Panama Travel Report

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Date of Visit: 14 July 2017 – 25 July 2017

Fully Revised: October 2026

Introduction

I’ve just completed a twelve-day trip to Panama, my fourth visit to this dynamic Central American destination. Over the years, the government has invested heavily in infrastructure. As a result, travelling to and around Panama has become much easier.

One of the oldest cities in the Americas, Panama City is full of Spanish-style architectural gems.

Panama City is one of the oldest European-founded cities in the Americas. Today, its historic streets showcase a wonderful collection of Spanish colonial architecture.

Panama has also become an important regional aviation hub. Its national carrier, Copa Airlines, continues to expand its route network, connecting Panama City with major destinations throughout the Americas and several cities in Europe.

The new Norman Forster-designed airport terminal at Tocumen airport.

Copa Airlines operates from Tocumen International Airport, Panama City’s main international gateway. Growing passenger numbers have helped make Tocumen one of Central America’s busiest airports. However, the existing terminal struggled to cope with demand, prompting a major expansion.

Artwork in Panama City old town.

At the time of my visit in 2017, a new terminal designed by Norman Foster was under construction. The project aimed to increase capacity and strengthen Panama City’s position as a regional aviation hub.

Whenever I’m in Panama City, I treat myself to a new Panama hat.

Whenever I visit Panama City, I also follow a personal tradition: buying myself a new Panama hat. Interestingly, despite their name, these iconic hats actually originate in Ecuador!

Location

Panama

Panama occupies the narrow Isthmus of Panama, which connects North and South America. Thanks to this strategic location, the country has long served as an important crossroads for trade and travel.

To the northwest, Panama shares a border with Costa Rica, while Colombia lies to the southeast. Furthermore, the Caribbean Sea borders its northern coast, whereas the Pacific Ocean stretches along the south.

Panama City old town.

Of course, Panama is best known for the Panama Canal. This remarkable engineering project cuts through the isthmus and provides a vital shipping route between the Atlantic and Pacific oceans.

Flag

The flag of Panama.

Panama’s striking red, white and blue flag features four rectangular sections. Two sections are white, one is blue and one is red. Each white section contains a single star: one blue and one red.

As far as flag design goes, I think Panama’s flag is perfection!

The Panama flag and the modern skyline of Panama City, a thriving metropolis.

The colours also carry important symbolism. Blue represents the Conservative Party, while red represents the Liberal Party. White symbolises peace and purity while the blue star represents the honesty and purity of the country’s civic life, while the red star represents authority and law. Together, the stars symbolise the new republic.

Panama celebrates Flag Day every year on 4 November, the day after the country commemorates its separation from Colombia in 1903.

Sightseeing

Panama City

The Casco Antiguo (old town) of Panama City is full of Spanish architectural gems which are slowly being renovated.

Casco Antiguo

Once you arrive, you’ll find plenty of attractions to explore. Panama City combines a fascinating history with a modern skyline, making it one of Central America’s most interesting urban destinations.

The Spanish founded Panama City in 1519. Today, it stands as one of the oldest continuously inhabited European-founded settlements on the Pacific coast of the Americas.

Antique Spanish religious art in the old town.

During the colonial era, the Spanish used routes across the isthmus to transport treasures from their Pacific coast colonies in South and Central America. They then shipped these riches across the Atlantic to Spain.

Souvenir Panama flags for sale in Panama City old town.

My favourite place to explore is Casco Antiguo, the city’s historic old town. This UNESCO-listed historic district combines beautiful colonial architecture, atmospheric streets and leafy squares.

Another renovated Spanish colonial-era gem in the Casco Antiguo, Panama City.

Each time I return, I discover another restored building or a new business. The restoration work continues one building at a time, so the neighbourhood constantly evolves.

Casco Antiguo – the old town of Panama City.

The narrow cobbled streets wind past historic churches and open onto peaceful, leafy squares. Along the way, you’ll find bars, cafés, restaurants, boutiques and artists’ studios.

Consequently, Casco Antiguo makes an excellent place to wander, take photographs, enjoy a leisurely meal or pick up a souvenir. I especially enjoy its relaxed atmosphere and colourful architecture.

However, not every building has received the same attention. Some abandoned properties still await restoration, with support beams holding up their old stone façades. These contrasts add to the neighbourhood’s character and make it wonderfully photogenic.

Many buildings in Panama City old town are awaiting renovation.

Financial District

Beyond the old town, Panama City changes dramatically. The modern district features sprawling shopping malls, towering office buildings, luxury hotels and busy roads.

The financial district forms a major part of this modern landscape. Construction cranes dominate the skyline as developers continue to add new buildings at a remarkable pace.

The F&F Tower, which is located in the financial district of Panama City, has won many architectural awards.

The result is a city of contrasts. Within a short distance, you can move from centuries-old colonial streets to a contemporary business district filled with glass towers and modern architecture.

