Background: Explored and settled by the Spanish in the 16th century, Panama broke with Spain in 1821 and joined a union of Colombia, Ecuador, and Venezuela that was named the Republic of Gran Colombia. When the union dissolved in 1830, Panama remained part of Colombia. With US backing, Panama seceded from Colombia in 1903 and promptly signed a treaty with the US allowing for the construction of a canal and US sovereignty over a strip of land known as the Panama Canal Zone on either side of the structure. The US Army Corps of Engineers built the Panama Canal between 1904 and 1914. In 1977, an agreement was signed for the complete transfer of the Canal from the US to Panama by the end of the century. Certain portions of the Zone and increasing responsibility over the Canal were turned over in the subsequent decades. With US help, Panamanian dictator Manuel NORIEGA was deposed in 1989. The entire Panama Canal, the area supporting the Canal, and remaining US military bases were transferred to Panama by the end of 1999. An ambitious expansion project to more than double the Canal's capacity by allowing for more Canal transits and larger ships was carried out between 2007 and 2016.

Area
Total: 75,420 km²
Land: 74,340 km²
Water: 1,080 km²
Comparative: slightly smaller than South Carolina

Land boundaries
Total: 687 km
Border countries (2): (2) Colombia 339 km; Costa Rica 348 km

Coastline: 2,490 km

Maritime claims
Territorial sea: 12 nm
Contiguous zone: 24 nm
Exclusive economic zone: 200 nm or edge of continental margin

Climate: tropical maritime; hot, humid, cloudy; prolonged rainy season (May to January), short dry season (January to May)

Terrain: interior mostly steep, rugged mountains with dissected, upland plains; coastal plains with rolling hills

Elevation
Highest point: Volcan Baru 3,475 m
Lowest point: Pacific Ocean 0 m
Mean elevation: 360 m

Land use
Agricultural land: 29.5% (2023 est.)
Arable land: 7.6% (2023 est.)
Permanent crops: 1.6% (2023 est.)
Permanent pasture: 20.3% (2023 est.)
Forest: 62.3% (2023 est.)
Other: 8.2% (2023 est.)

Irrigated land: 394 km² (2022)

Natural hazards: occasional severe storms and forest fires in the Darien area

Geography
Note: strategic location on eastern end of isthmus forming land bridge that connects North and South America; controls the Panama Canal, which links the North Atlantic Ocean with the North Pacific Ocean via the Caribbean Sea

Population
Total: 4,470,241 (2024 est.)
Male: 2,251,257
Female: 2,218,984
Distribution: population is concentrated towards the center of the country, particularly around the Canal, but a sizeable segment of the populace also lives in the far west around David; the eastern third of the country is sparsely inhabited
Growth rate: 1.48% (2024 est.)

Languages: Spanish (official), Indigenous languages (including Ngabere (Guaymi), Buglere, Kuna, Embera, Wounaan, Naso (Teribe), and Bri Bri), Panamanian English Creole (a mixture of English and Spanish with elements of Ngabere, also known as Guari Guari and Colon Creole), English, Chinese (Yue and Hakka), Arabic, French Creole, other (Yiddish, Hebrew, Korean, Japanese)
Major-language sample(s): ; La Libreta Informativa del Mundo, la fuente indispensable de información básica. (Spanish); The World Factbook, the indispensable source for basic information.

Religions: Evangelical 55%, Roman Catholic 33.4%, none 10.1%, unspecified 1.5% (2023 est.)

Age structure
0-14 years: 25% (male 574,336/female 544,180)
15-64 years: 64.8% (male 1,465,907/female 1,433,023)
65 years and over: 10.1% (2024 est.) (male 211,014/female 241,781)

Dependency ratios
Total dependency ratio: 54.2 (2024 est.)
Youth dependency ratio: 38.6 (2024 est.)
Elderly dependency ratio: 15.6 (2024 est.)
Potential support ratio: 6.4 (2024 est.)

Median age
Total: 31.5 years (2024 est.)
Male: 31 years
Female: 31.9 years

Population growth rate: 1.48% (2024 est.)

Birth rate: 17.4 births/1,000 population (2024 est.)

Death rate: 5.7 deaths/1,000 population (2024 est.)

Population distribution: population is concentrated towards the center of the country, particularly around the Canal, but a sizeable segment of the populace also lives in the far west around David; the eastern third of the country is sparsely inhabited

Urbanization
Urban population: 69.5% of total population (2023)
Rate of urbanization: 1.92% annual rate of change (2020-25 est.)

Major urban areas
Population: 1.977 million PANAMA CITY (capital) (2023)

Sex ratio
At birth: 1.06 male(s)/female
0-14 years: 1.06 male(s)/female
15-64 years: 1.02 male(s)/female
65 years and over: 0.87 male(s)/female
Total population: 1.02 male(s)/female (2024 est.)

