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The skyline of Panama City with its skyscrapers in the financial district at sunset, Panama.

Panama City Vacations and Tour Packages

Financial District

Overview

Take a trip to Panama City on your Panama Vacation

Panama City is the political and administrative centre of the country and is also its capital and largest city. Located in the Pacific entrance of the world-famous Panama Canal, Panama City hosts many high-rise buildings yet is surrounded by tropical rainforests to be enjoyed on Panama vacation.

The city was founded in August 1519 by Spanish conquistador Pedro Arias Dávila. It became a stopover point on the trade route from which all the gold and silver that Spain took from the Americas passed through. It was also the starting point for the expeditions that eventually conquered Peru’s Inca Empire. Pirate Henry Morgan destroyed the city by setting fire to it in 1671 and the inhabitants were forced to resettle 8 km (4.9 mi) away. This new city was re-established on 28 January 1673 and the old city’s ruins are a popular tourist destination.  Panama City became the capital of the country upon independence from Colombia in 1903.

Today Panama City is by far the wealthiest city in Central America. With the completion of the Panama Canal in 1914, the city became a hub for international business. Despite being a modern and cosmopolitan area, Panama City still maintains ties to its past including the UNESCO World Heritage-listed Panamá Viejo, the site of the original city. Not far from comfortable hotels visitors on Panama vacations have the opportunity to embark on journeys through the spectacular rainforest making Panama City a destination that truly has it all.

At a Glance

Languages

Spanish

Currency

Panamanian Balboa (PAB)

What do the experts say?

Amanda De Oliveira

Amanda De Oliveira

Destination Specialist
Learn More About This Expert
U.S. dollars are used interchangeably with Panamanian balboas (at a 1:1 rate). There’s no need to exchange currency if you’re carrying U.S. cash.
Amanda De Oliveira

Amanda De Oliveira

Destination Specialist
Learn More About This Expert
Many assume Panama is just about the canal. In reality, it’s also a paradise for beaches, highlands, and indigenous culture — from Caribbean islands like the San Blas to the coffee region of Boquete.
Amanda De Oliveira

Amanda De Oliveira

Destination Specialist
Learn More About This Expert
Panama has more bird species than the United States and Canada combined — over 1,000. For birdwatchers, it’s one of the richest destinations in the world.
Samy Koussa

Samy Koussa

Team Lead
Learn More About This Expert
A visit to an Emberá indigenous village along the Chagres River is a cultural highlight — arriving by dugout canoe, sharing traditional food, and learning about their way of life in the rainforest.
Samy Koussa

Samy Koussa

Team Lead
Learn More About This Expert
Globetrotters should ensure they visit Isla Coiba, a UNESCO World Heritage site. Once a penal colony, today it’s one of the best diving and snorkeling spots in the Americas, often compared to the Galápagos for its marine biodiversity.

Most Popular Time to Travel

Know when to go.

Place
Conditions
Daily max temperatureMonthly rainfall
Panama CityOccasional Showers
33°C / 92°F
90mm / 3.5"
Weather data is based on monthly averages.
-
Popularity rating

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