Panama is known as the "Crossroads of the Americas" due to its privileged position between North and South America. The indigenous meaning of the country's name, "abundance of fish", reflects Panama's reputation as a paradise for water sports enthusiasts and eco-tourists alike. Panama is also known for its highly developed international banking sector and it boasts a large expat community; about 25,000 US citizens live in country. Panama borders both the Caribbean Sea and the Pacific Ocean, between Colombia and Costa Rica.

Its location on the eastern end of the Isthmus of Panama, a land bridge connecting North and South America, is strategic. By 1999, Panama controlled the Panama Canal that links the North Atlantic Ocean via the Caribbean Sea with the North Pacific Ocean.

A nearly impenetrable jungle forms the Darién Gap between Panama and Colombia. It creates a break in the Pan-American Highway, which otherwise forms a complete road from Alaska to Patagonia. Panama is an amazing country of unusual wildlife and impenetrable jungle, with vast coastal plains, gently rolling hills and steep, jagged mountain ranges. Although for years Panama has been overlooked by tourists, in favour of its more well-known neighbours, it is finally coming into its own with the tourist infrastructure gaining strength day by day.

Official Tourism Body: Instituto Panameño de Turismo (IPAT)

EXCHANGE_RATE: US Dollar rate

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Most areas are quite warm, but a few places, such as Boquete, Cerro Punta and El Valle can get a little chilly at night. You definitely want a heavy rain-proof jacket if you're going to the top of Barú since you will be above 3000m for a little while. The weather is mostly hot and humid, with a prolonged rainy season from May to January. The average temperature is 27°C.

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Public holidays in Panama include the usual religious holidays of Christmas, Easter and New Year. There are also many holidays honouring events of the past, such as Martyrs Day, celebrated on the 9th January. The 3rd and 4th November are celebrated honouring Panama’s independence from Colombia and their independence from Spain is celebrated on the 28th November.

Panama has one of the most advanced telecommunications systems in Latin America. This is due to the fact that most mayor submarine fibre cables cross the Panama Canal, either by land or water. Calls to the USA and Europe are between 4 and 10 cents a minute. The best way to make international calls from Panama is to buy prepaid telephone cards that are sold in most shops. The most popular is the ClaroCOM card. These cards work everywhere, they even work in the USA, Mexico, Europe, Brazil, Costa Rica and Colombia. Panama’s Country Code is 507. All mobile numbers start with the number 6 and have 8 digits.

Emergency numbers are: Police -104, Tourism Police - 211-3811, Fire Department – 103, ALERTA - 269-1111 and Red Cross - 228-2187.

There are many hospitals in Panama that give tourists first class attention. Most take international insurance policies, though your insurance company may require you to pre-pay and submit a claim form. Verify with your company prior to travel what the requirements are for filing a foreign claim, as you will not typically be provided with a detailed receipt (one that includes diagnosis and treatment codes) unless you ask for it. Yellow fever vaccination is recommended for all visitors over 9 months of age travelling to the provinces of Darién, Kunayala (San Blas) and Panama, excluding the Canal Zone. Most countries require proof of a yellow fever vaccination before permitting travellers to enter from Panama. There is a risk of malaria in the rural areas of Bocas del Toro, Darién and San Blas, but there is no risk in Panama City or in the former Canal Zone. Note that Chloroquine is no longer effective for the San Blas Province.

Other recommended vaccinations are hepatitis A & B and typhoid, though there are not mandatory ones. Tap water is safe in virtually all cities and towns, with the exception of Bocas del Toro, where bottled water is recommended. Bottled water is available in most places so if you’d rather err on the side of caution then you do not have to drink the tap water. Also be careful about what you eat to try and avoid upsetting your stomach.

Most international flights arrive at Tocumen International Airport, which lies about 35km east of Panama City. You can drive across the border at Paso Canoas (Pacific side), but be aware that it is one of the busiest (if not the busiest) and most disorganized border crossings in Central America. It is very easy to accidentally drive across the border without realizing it. The various offices at the border are randomly scattered throughout the border town, and you can do quite a bit of trekking while finding them, as they don't look distinct from the surrounding buildings in any way. This is one crossing where it is definitely worth your money to hire a translator to help you through the stations, if you do not speak Spanish.

There are also road crossings at Rio Sereno (Pacific side) and Sixaola/Guabito (Atlantic side). The Rio Sereno crossing sees very little traffic, so make sure all your papers are in order, as police can be very strict. If you enter the country with a car then you cannot leave without it unless you have the proper importation stamp in your passport.

You can't cross from Colombia into Panama by bus because of the Darién Gap. If you're coming in from Costa Rica it will be a bit easier. Panaline and Ticabus, among others, can get you straight from San José in Costa Rica to David or Panama City. The trip from San José is quite cheap, but takes about 18 hours. If you want to stop and sightsee along the way you can also go by local bus, although the trip will take much longer.