Maternal mortality ratio: 37 deaths/100,000 live births (2023 est.)

Infant mortality rate
Total: 14.2 deaths/1,000 live births (2024 est.)
Male: 15.4 deaths/1,000 live births
Female: 12.9 deaths/1,000 live births

Life expectancy at birth
Total population: 79.2 years (2024 est.)
Male: 76.4 years
Female: 82.2 years

Total fertility rate: 2.35 children born/woman (2024 est.)

Drinking water source
Urban: 1.5% of population (2022 est.)
Rural: 13.9% of population (2022 est.)
Total: 5.3% of population (2022 est.)

Sanitation facility access
Urban: 3.9% of population (2022 est.)
Rural: 29.9% of population (2022 est.)
Total: 12% of population (2022 est.)

Children under the age of 5 years underweight: 2.9% (2019 est.)

Youth unemployment
Rate (ages 15-24): 6.6% (2024 est.); 6.6% (2023 est.); 8.1% (2022 est.)
Rate (ages 15-24) note: % of labor force seeking employment

Capital
Name: Panama City
Geographic coordinates: 8 58 N, 79 32 W
Time difference: UTC-5 (same time as Washington, DC, during Standard Time)
Etymology: origin is unclear; may come from a Guaraní word meaning 'place of many fish'

Administrative divisions: 10 provinces (provincias, singular - provincia) and 4 indigenous regions* (comarcas); Bocas del Toro, Chiriquí, Coclé, Colon, Darien, Embera-Wounaan*, Guna Yala*, Herrera, Los Santos, Naso Tjer Di*, Ngabe-Bugle*, Panama, Panama Oeste, Veraguas

Legal system: civil law system; Supreme Court of Justice reviews legislative acts

International law organization participation: accepts compulsory ICJ jurisdiction with reservations; accepts ICCt jurisdiction

Executive branch
Chief of state: President José Raúl MULINO Quintero (since 1 July 2024)
Head of government: President José Raúl MULINO Quintero (since 1 July 2024)
Cabinet: Cabinet appointed by the president
Election/appointment process: president and vice president directly elected on the same ballot by simple-majority popular vote for a 5-year term; president eligible for a single non-consecutive term)
Most recent election date: 5 May 2024
2024: José Raúl MULINO Quintero elected president; percent of vote - José Raúl MULINO Quintero (RM) 34.2%, Ricardo Alberto LOMBANA González (MOCA) 24.6%, Martín Erasto TORRIJOS Espino (PP) 16%, Alberto ROUX Moses (CD) 11.4%, Zulay RODRÍGUEZ Lu (independent) 6.6%, José Gabriel CARRIZO Jaén (PRD) 5.9%, other 1.3%
2019: Laurentino 'Nito' CORTIZO Cohen elected president; percent of vote - Laurentino CORTIZO Cohen (PRD) 33.3%, Romulo ROUX (CD) 31%, Ricardo LOMBANA (independent) 18.8%, Jose BLANDON (Panameñista Party) 10.8%, Ana Matilde GOMEZ Ruiloba (independent) 4.8%, other 1.3%
Expected date of next election: May 2,029
Note: the president is both chief of state and head of government

Legislative branch
Legislature name: National Assembly (Asamblea Nacional)
Legislative structure: unicameral
Number of seats: 71 (all directly elected)
Electoral system: mixed system
Scope of elections: full renewal
Term in office: 5 years
Most recent election date: 5/5/2024
Parties elected and seats per party: Realizing Goals (RM) (14); Democratic Revolutionary Party (PRD) (13); Democratic Change (CD) (8); Panamenista Party (8); Independents (20); Other (8)
Percentage of women in chamber: 21.7%
Expected date of next election: May 2,029

Flag description: divided into four equal rectangles; one of the top quadrants is white (left side) with a five-pointed blue star in the center, and the other is plain red; one of the bottom quadrants is plain blue (left side), and the other is white with a five-pointed red star in the center

National anthem
Title: 'Himno Istmeno' (Isthmus Hymn)
Lyrics/music: Jeronimo DE LA OSSA/Santos A. JORGE
History: adopted 1925

National heritage
Total World Heritage Sites: 6 (3 cultural, 3 natural)
Selected World Heritage Site locales:

Real gdp growth rate: 2.9% (2024 est.); 7.4% (2023 est.); 10.8% (2022 est.)
Note: annual GDP % growth based on constant local currency

Real gdp per capita: 2.9% (2024 est.); 7.4% (2023 est.); 10.8% (2022 est.)
Note: annual GDP % growth based on constant local currency

