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Venezuela's President, Nicolas Maduro, has broken diplomatic relations and frozen economic
ties with Panama. The decision comes after the Central American
nation requested a meeting at the Organization of American States (OAS) to discuss Venezuela's
crisis. Mr Maduro was speaking to other Latin American
heads of state at events to mark the first anniversary of the death of the leader Hugo
Chavez. At least 18 people have died in street protests
in the last three weeks. "I've decided to break political and diplomatic
ties with the current government of Panama and freeze all trade and economic relations
from this moment on," Mr Maduro told the presidents of Cuba, Raul Castro, Uruguay, Jose Mujica,
and Bolivia, Evo Morales, among other leaders gathered around the tomb of Mr Chavez.
'Conspiracy' Panama's President Ricardo Martinelli expressed
surprise at Venezuela's decision. "Panama only hopes that this brother nation
finds peace and strengthens its democracy," Mr Martinelli wrote on Twitter.
Panama's official statement said the country was "astonished" and called Mr Maduro's words
"unacceptable". "The measure announced by President Maduro
should not become a smoke screen intended to hide reality," it read.
Earlier, thousands of government supporters and troops took part in a huge parade through
central Caracas, commemorating the first anniversary of Chavez's death.
In other parts of the capital, anti-government protesters kept up their barricades, despite
an appeal made by opposition leaders to "respect" the date.
Last week, the government of Panama requested an urgent meeting of OAS member-states to
discuss the unrest in Venezuela. Venezuelans have long been complaining about
high levels of crime, record inflation and shortages of staple items.
But in the last three weeks marches initially started by disgruntled students in the western
states of Tachira and Merida spread to other areas and gained support.
On Wednesday, the OAS said a meeting would take place the next day behind closed doors
to decide whether or not to convene the region's Foreign ministers over the issue.
Mr Maduro accused the Panamanian government of conspiring to bring down his government.
"There are moves by the United States government in accord with a lackey government of a right-wing
president which has been creating the conditions for the OAS and other bodies to step towards
an intervention in our country," Mr Maduro said.