Smart Moves Against Noriega

The economic pressure the U.S. government has been putting on Panama’s Gen. Manuel A. Noriega will be increased in the coming weeks. While that may seem like a slow and not very forceful method to use in trying to force a hated strongman from power, it still holds promise.

Times correspondent Doyle McManus reported last week that the Bush Administration will soon announce new regulations making it illegal for U.S. citizens to have any financial dealings with Noriega, his wife or any of the 32 companies in which they are known to have an interest. This will be accomplished by formally declaring Noriega, who has very close ties with Cuban dictator Fidel Castro, a “designated Cuban national” under U.S. law. That would mean the various trade restrictions that have been applied to Cuba since the United States broke with the Castro regime now also apply to Noriega.

The Panamanian dictator can be expected to mock measures that declare him the political equivalent of Castro and again try to pose as a Panamanian nationalist standing up to the United States. But it will be hollow boasting, because if the trade restrictions are methodically applied, they could reduce the dollars that Noriega’s companies earn abroad, buying and selling goods to U.S. companies. And the less personal wealth Noriega has, the less largesse he can bestow on the corrupt officials who are his cronies in the Mafia-like government he has created in Panama. The sanctions should also hurt Noriega without doing any more damage to Panama’s economy, already weakened by U.S. sanctions applied two years ago when the standoff began.

Another measure that the Administration is reported considering are new regulations that would prohibit ships registered in Panama from calling at U.S. ports. Because Panama is one of the world’s major “flags of convenience” for maritime trade and commerce, that could force many vessels to re-register with other nations, depriving Noriega’s regime of additional revenue. Because of the ripple effects these sanctions could have throughout Panama’s economy, more planning must be done to make sure they can be applied in a way that hurts Noriega rather than legitimate Panamanian businessmen.

The Administration is undoubtedly looking for new ways to strike at Noriega in response to criticism of President Bush’s cautious reaction to the failed Panamanian coup on Oct. 3. Bush has been faulted for not ordering U.S. troops in Panama to do more to assist the coup, or for not having used the upheaval as an opportunity to snatch Noriega, who is wanted here on drug- trafficking charges. But even presuming that strong action would have worked, it would also have created many new problems in U.S. relations with Panama and the rest of Latin America.

While the economic sanctions are not as dramatic, they are taking their toll on Noriega. The fierce brutality he displayed in crushing the coup, personally killing some of its leaders, is sad evidence of Noriega’s paranoia. Slowly, the Panamanian thug is nearing the end of his string.