Panama Assembly Receives Proposal to Sanction Harmful AI Manipulation
PANAMA CITY, July 18, 2026 – Deputy Dana Castaneda has presented a legislative initiative to sanction the use of artificial intelligence to create manipulated content that harms people’s honor and reputation.

Castaneda said the proposal responds to anonymous digital creations that can damage families, public figures and vulnerable citizens. She said the initiative should be strengthened through participation from communicators, lawyers and the wider public before moving forward.
The proposal reflects a growing challenge for lawmakers worldwide. AI tools can now generate realistic images, audio and video that are difficult for ordinary viewers to verify quickly. That creates risks for defamation, harassment, political manipulation and reputational damage, particularly when content spreads rapidly on social platforms.
Panama’s debate will have to balance two public interests: protecting people from harmful deception while avoiding overly broad rules that could restrict legitimate expression, satire, journalism or technology development.
Why it matters
The issue is likely to become more urgent as AI tools become cheaper and easier to use. Panama does not only need penalties after harm occurs; it may also need clear standards for disclosure, platform cooperation, evidence preservation and digital literacy.
What happens next
The initiative would need legislative debate, committee review and consultation before it could become law. The strongest version of the proposal will likely require input from lawyers, journalists, technologists, civil-society groups and digital-rights specialists.


