ease congestion at the canal, where ships sometimes wait days to cross between the Atlantic and Pacific oceans. Critics argue the Panamanian project will cost far more than the estimated $5.25 billion, damage the environment, and do little to help the 40 percent of Panamanians who live in poverty. Nudging Panama into expansion was neighbor Nicaragua’s plans for construction of its own canal. Panama depends mightily on traffic in the canal, which is responsible for 80 percent of the nation’s gross national product. – YaleGlobal