Panama, Casco Antiguo
Panama, Casco Viejo

Last Tuesday, Panama was stock to the TV watching Obama win the US Presidency. Personally, I was incredibly impressed by his speech, which was a very, very smart one. But Obama is an exceptionally smart guy himself, a package of charisma, brains and common sense (probably this is what I admire the most of him).

Latinamerica cheered Obama´s election. The reasons are obvious, as he is perceived to be closer to us than John Mccain (even if McCain was really born in Panama). However, after the emotional craze, analysts have cooled down and articles are starting to come out on the impact of Obama´s Presidency on Latinamerica´s (and Panama´s) economy.

This past weekend, I travelled to Bogotá, Colombia. Articles at their magazine Poder pointed out what I think is the most logical thought: Obama has way too much trouble at home to even have the luxury of looking outside his borders and fix other´s people´s problems. All he´ll be able to do in the first two years is dedicate time to his people in the US, and through doing so, helping the world regain stability.

The economic crisis won´t just "dissapear". It will take a lot of time, sacrifice, effort, and even more pain to get it to the point where things can be under control. It won´t be a task that can be done under one Presidency. He is just going to set the foundations for the next guy to work at it and maybe be able to collect the fruits (and probably take credit for "fixing" the economy).

Most likely, Panama´s treaty with the US won´t be ratified, nor Colombia´s. I doubt they´ll aprove any treaty at all.  The best case scenario is that Colombia gets some sort of a deal because of their special relationship and the US interest in keeping the anti drug program alive.

How does this affect Casco Viejo? we have mentioned before that we believe Panama has all the fundamentals of value, and that Casco Viejo is the best spot to invest and weather the storm.  This is a very good place to spend the next three to five years of your life, as the cost of living is low, the banking system highly regulated and Casco Antiguo´s property value (as it is in a UNESCO protected historic site) will continue to increase as the town revitalizes. This is where you can take some time off, think, write, reinvent yourself. You can have a great lifestyle for $3,000 a month (including cook, maid and even a chofer, depending on what you want), and through it get the most precious asset of them all: time.  Time to think, to wait, to plan.

Being at the eye of a hurricane isn´t always the best way to handle the hurricane. This is the time to look at things from another angle and make your next move.