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Stop Doing This in Panama: I Learned These Panama Mistakes the Hard Way

Panama, the bridge between Central and South America, is a tropical paradise with stunning beaches, vibrant cities, and lush rainforests. While the country is incredibly welcoming, there are certain customs, norms, and practical tips that can help you avoid awkward situations or even serious mishaps.

By avoiding these common mistakes and respecting local customs, you’ll have a more enjoyable and authentic experience in Panama. From navigating the bustling streets of Panama City to exploring serene beaches and jungles, understanding these tips will help you blend in and get the most out of your visit.

Here are 20 things NOT to do in Panama and advice for making the most of your visit.

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Quick Easy Tips

Carry small cash in addition to cards. While Panama uses the U.S. dollar, smaller vendors, taxis, and local markets often prefer exact change.

Dress lightly but neatly in urban areas. Beachwear is fine on the coast, but in Panama City and inland towns, overly casual tourist clothing can make you stand out quickly.

Use registered taxis or ride apps when possible. This reduces confusion over pricing and helps avoid common transportation misunderstandings.

Learn a few basic Spanish phrases. Even simple greetings and polite requests can noticeably improve everyday interactions.

One of the most debated travel topics in Panama is safety perception. Some travel forums portray the country as either completely risk-free or overly dangerous. The reality is more nuanced: most tourist areas are manageable with normal urban awareness, but conditions vary by neighborhood.

Another point of tension involves pricing expectations. Because Panama uses the U.S. dollar and has a strong expat presence, some visitors assume all costs will feel familiar. In reality, pricing can fluctuate widely between tourist zones, business districts, and local neighborhoods.

There is also disagreement about how “Americanized” Panama feels. Panama City in particular can appear very modern and internationally oriented, but cultural norms, service pace, and bureaucracy still follow local patterns. Visitors who expect U.S.-style efficiency everywhere may feel friction.

Finally, online advice often treats Panama as a single uniform destination. In practice, the Caribbean coast, Pacific beaches, mountain towns, and capital city all operate differently. Context matters more than broad generalizations.

Things Not to do In Panama

1. Don’t Drink Tap Water in Some Areas

Don’t Do This in Panama: 20 Things Not to do In Panama

Why Not:

While tap water is generally safe to drink in Panama City, this is not the case in more rural areas or on islands like Bocas del Toro.

What to Do Instead:

Stick to bottled or filtered water when outside Panama City.
Always check with locals if tap water is safe in your specific location.

2. Don’t Assume Everyone Speaks English

Why Not:

While many Panamanians in tourist areas speak some English, Spanish is the official language and widely spoken.

What to Do Instead:

Learn a few basic Spanish phrases like “Gracias” (Thank you) or “¿Dónde está…?” (Where is…?).
Use translation apps if needed.

3. Don’t Skip Travel Insurance

Why Not:

Panama offers adventurous activities like hiking, snorkeling, and exploring rainforests, which come with some risks.

What to Do Instead:

Purchase travel insurance that covers accidents, medical care, and trip cancellations.

4. Don’t Ignore the Weather

Why Not:

Panama’s tropical climate means hot weather and sudden, heavy rain, especially during the wet season (May to November).

What to Do Instead:

Pack lightweight, breathable clothing and a rain jacket.
Always carry an umbrella during the rainy season.

5. Don’t Forget Bug Spray

Why Not:

Mosquitoes can carry diseases like dengue and chikungunya, especially in jungle and coastal areas.

What to Do Instead:

Use insect repellent with DEET or natural alternatives.
Wear long sleeves and pants in mosquito-prone areas.

6. Don’t Underestimate the Currency System

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Why Not:

Panama uses the U.S. dollar (locally called the “balboa”), but coins can be confusing because both Panamanian and U.S. coins are in circulation.

What to Do Instead:

Be prepared to receive a mix of U.S. and Panamanian coins as change.
Always carry small bills and coins, as many vendors won’t accept $50 or $100 bills.

7. Don’t Flush Toilet Paper

Why Not:

Panama’s plumbing systems aren’t designed to handle toilet paper in many areas.

What to Do Instead:

Use the small trash bin provided in bathrooms for disposing of toilet paper.

8. Don’t Assume It’s Always Safe to Swim

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Why Not:

While Panama has beautiful beaches, some areas have strong currents or marine life that can pose risks.

What to Do Instead:

Swim only in designated safe areas and pay attention to warning flags.
Ask locals about conditions before entering the water.

9. Don’t Overlook Local Cuisine

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Why Not:

Panama’s food is a mix of Afro-Caribbean, Spanish, and indigenous influences, and skipping it means missing out on the culture.

What to Do Instead:

Try local dishes like sancocho (chicken soup), ceviche, and patacones (fried plantains).
Explore food markets and small eateries for authentic experiences.

10. Don’t Rely on Uber Everywhere

Why Not:

While Uber works well in Panama City, it’s not available in smaller towns or rural areas.

What to Do Instead:

Use official yellow taxis or arrange transportation in advance outside the city.
Negotiate taxi fares before getting in, as most taxis don’t use meters.

11. Don’t Visit Without Small Change

Why Not:

Small vendors, buses, and some taxis often don’t have change for large bills.

