Highlights
The Panama Canal is the essential sight — watch colossal ships transit the locks at the Miraflores visitor centre, or take a partial transit yourself to grasp one of history's great engineering feats. Panama City pairs a Miami-like skyline with the atmospheric, UNESCO-listed Casco Viejo — restored colonial streets, rooftop bars, plazas and churches — and the ruins of the original Panamá Viejo.
The San Blas Islands (Guna Yala) are a dream — hundreds of tiny palm-topped Caribbean isles governed by the indigenous Guna people, offering castaway beaches, molas (traditional textiles) and simple island stays. On the other Caribbean shore, Bocas del Toro is a laid-back archipelago of surf, snorkelling, jungle and backpacker energy.
Inland, the cool highland town of Boquete is coffee country and a base for hiking (including Volcán Barú, from which you can glimpse both oceans), birding for the resplendent quetzal, and rafting. Add the Pearl Islands, wildlife-rich rainforests and Emberá village visits for a rich, varied trip.
When to go
December to April (the dry season) is the best time — sunny, less humid and ideal for the beaches, islands, city and canal, and prime for the Pacific coast.
The rainy season (May to December) brings lush green rainforest, afternoon downpours and fewer crowds, though the Caribbean side (Bocas del Toro, San Blas) has its own quirky pattern and can be pleasant. Panama sits near the equator, so it's warm and humid year-round, cooler in the highlands. For the driest, easiest travel and beach time, aim for December to April, avoiding the peak festival crush around Carnival.
Visa & entry
Many nationalities (including the EU, UK, US, Canada, Australia) can enter Panama visa-free for tourist stays (commonly up to 90-180 days), with a passport valid three to six months, proof of onward travel and sometimes proof of funds required.
Confirm the current visa-free allowance and any entry requirements for your nationality with a Panamanian embassy or official sources before you travel, as rules can change. Trips onward to the San Blas region involve entering Guna Yala's autonomous territory, which may have its own small fees.
Health & safety
Panama is one of Central America's safer, more developed countries, and tourist areas are generally comfortable with normal precautions. Petty theft occurs in Panama City (keep valuables secure, use ride-hailing at night) and some neighbourhoods are best avoided.
The critical no-go is the Darién Gap on the Colombian border — a dangerous, lawless jungle region that must not be attempted overland. Rip currents affect some beaches, and rainforest and volcano hikes need guides and preparation. Drink bottled water outside the city. Healthcare is good in the capital. Check your government's current travel advisory before departure.
Getting around
Panama City has a modern metro, buses and cheap ride-hailing (Uber), the easiest way around the capital. For the interior and Pacific beaches, comfortable long-distance buses run on the Pan-American Highway, and a hire car offers flexibility on decent roads.
Reaching the islands involves flights or boats: domestic flights (from Panama City) serve Bocas del Toro and other regions, while San Blas is accessed by 4x4-and-boat transfers or small planes. Water taxis connect the Bocas archipelago. Given the mix of city, mountains and islands, most itineraries combine a couple of short flights with buses or a car.
Money
Panama uses the US dollar as its everyday currency (the Balboa is pegged 1:1 and exists mainly as coins), making it very convenient for many visitors — no exchange needed if arriving with dollars. Cards are widely accepted in the city, resorts and larger establishments, and ATMs are plentiful, but carry cash (small US bills) for islands, rural areas, San Blas, markets and tips, where card acceptance is limited.
Panama is moderately priced. Tipping is customary — around 10% in restaurants (check if service is included), and small tips for guides, drivers and hotel staff.