Panama Canal

The Miraflores Locks (now the old locks) are located a short bus ride from Panama City.

Beyond the capital, Panama offers plenty of opportunities for exploration. For most visitors, a trip to the Panama Canal ranks high on the sightseeing list.

The canal connects the Atlantic and Pacific oceans through a system of locks that raise and lower ships as they cross the isthmus. You can visit the Miraflores Locks on an easy half-day excursion from Panama City.

The ‘sliding’ gates on the newly expanded Lake Gatun locks.

At Miraflores, you can watch ships navigate the historic locks. The newer, larger lock complex lies farther away, so you won’t see the full scale of the canal’s expansion from this viewpoint.

The gigantic MSC Antigua entering Lake Gatun locks.

For a closer look at the expanded canal, head to the Gatun Lake lock complex on the Caribbean side. The new locks opened in 2016 and accommodate much larger vessels than the original system.

The <i>MSC Antigua</i> can carry almost 9,000 containers.

The MSC Antigua can carry almost 9,000 containers.

Watching these enormous ships navigate the locks gives you a real appreciation for the canal’s engineering and its importance to global shipping.

The MSC Antigua, inside Lake Gatun lock, being lowered to the level of the Caribbean sea.

Caribbean Coast

After visiting the canal, you can explore Panama’s many other attractions. For example, relax along the Caribbean coast, sail around the beautiful San Blas Islands or explore old Spanish coastal forts. Alternatively, go diving or snorkelling, or head to the Pacific coast for a change of scenery.

Playa Blanca on the Caribbean island of Isla Grande.

Central Highlands

If you prefer mountains to beaches, travel inland to Panama’s central highlands. Here, lush rainforests cover the slopes of extinct volcanoes, creating a beautiful landscape for hiking, birdwatching and exploring coffee farms.

The region also produces some of the world’s most sought-after coffee. In particular, Panama’s famous Geisha coffee commands exceptionally high prices. During my visit, some varieties fetched around US$260 per kilogram.

A Green violet-eared hummingbird at Finca Lerida.

The highland town of Boquete makes an excellent base for exploring this region. You can read more about the area in my report on Bird Watching in Panama.

Eating Out

Restaurant at the American Trade Hotel, Casco Antiguo – Panama City.

I always enjoy exploring the restaurants and cafés in Panama City’s old town. New venues seem to open regularly, giving visitors plenty of options.

During this trip, I returned to one of my favourite cafés, Super Gourmet. It’s an excellent choice for breakfast or lunch. Blaine, the friendly and knowledgeable American owner, makes visitors feel welcome and can tell you plenty about Panama’s coffee scene.

I especially recommend trying a cup of Geisha coffee. Although it can be expensive, its distinctive flavour makes it a memorable experience. Pair your coffee with a slice of lemon pie for an especially enjoyable treat.

For an evening out, I also recommend The Strangers Club. This stylish bar had recently opened when I visited and quickly became my favourite drinking spot in the old town.

The venue belongs to a group of cocktail bars associated with the renowned Employees Only concept, which has links to venues in cities such as New York, Macau, Singapore, London and Miami.

The cocktails, food and service impressed me. Therefore, if you’re looking for somewhere special to spend an evening in Panama City, The Strangers Club deserves a place on your list.

Accommodation

Panama City offers two very different accommodation experiences. You can stay in a beautifully restored guesthouse or boutique hotel in Casco Antiguo, or choose a modern high-rise hotel in the newer part of the city.

Both options have their advantages. The old town puts you close to historic buildings, restaurants and cafés. In contrast, the modern district offers contemporary hotels, shopping malls and sweeping city views.

Many modern hotels line the waterfront. A five-kilometre promenade and cycleway runs along the bay, providing a pleasant place to walk, jog or cycle in the evening alongside local residents.

My pick among the modern waterfront hotels was the Hard Rock Hotel. It combines five-star accommodation with a music-themed experience reminiscent of the Rock & Roll Hall of Fame. I also enjoyed its excellent breakfast.

Shopping

Interestingly, despite their name, Panama hats actually originate in Ecuador.

Panama City offers a wide range of shopping opportunities. In Casco Antiguo, you can browse upmarket boutiques, visit artists’ studios and pick up inexpensive souvenirs from colourful street stalls.

For a much larger shopping experience, head to Albrook Mall in the modern part of the city. This sprawling complex ranks among Panama’s major shopping destinations and attracts visitors from across the region.

Many shoppers come to Albrook to find international brands and products that may not be available in their home countries. Prices can also be competitive, making the mall a popular stop for bargain hunters.

An old advertisement for Panama Hats in Panama old town.

You can also visit Multicentro, which stands near the Hard Rock Hotel. Alternatively, try Multiplaza Pacific, a more upscale mall with a wide selection of international brands. You can reach it with a short taxi ride from the Hard Rock.

Furthermore, whether you’re looking for souvenirs, designer goods or everyday essentials, Panama City offers plenty of shopping options.