What to Do Instead:

Always carry small denominations like $1, $5, and $10 bills.
Keep coins handy for public transportation.

12. Don’t Forget to Tip Modestly

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Why Not:

Tipping is appreciated but not as customary or extravagant as in the U.S.

What to Do Instead:

Tip 10% in restaurants or round up the bill.
For smaller services like taxis or bellhops, tipping $1–$2 is sufficient.

13. Don’t Ignore Safety in Remote Areas

Why Not:

While Panama is generally safe, some remote or isolated areas may pose security risks.

What to Do Instead:

Avoid wandering alone in unfamiliar places, especially at night.
Stick to well-traveled areas and follow local advice.

14. Don’t Be Impatient with Time

Why Not:

Panama runs on “island time,” meaning things often happen more slowly than Americans might expect.

What to Do Instead:

Embrace the relaxed pace and avoid getting frustrated with delays.
Allow extra time for transportation and services.

15. Don’t Overpack

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Why Not:

Panama’s climate and activities call for lightweight clothing, and laundry services are often available.

What to Do Instead:

Pack light, focusing on versatile, breathable outfits.
Include sturdy shoes for hiking and flip-flops for the beach.

16. Don’t Forget Cultural Respect

casco viejo Panama 1

Why Not:

Panamanians are proud of their culture and heritage, and disrespectful comments or behavior can offend.

What to Do Instead:

Learn about Panamanian traditions and history before visiting.
Be respectful when visiting indigenous communities or historical landmarks.

17. Don’t Skip the Canal Experience

panama canal crossing artificial conduit

Why Not:

The Panama Canal is one of the country’s most iconic attractions, and missing it means skipping a key part of Panama’s identity.

What to Do Instead:

Visit the Miraflores Locks to watch ships pass through.
Book a boat tour to experience the canal up close.

18. Don’t Take Public Transport Without Research

Why Not:

Panama’s public transportation, especially buses (known as Diablos Rojos), can be chaotic and overwhelming for newcomers.

What to Do Instead:

Use Metro buses or the metro system in Panama City for reliable transit.
Have a Metro card ready, as cash is not accepted on these buses.

19. Don’t Ignore Local Festivals

Panama 1

Why Not:

Panama has vibrant cultural festivals that provide a deeper understanding of its traditions, like Carnival and Fiestas Patrias.

What to Do Instead:

Check the festival calendar and plan your visit to coincide with local celebrations.
Be prepared for crowds and lively festivities.

20. Don’t Be Flashy with Attire

Why Not:

Dressing too casually or too extravagantly can make you stand out as a tourist, especially outside Panama City.

What to Do Instead:

Wear modest yet comfortable clothing.
Save flashy jewelry and high-end items for formal events.

Why You Should Learn What Not to Do in Panama

Understanding common tourist mistakes can significantly reduce friction during your trip. Small adjustments in behavior often lead to smoother transportation, better service interactions, and fewer confusing moments.

Preparation also protects your budget. Many avoidable travel costs from taxi misunderstandings to tourist pricing stem from inexperience rather than actual scams. Awareness helps you make more confident decisions.

There is a cultural benefit as well. Visitors who make an effort to respect local norms tend to have warmer interactions with residents, guides, and service workers.

Learning what to avoid also saves time. When you understand how things typically work, you spend less energy troubleshooting logistics and more time enjoying the destination.

Most importantly, informed travelers tend to feel more relaxed. Knowing the basics removes much of the uncertainty that can accompany travel in a new country.

Why You Shouldn’t Overstress About Making Mistakes

At the same time, it is important not to approach Panama with unnecessary worry. The country receives large numbers of international visitors each year, and most trips proceed without significant issues.

There is also wide variation depending on where you go. Advice that applies strongly in one neighborhood or region may be far less relevant in another. Treat guidelines as helpful context, not rigid rules.

Overplanning can sometimes reduce the enjoyment of travel. Panama’s appeal includes its relaxed atmosphere, and focusing too heavily on avoiding every possible misstep can create unnecessary tension.

Many small mistakes are easily corrected in the moment. Panamanians are generally patient with respectful visitors, especially those making a genuine effort to communicate politely.

In the end, the goal is balanced awareness. Prepare enough to avoid the most common pitfalls, but stay flexible and open. With that mindset, most travelers find Panama welcoming, manageable, and well worth the visit.

Final Thoughts

Traveling in Panama can be smooth and deeply rewarding when visitors arrive with the right expectations. Many of the common mistakes tourists make are not serious violations but small cultural misreads that can affect comfort, pricing, or overall experience. Awareness before arrival helps travelers move more confidently.

What stands out most is that Panama blends modern infrastructure with strong local rhythms. In Panama City you may feel close to a North American pace, while in smaller towns the tempo shifts noticeably. Visitors who adjust quickly to these differences tend to enjoy the country far more.

It is also worth remembering that most Panamanians are welcoming and accustomed to international visitors. Minor mistakes rarely cause major problems. The real benefit of preparation is not avoiding trouble but improving ease, efficiency, and day-to-day interactions.

In the end, smart travel in Panama comes down to observation and flexibility. Learn a few key norms, stay aware of your surroundings, and the country is generally straightforward to navigate.

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