Characteristics and perspectives of families displaced from El Chorrillo : results of an informal sample survey conducted in Panama City during January 1990

attack on the Panama Defense Forces in December 1989 destroyed or severely damaged the homes of 1,600-2,000 families in the Chorrillo section of Panama City. This report, based on interviews with 81 Chorrillo residents, assesses the extent of the housing and property losses suffered by the displaced population and their prospects for recovery. El Chorrillo was a low-income neighborhood consisting primarily of condemned wooden buildings for which residents paid neither rent nor utilities. Instead, surplus income had been invested in appliances and other consumer items, including work-related tools and equipment. The loss of these goods left many residents without a means of subsistence - fully two-thirds are now unemployed. Although reports of promised governmental assistance are widespread in the displaced community, only 15% of the families expect the offers to be fulfilled. In this report, a plan is outlined for a cooperative assistance effort by A.I.D. and the Government of Panama. The plan focuses exclusively on meeting housing needs, with no compensation for lost consumer goods. Specifically, the plan would offer each displaced family three options: (1) a new apartment in El Chorrillo, requiring up to two years to complete; (2) a house on a serviced lot in an acceptable location; or (3) a grant of up to $7,000, roughly the cost of a modest new home.