Travel Costs in Panama
All figures are approximate estimates in USD for comparison.
- Budget / day
- $45
- Mid-range / day
- $110
- Luxury / day
- $280
- Budget meal
- $4.5
- Coffee
- $2.5
- Local transport
- $0.35
- Budget hotel
- $20
- Mid-range hotel
- $75
Overview
Panama is one of the more expensive countries in Central America, particularly in Panama City where modern infrastructure, a dollarized economy, and a cosmopolitan dining scene push costs higher than regional neighbors. Accommodation and eating out in tourist areas and Casco Viejo drive the most significant expenses, while the interior and island regions like Bocas del Toro offer somewhat cheaper options. Using the US dollar as its official currency makes budgeting straightforward for American travelers but eliminates any exchange-rate advantage.
Notes
Eating at local fondas or mercados and using the Metro or Metrobus system in Panama City can dramatically cut daily costs, as public transport fares are among the cheapest in Latin America at under $0.40 per ride.