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Panama, Panama, Panama
Greetings from Panama! My name is Marina Ehrman and I have been a professional tour guide and promoter for Panama Tourism and Travel Company since 2005. I love what I do and am proud to share what my country has to offer. It is filled with endless leisure and commercial attractions, friendly happy people who open their doors to all visitors. Panama is a country of incomparable natural beauty with a variety of tourist attractions, beautiful beaches in the Pacific and Caribbean. The tropical climate year round with its diversified flora, fauna and indigenous groups make it one of the most important of Ecotourism in Latin America. I invite you to know our country’s history, culture and also enjoy the cuisine, folklore and traditions that only a place in the world can provide………Panama! Contact me and I’ll organize your visit and will be happy to welcome you in Panama. For more information on Panama, follow my Facebook page and my blog. Visit
Showing posts with label Panama Economy. Show all posts
Showing posts with label Panama Economy. Show all posts

FAQ: What’s the basis for the Panama’s economy?

Panama is a primarily service-based economy. Services include the Panama Canal, logistical services, tourism, the largest free trade zone in the Americas, and an international banking center with over 100 banks. Because of the high quality of life, many companies are making their Latin American corporate headquarters in Panama. There are also tax incentives and special economic zones for businesses and corporate headquarters.

Bananas, shrimp and coffee are the major agricultural exports.

Panama Economy

Panama is a growing country and can be considered a first world country by many ways. Panama is predicted to be the fastest growing Latin American country. Due to its location and other such factors Panama’s primary location comes from banking private firms and real estate in Panama. Buying and selling of Panama property is relatively profitable and property development is a big business in Panama. Also Panama earns over a billion every year from tourism contributing in a big way towards the economy of Panama. After the canal and the military installation have been handed over to the United States of America there has been a lot of development in the recent times in the economy of Panama.

There has been a lot of development projects planned which would improve tourism as well as business in Panama. There has been many structural reforms undertaken that have resulted in a growing economy and this has resulted in the rapid development in the growth of value of Panama real estate. The various reforms have encouraged architecture, planning, investment and tourism which have greatly helped in increase the economy of the country.

The canal is again undergoing huge reforms and expansion which is further set to improve the economy of the country. The national revenue is put to good use by development of land and property that would develop further revenue. A lot of planning and care is undertaken so that the money of the investors of Panama real estate is safe guarded. This encourages more and more investors to invest into Panama real estate. Also there are many tax benefits in Panama. This largely reduces the cost of living in Panama.

Panama has the largest free trade zone in the whole of the western hemisphere. This has greatly contributed to the development of the value of Panama real estate. Also the trade and exportation of coffee greatly supports the economy. The high levels of globalization have led to a multi cultured environment in Panama. This only results in the increased number of investors in Panama real estate. People who are looking to invest money on real estate business firms’ etc. invest in Panama property knowing that there will be good returns. With the growing and developing state of economy there is very little rate of inflation.

The citizens of Panama have undergone very little rates of inflation and the cost of living basically remains less. The highland climates are also known to promote Panama real estate and property development. This increases the investments in the country as well as investor potential in the country. Also the tourism industry benefits a big way from the natural beauty that is available in the country. The tourism industry is a steady source of economy and will continue to be so for years to come. This industry is also responsible for the development of real estate in the country. People who come here on vacations most often buy Panama property and settle down here. This adds to the economy of the country by promoting buying and selling of real estate.

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Panama is the capital and largest city of the Republic of Panama. It has a population of 880,691, with a total metro population of 1,272,672, and it is located at the Pacific entrance of the Panama Canal, in the province of the same name. The city is the political and administrative center of the country, and a hub for international banking and commerce.It is considered a Gamma World City.

With an average GDP per capita of $11,700,  Panama has been among the top five places for retirement in the world, according to International Living magazine. Panama City has a dense skyline of mostly highrise buildings, and it is surrounded by a large belt of tropical rainforest. It has an advanced communications system, Internet use is widespread; and Panama's Tocumen International Airport, the largest and busiest airport in Central America, offers daily flights to major international destinations. Panama City was chosen to be the American Capital of Culture for 2003 (jointly, with Curitiba, Brazil).


