When we talk about Country Risk, the lack of free and fair elections, election fraud, and violence associated with elections, all tend to increase risk levels. When homicides, directly linked to election fraud, occur, Country Risk should be reassessed. Individuals who come into office through fraud rarely observe the rule of law in their legislative activities, which can adversely affect foreign financial institutions, as well as foreign investment, in my experience.
Two members of the legislature that are from the CD (Cambio Democratico) Party, which has long been allied with former President Ricardo Martinelli, have been denied office for election fraud, by the Electoral Tribunal of Panama. Unfortunately, there were severe consequences to the Tribunal's lawful act.
Maria Alejandra Fernández de Leon, a delegate to the Electoral Tribunal, and the daughter of Fausto Fernández, the president of the Electoral Tribunal, was recently found murdered in Panama, the victim of a knife attack in a residence. It is believed that this homicide, which is under investigation, was committed as retribution for the exposure of the two CD members as electoral fraudsters. Take this into account when computing Country Risk for Panama in 2015, where crime is often not what it appears to be.