PROFILE

OFFICIAL NAME:
Republic of Panama

Geography
Area: 78,200 sq. km. (30,193 sq. mi.); slightly smaller than South Carolina. Panama occupies the southeastern end of the isthmus forming the land bridge between North and South America.
Cities: Capital--Panama City (1.1 million). Other cities--Colon (193,263), David (135,378).
Terrain: Mountainous (highest elevation Cerro Volcan, 3,475 m.--11,468 ft.); coastline 2,857 km. (1,786 mi.).
Climate: Tropical, with average daily rainfall 28 mm. (1 in.) in winter.

People
Nationality: Noun and adjective--Panamanian(s).
Population (2004 estimate): 3.2 million.
Annual growth rate: 1.7%.
Ethnic groups: Mestizo (mixed Amerindian and European ancestry) 70%, Amerindian and mixed (West Indian) 14%, Caucasian 10%, Amerindian 6%.
Religions: Roman Catholic 84%, Protestant 15%, other 1%.
Languages: Spanish (official); 14% speak English as their native tongue; various indigenous languages. Many Panamanians are bilingual.
Education: Years compulsory--6. Attendance--95% for primary school-age children, 60% for secondary. Literacy--92.6% overall: urban 94%, rural 62%.
Health: Infant mortality rate--15.2/1,000. Life expectancy--75.0 yrs.
Work force (1.4 million): Commerce (wholesale and retail)--19.1%; agriculture, cattle, hunting, silviculture--14%; industries (manufactures)--8.8%; construction--7.7%; transportation, storage, communications--7.2%; public and defense administration--6.9%; other community and social activities--5.8%; hotels and restaurants--3.7%; financial intermediation--2.6%.

Government
Type: Constitutional democracy.
Independence: November 3, 1903.
Constitution: October 11, 1972; amended 1983 and 1994 and reformed in 2004.
Branches: Executive--president (chief of state), two vice presidents. Legislative--National Assembly (unicameral, 78 members). Judicial--Supreme Court.
Subdivisions: Nine provinces and five (Indigenous) territories.
Political parties: Former President Mireya Moscoso belonged to the Arnulfista Party (PA) (now known as the Panamenista Party). The PA in coalition with smaller parties held a slim majority in the National Assembly. The Democratic Revolutionary Party (PRD) was the primary opposition. Represented by its presidential candidate, Martin Torrijos, the PRD on May 2, 2004 won the presidency and a legislative majority and took power on September 1, 2004.
Suffrage: Universal at 18.

Economy
GDP (2006, nominal): $15 billion.
Annual growth rate (2004): 7.6%; (2005) 6.9%; (first 9 months 2006) 8.3%.
Per capita GDP (2005): $4,513.
Natural resources: Timber, seafood, copper.
Services (80% of GDP): Finance, insurance, health and medical, transportation, telecommunications, the Canal and maritime services, tourism, Colon Free Zone, public administration, and general commerce.
Agriculture and fisheries: Products--bananas and other fruit, corn, sugar, rice, coffee, shrimp, timber, vegetables, livestock.
Industry/Manufacturing (14% of GDP): Types--food and drink processing, petroleum products, chemicals, paper and paper products, printing, mining, refined sugar, clothing, furniture, construction.
Trade: Exports--$884.4 million: bananas, petroleum products, shrimp, sugar, coffee, and clothing. Major markets--U.S. 50.4%. Imports--$3.52 billion: capital goods, crude oil, foodstuffs, chemicals, other consumer and intermediate goods. Major suppliers--U.S. 34.1%. 2005 U.S. goods exports to Panama: $2.2 billion. 2005 U.S. goods imports to Panama: $327 million.

PEOPLE
Panamanians' culture, customs, and language are predominantly Caribbean Spanish. The majority of the population is ethnically mestizo or mixed Spanish, Indigenous, Chinese, and West Indian. Spanish is the official and dominant language; English is a common second language spoken by the West Indians and by many businesspeople and professionals. More than half the population lives in the Panama City-Colon metropolitan corridor.

Panama is rich in folklore and popular traditions. Lively salsa--a mixture of Latin American popular music, rhythm and blues, jazz, and rock--is a Panamanian specialty, and Ruben Blades its best-known performer. Indigenous influences dominate handicrafts such as the famous Kuna textile molas. Artist Roberto Lewis' Presidential Palace murals and his restoration work and ceiling in the National Theater are well known and admired.