Panama was founded on August 15, 1519 by the Spanish conquistador Pedro Arias de Ávila. The city was the starting point of expeditions that conquered the Inca Empire in Peru (1532). It was a stopover point of one of the most important trade routes in the history of the American continent leading to the fairs of Nombre de Dios and Portobelo, where most of the gold and silver that Spain took from the Americas passed through.  The city was destroyed by a devastating fire, when the pirate Henry Morgan sacked it on January 28, 1671. It was rebuilt and formally established on January 21, 1673 in a peninsula located 8 km from the original settlement. The place where the previously devastated city was located is still in ruins, and has become a tourist attraction known as "Panama Viejo".


Panama is located between the Pacific Ocean and tropical rain forest. The Parque Natural Metropolitano (Metropolitan Nature Park), stretching from Panama along the Panama Canal, has unique bird species and other animals such as tapir, puma, alligators, etc. At the Pacific entrance of the canal is the Centro de Exhibiciones Marinas (Marine Exhibitions Center), a research center for those interested in tropical marine life and ecology. Centro de Exhibiciones Marinas is managed by the Smithsonian Tropical Research Institute.  Tropical forests around Panama are vital for the functioning of the Panama Canal. These forests provide the canal with the water required for its operation (a rare example of a vast engineering project in the middle of the forest which actually helped preserve that forest). Due to the importance of the Canal to the Panamanian economy, tropical forests around the canal have been kept in an almost pristine state. Along the western side of the Canal is the Parque Nacional Soberania (Sovereignty National Park) which includes Summit botanical gardens and a zoo. In this national park, the best known trail is the Pipeline Road, popular among birdwatchers.


Under the Köppen climate classification, panama  Panama City has a tropical wet and dry climate. Panama City sees 1900 mm of precipitation annually. The dry season spans from January through to April and the wet season spans the remainder of the year. Temperatures remain constant throughout the year averaging around 27 °C (81 °F).   

Panama's old quarter features many architectural styles, from Spanish colonial buildings to French and Antillean townhouses built during the construction of the Panama Canal. The more modern areas of the city have many high-rise buildings, which together form a very dense skyline. There are currently more than 110 high-rise projects being constructed, with 127 high-rise buildings already built.The city holds the 39th place in the world by highrise buildings count.  The Centennial Bridge, that crosses the Panama Canal earned the American Segmental Bridge Institute prize of excellence together with seven other bridges in the Americas.

Being the economic and financial center of the country, Panama City's economy is service-based, heavily weighted toward banking, commerce, and tourism. The economy is dependent, to a significant extent, on trade and shipping activities, associated to the Panama Canal, and port facilities located in Balboa. The city has benefited from significant economic growth in the latest years, mainly due to the ongoing expansion of the Panama Canal, an increase in real estate investment, and a relatively stable banking sector. There are around eighty banks in the city, with at least fifteen of them being national.

Panama city is responsible for the production of about 55% of the country's GDP. This is because most Panama businesses and premises are located in the city and its metro area. It is a stopover for other destinations in the country as well as a tourist destination in its own right.

Tourism is one of the most important economic activities in terms of revenue generation. Hotel occupancy rate has always been relatively high for the city, having reached the second highest for any city outside the United States in 2008; after Perth and followed by Dubai. However, hotel occupancy rates have dropped since 2009, probably due to the opening of many new luxury hotels. Several international brands, such as Le Méridien, Radisson and RIU, have opened or plan to open new hotels in the city;  along with the previously operating ones under Marriot, Sheraton, InterContinental, and many other foreign and local brands. Also, the Trump Organization is currently building the Trump Ocean Club, their first investment in Central America;  and Hilton Worldwide plans to open The  Panamera, the first Waldorf-Astoria Hotel in all Latin America.   For tour package visit this website


The City proper has around 813,097 inhabitants in the 23 Panama City boroughs. The city, like all of Panama, is ethnically mixed, with mestizos, mulattos, Whites, and Asians all living together