Hundreds of residents in Panama’s Indio River region are opposing a proposed dam project that threatens to flood their homes. The Panama Canal Authority (ACP) plans to build a 4,600-hectare reservoir to supply water to the drought-affected canal, a key passage for 6% of global maritime trade. The $1.6 billion project, slated for completion by 2032, aims to stabilise water levels amid declining rainfall. While ACP pledges $400 million for compensating and relocating roughly 2,500 residents, groups warn that up to 12,000 people may be affected. Many villagers, dependent on farming and fishing, feel their livelihoods are being sacrificed for international shipping interests. Recent protests on the river reflect deep opposition, despite ACP’s commitment to dialogue. President Jose Raul Mulino supports the initiative, which has also stirred geopolitical tensions.