Panama City, a vibrant metropolis, holds the distinguished title of the national capital of the Republic of Panama. Nestled in the east-central region of the country, it strategically sits near the Pacific Ocean terminus of the world-renowned Panama Canal, gracing the shores of the Gulf of Panama. This bustling city spans an area of approximately 38.5 square miles (100 square km) and boasts a thriving population, with 430,299 residents within the city limits (as of 2010) and an estimated 1,378,000 in its urban agglomeration.
A Glimpse into Panama City’s Rich History
The story of Panama City begins long before its modern skyscrapers touched the sky. Its origins trace back to an indigenous fishing village, fittingly named “Panamá,” meaning “many fish.” The old city, known as Panamá Viejo, was officially founded in 1519 by Governor Pedro Arias Dávila, who established it as the seat of secular and ecclesiastical power. This strategic location served as a crucial hub for transporting bullion from Andean countries, shipping it north to Panama City and then across the isthmus by pack animals to Nombre de Dios or Portobelo on the Caribbean coast, destined for Spain.
However, prosperity was short-lived as pirate and privateer attacks disrupted trade. While Sir Francis Drake’s attempt to sack old Panama in 1595 failed, Henry Morgan successfully destroyed the city in 1671. The city was rebuilt in 1674 by Alonso Mercado de Villacorta approximately 5 miles (8 km) southwest of the original Panamá Viejo site. The new city, now commonly known as Casco Viejo (“Old Fortification”), experienced a period of political and economic decline. In 1751, it became part of the Viceroyalty of New Granada and subsequently Colombia.
The 19th century was marked by significant unrest in Panama. In 1903, Panama declared its independence from Colombia, and Panama City officially became the nation’s capital. From 1903 to 1936, the United States military played a crucial role in policing the city. The construction of the Panama Canal (1904–1914) spurred rapid development and expansion, transforming Panama City into a modern, multicultural center.
Panama City has also been a significant venue for Latin American congresses, hosting gatherings in 1826, 1939, and 1959. The city is also known for its contribution to music, with descendants of West Indian workers (many of whom emigrated from Jamaica and Barbados to aid in the Panama Canal construction) creating reggae en español, which later influenced the development of reggaeton. In 1989, Panama City was the epicenter of the United States invasion of Panama, known as Operation Just Cause, targeting the headquarters of Panamanian leader Manuel Noriega. This event led to widespread looting throughout the city.
Panama City Today: A Contemporary Hub
Today, Panama City stands as the largest urban area in Panama, with approximately two-fifths of the country’s population residing in its metropolitan area. The city’s economy relies heavily on financial services and activities related to the Panama Canal, establishing it as a prominent international finance center. Its industries encompass breweries, oil refineries, steel-rolling mills, and factories manufacturing clothing and wood products.
The port facilities serving Panama City are located southwest in adjacent Balboa. The region is connected to Colón (the Caribbean terminal of the Panama Canal) via the canal, the Panama Canal Railway, and the Transisthmian Highway. It’s also linked to David (west) and Chepo (east) by the Inter-American (Pan-American) Highway. International airports are located at Albrook and Tocumen.
Panama City retains echoes of its colonial past, showcased through various plazas, the cathedral (begun in 1673 and renovated in 2003), and the San Francisco Church (also renovated). The Casco Viejo historic district, designated a UNESCO World Heritage site, has gained increasing popularity among tourists. Additionally, green spaces such as Metropolitan Natural Park, Camino de Cruces, and Soberanía national parks offer glimpses into the region’s tropical rainforest.
Facade of the historic cathedral in Panama City, showcasing its colonial architecture and its significance as a religious landmark in the city.
Modern structures in the city include the Palace of Justice, La Presidencia, the National Palace, and the hotel El Panamá. Panama City is also home to the national university (founded 1935), the University of Santa María la Antigua (1965), and various schools of dance, music, art, and theatre.
In conclusion, Panama City is more than just the capital of Panama; it’s a dynamic city with a rich history, a thriving economy, and a vibrant culture. From its humble beginnings as a fishing village to its current status as a global financial hub, Panama City continues to evolve while preserving its unique identity.
