US status quo in Central America threatened by US$40bn Panama canal rival
US status quo in Central America threatened by US$40bn Panama canal rival
By Rebecca Conan - Friday, August 2, 2013
Construction of Nicaragua's US$40bn interoceanic canal could reduce the US' influence in Central America, according to a report by David Franco, senior Latin America analyst at risk analysis company Maplecroft.
"From a geopolitical perspective, a second canal could result in a further erosion of US power in Central America, particularly if the Chinese government steps in at a later stage to finance and operate the canal," states the report.
In June Hong Kong-based firm HK Nicaragua Canal Development Investment and its local arm HKND was awarded the right to develop and operate an interoceanic canal and any other infrastructure included in the project under a completely tax-free regime.
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If the project goes ahead, Maplecroft believes that it will have "far-reaching business and geopolitical implications."
More:
http://www.bnamericas.com/news/infrastructure/us-status-quo-in-central-america-threatened-by-us40bn-panama-canal-rival1
(New war on Nicaragua ahead?)
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