PANAMA moved a step closer to building a rail link to the Costa Rican border on Thursday, December 7 with the signing of an agreement with China to initiate a feasibility study in 2018.
It was signed by Luis Miguel Hincapie, in charge of Panama’s Ministry of Foreign Affairs and Zhong Shan, Minister of Commerce of the People's Republic of China.
The agreement was signed in the presence of Panama President Juan Carlos Varela and Panamanian Trade Minister Augusto Arosemana at the headquarters of the Ministry of Foreign Affairs of Panama.
The Chinese Minister of Commerce said that the purpose of his visit was to follow up on the agreements reached during Varela's visit in November. “In turn, I have highlighted the potential of infrastructure construction for both nations.”
With the signing of this agreement, China confirms that "it will grant the financing and the feasibility study for the rail project of the Republic of Panama," Arosemena said.
Both Arosemena and Zhong Shan indicated the need to accelerate the negotiation of a Free Trade Agreement (FTA) between both nations, which should be completed by the first half of 2018.
"We hope to complete the feasibility study in June 2018 and immediately launch the negotiations," said Arosemena.
In addition, in educational matters through an exchange of notes, both governments agreed on the amount of funding for the non-reimbursable cooperation of projects for the strengthening of "human resources, scholarships and seminars".
Panama opened diplomatic relations with China lin June. Months later, in November, President Juan Carlos Varela met with his counterpart Xi Jinping, and from these meetings, a series of trade, economic and cooperation agreements were signed between both nations.
China just extending the silk road in central america and with the huge copper mine getting cliser to being open you can bet they will buy all the copper panama will sell . I know lots of people that have their head in the sand and believe everything is peaches and cream .its not China has most of Africa tied up , working on yuan backed by gold for payment of oil , and they are the largest impoters in the world and have been in talks with the Saudi gang .the petrodollar is going the way of the 8 track and most Americans have no idea what this will do .you will see inflation like never before as those USD no longer neededin other countries come flooding back to the US .