Panama is an important hub for the distribution of South American-origin cocaine. The shipments that get dropped off in Panama are repackaged and moved northward on the Pan-American Highway or depart in sea freight containers. As reported in prior years, however, about 20 percent of seizures consisted of drugs meant for Panamanian consumption. Kuna leaders have expressed concern over the impact of the drug trade on their society. The use of cocaine remained a major concern.
Local studies show Panama with one of the highest levels of cocaine use in Central America.
The Office of the First Lady of Panama has had a particularly active role in furthering drug awareness among youth. The U.S. provides equipment, training, and information to enhance the performance of GOP counternarcotics institutions. The USG seeks to strengthen Panama's judicial system, encouraging the enactment of more effective laws and regulations, and ensuring strict enforcement. Panama appears politically committed to improving its counternarcotics performance as evidenced by continuing cooperation with the U.S. on major drug trafficking cases. Another example of excellent cooperation is the quick passage of legislation to allow expulsion of a foreign national resulting in being transferred to the U.S. to await trail on drug trafficking and money laundering charges.