It is possible to arrange for passage on banana boats travelling from Ecuador, Columbia, and Venezuela, but such passage is recommended only for the truly adventurous, as the boats are often structurally unsound, terribly over-burdened, and are very likely to be smuggling drugs as well. Private sailboats also provide service between Panama and Colombia, with the most common ports-of-call Portobelo on Panama's Caribbean coast, and Cartagena on Colombia's. The trip can take from three to five days, depending if a visit to the San Blas Islands is included (most captains will include a visit if asked).
The best way to find a boat is to ask around the hostels in Panama City. It is possible to hike across the Darién Gap from Colombia with the help of trained guides, but this route is generally considered one of the most dangerous in the world. A large percentage of attempts have ended with the trekkers dead as victims of Colombian guerrillas or the oppressive jungle environment, which is considered the densest and most difficult to breach in the world. Despite the bravado-filled tales of backpackers who will try to convince you that real travellers aren't afraid to cross the Gap, it really is a very dangerous trip and the Panamanian police are not interested in going in to look for you if you get into trouble.

Panama has more private airstrips per square mile than any other country in the world; many of the remote interior regions of the country are best accessed by private plane, although combinations of hiking and canoing can get you to most places, too. Many cruise lines have the Panama Canal on their itineraries. You can arrange tours from Panama City or Colón City.

There are two kinds of buses in Panama. The ones you find on the highway, and "city buses". The highway buses are constantly making journeys from terminals in Panama City to different destinations along the Pan American Highway, and back to the terminals. They're pretty frequent, and the buses will pick you up or drop you off at any point along their route, and most of them are air conditioned. The roughly linear shape of the country makes it ideal for a bus system, so ideal in fact that you don't really need to rent a car to get around most areas. The locals are very helpful with tourists on buses, and may offer help.

City buses are different. They are overcrowded, decoratively painted school buses, often without air-conditioning, with a flat rate of 25 cents to any location in Panama City. They have a reputation for being dangerous, both in driving and the likelihood of encountering criminals. They can be fun to take a couple of times, but once you've done it, it’s best to take a taxi, which won't be that much more expensive anyway. They definitely have a particular style apart from other Central American countries. They look as if a bunch of 60's hippies decided to drive as far south as they could go in school buses, and when they could go no further, they stopped and started a bus company. If you like Salsa Music, you'll be happy as a clam on these buses. Most locals aren't. If your destination actually happens to lie far off the bus route, or if you just want to be lazy, taxis are a decent, inexpensive way to get around in Panama.

There is a departure tax of about US$20 to pay at the airport if you are leaving Panama by plane. If you plan to drive out of Panama then the only place you can cross the border is in the north, at Paso Canoas into Costa Rica. You will most likely have to wait around for a long time before all your documents are in order and have been stamped and you are allowed to cross the border.

Panama had a rich Pre-Colombian heritage of native populations whose presence stretches back over 12,000 years. Central Panama was home to some of the first pottery-making villages in the Americas, such as the Monagrillo culture dating to about 2500-1700 BC. These evolved into significant populations that are best known through the spectacular burials of the Conte site (dating to c. AD 500-900) and the beautiful polychrome pottery of the Coclé style. At the time of European conquest, the indigenous population of the isthmus was said to be between one and two million people. Panama was explored and settled by the Spanish in the 16th century. In 1821, under the leadership of José de Fábrega, it broke with the Spanish Crown and joined Simón Bolívar's Republic of Gran Colombia. When this dissolved in 1830, Panama remained part of Colombia.

On 3 November 1903, Panama declared its independence from Colombia. The United States, as the first country to recognize the new Republic of Panama, sent troops to protect its economic interests. In December 1903, Mr. Phillipe Bunau Varilla –a French citizen who was not authorized to sign any treaties on behalf of Panama without the review of the Panamanians– signed unilaterally the Hay-Bunau Varilla Treaty which granted rights to the United States to build and administrate indefinitely the Panama Canal, which was opened in 1914.

This treaty became a contentious diplomatic issue between the two countries, reaching a boiling point on Martyr's Day (9 January 1964). The issues were resolved with the signing of the Torrijos-Carter Treaties in 1977. Under the Torrijos-Carter Treaties, the United States returned all canal-related lands to Panama on 31 December 1999, but reserves the right to military intervention in the interest of its national security. Panama also gained control of canal-related buildings and infrastructure as well as full administration of the canal. The people of Panama have already approved the widening of the canal which, after completion, will allow for post-Panamax vessels to travel through it, increasing the number of ships that currently use the canal.