In 2009 Panama had to deal with the global economic recession and, at the same time, continue widening the Panama Canal at a cost of US$ 5.25 billion. The Global recesion was able to slow down Panama’s economic growth. Meanwhile public policies spurred popular protests and a growing crime rate. Panama elected a new President in 2009 who was able to bring down with success what seemed to be shaping up to be a two-party political structure. On the international front, President Martinelli inaugurated his mandate setting-up 11 air and naval bases to “combat drug trafficking.” President Martinelli’s administration lack of political culture and expierence can be signs of a weakening of democratic institutions.