Gdp composition by end use
Household consumption: 46.7% (2023 est.)
Government consumption: 12.2% (2023 est.)
Investment in fixed capital: 32.3% (2023 est.)
Investment in inventories: 5.4% (2023 est.)
Exports of goods and services: 46.5% (2023 est.)
Imports of goods and services: -43.1% (2023 est.)
Note: figures may not total 100% due to rounding or gaps in data collection

Gdp composition by sector of origin
Agriculture: 2.6% (2024 est.)
Industry: 26.3% (2024 est.)
Services: 68.8% (2024 est.)
Note: figures may not total 100% due to non-allocated consumption not captured in sector-reported data

Industries: construction, brewing, cement and other construction materials, sugar milling

Industrial production growth rate: -2.6% (2024 est.)
Note: annual % change in industrial value added based on constant local currency

Labor force: 2.206 million (2024 est.)
Note: number of people ages 15 or older who are employed or seeking work

Unemployment rate: 6.6% (2024 est.); 6.6% (2023 est.); 8.1% (2022 est.)
Note: % of labor force seeking employment

Youth unemployment
Rate (ages 15-24): 6.6% (2024 est.); 6.6% (2023 est.); 8.1% (2022 est.)
Rate (ages 15-24) note: % of labor force seeking employment

Budget
Revenues: $7.57 billion (2021 est.)
Expenditures: $12.046 billion (2021 est.)
Note: central government revenues and expenses (excluding grants/extrabudgetary units/social security funds) converted to US dollars at average official exchange rate for year indicated

Taxes and other revenues: 7.5% (of GDP) (2021 est.)
Note: central government tax revenue as a % of GDP

Exports: $37.376 billion (2024 est.); $37.905 billion (2023 est.); $35.717 billion (2022 est.)
Note: balance of payments - exports of goods and services in current dollars
Commodities: copper ore, ships, refined petroleum, bananas, fish (2023)
Commodities note: top five export commodities based on value in dollars

Imports: $30.887 billion (2024 est.); $35.927 billion (2023 est.); $32.646 billion (2022 est.)
Note: balance of payments - imports of goods and services in current dollars
Commodities: crude petroleum, ships, refined petroleum, nitrogen compounds, cars (2023)
Commodities note: top five import commodities based on value in dollars

Electricity
Installed generating capacity: 4.485 million kW (2023 est.)
Consumption: 11.777 billion kWh (2023 est.)
Exports: 404.9 million kWh (2023 est.)
Imports: 234 million kWh (2023 est.)
Transmission/distribution losses: 924.16 million kWh (2023 est.)
Access electrification - total population: 95% (2022 est.)
Access electrification - urban areas: 99%
Access electrification - rural areas: 100%
Generation sources fossil fuels: 38.2% of total installed capacity (2023 est.)
Generation sources solar: 6.8% of total installed capacity (2023 est.)
Generation sources wind: 6.9% of total installed capacity (2023 est.)
Generation sources hydroelectricity: 47.8% of total installed capacity (2023 est.)
Generation sources biomass and waste: 0.3% of total installed capacity (2023 est.)

Coal
Consumption: 863,000 metric tons (2023 est.)
Imports: 863,000 metric tons (2023 est.)

Petroleum
Refined petroleum consumption: 131,000 bbl/day (2023 est.)

Natural gas
Consumption: 564.786 million cubic meters (2023 est.)
Imports: 564.786 million cubic meters (2023 est.)

Carbon dioxide emissions: 23.458 million metric tonnes of CO&sub2; (2023 est.)
From coal and metallurgical coke: 1.969 million metric tonnes of CO&sub2; (2023 est.)
From petroleum and other liquids: 20.389 million metric tonnes of CO&sub2; (2023 est.)
From consumed natural gas: 1.101 million metric tonnes of CO&sub2; (2023 est.)

Energy consumption per capita: 78.01 million Btu/person (2023 est.)

Telephones
Fixed lines total subscriptions: 811,000 (2023 est.)
Fixed lines subscriptions per 100 inhabitants: 18 (2023 est.)
Mobile cellular total subscriptions: 6.98 million (2023 est.)
Mobile cellular subscriptions per 100 inhabitants: 156 (2022 est.)

Internet
Users percent of population: 78% (2023 est.)

Broadband fixed subscriptions
Total: 809,000 (2023 est.)
Subscriptions per 100 inhabitants: 18 (2023 est.)

Military expenditures: 1.1% of GDP (2024 est.); 1.1% of GDP (2023 est.); 1.2% of GDP (2022 est.); 1.3% of GDP (2021 est.); 1.4% of GDP (2020 est.)

Airports: 77 (2025)

Heliports: 1 (2025)

Railways
Total: 77 km (2014)
Standard gauge: 77 km (2014) 1.435-m gauge

Merchant marine
Total: 8,174 (2023)
By type: bulk carrier 2,732, container ship 671, general cargo 1,428, oil tanker 866, other 2,477