Hon. Rueben Blades, Minister of Tourism Photo by Seeta T. Shaw Roath

In addition to the hundreds of investment opportunities generated by the expansion project of the Panama Canal and the expanding logistics center, the growth in the tourism industry is resulting in numerous investment opportunities in related services and accommodations. These options are made more attractive by special government incentives, which include the Special Tourism Zones Law that offers incentives such as a 100 percent exemption from income tax, real estate tax, import duties for construction materials and equipment, and other taxes.

The hotel industry is one area where the demand is signaling a definite need for more rooms. The industry is recording a continuous over-98 percent occupancy rate, reaching 100 percent on most weekends. The President of the Panama Hotel Association, Jorge Loaiza, indicated that the time is right for more investors in all tourism-related products and especially in the hotel industry. “Many existing hotels are now involved in expansion projects. They are adding more rooms. There are also additional players entering the industry. Hotel groups usually partner with local entrepreneurs to establish their business and this is happening.”

The Diablicos Sucios are devil dancers from Los Santos and Chitre. They depict the battle between good and evil resulting in conversion during Corpus Christi processions. Photo by Seeta T. Shaw Roath

Panama's traditional national dress, the "Pollera," reflects generations of women creating these intricately jeweled, hand embroidered works of art that take more than a year to complete. Photo by Seeta T. Shaw Roath

In the first quarter of 2007, more than 390,000 tourists visited Panama, an increase of 9.5 percent over the same period in 2006. The growth in the tourism industry is also evident in the rapid development in cruise tourism. It is anticipated that in 2007-2008, there will be over 200 cruises landing in Panama with more than 28,000 tourists.

Adventure, historical, medical, and ecology tourism are attracting Europeans, North Americans, and even tourists from other Latin American countries.

In addition to the lure of sea, sand, and sun on the shores of two oceans – Pacific and Atlantic – visitors are drawn to the opportunities for deep sea fishing, great surfing, diving, birding, river rafting, kayaking, and rainforest experiences. Also, as Panama’s First Lady Vivian Torrijos said, “In Panama there is the opportunity to swim in both oceans in one day. You can swim in the Pacific Ocean in the morning, have lunch in one of our best restaurants in Panama City, get the fish from the Pacific, and travel to the Caribbean for the sunset – swim in the Atlantic Ocean, lie on the beach, have dinner and a show all in one day. It is just about an hour and a half drive.”

Cultural tourism is another area that is gaining momentum, as the natural environment, customs, and culture of the indigenous tribes are very accessible. As the Minister of Tourism Reuben Blades said, “Panama has seven thriving indigenous Indian cultures, which give the country a unique characteristic that allows a visitor to add a different interest to the many tourism options we offer. There are primeval rainforests, mystical cloud forests, cool mountain retreats, pristine beaches and islands, and also seven Indian cultures that take one into the realms of history and anthropology.”

Mingthoy Giro, Director, Special Projects, Office of the Panama's First Lady Photo by Seeta T. Shaw Roath

The art and culture of Panama reflects its diverse mix of ethnic Indian tribes, West Indian groups, Chinese, Middle Eastern, Swiss, Yugoslav, and North American immigrants. The colorful mola of the Kanu Indians, tagua nut carvings, pottery, wood carving, mask making, and weaving represent the art and craft of Panama.

Panama has added its traditional Carnival to the tourism offerings. Mingthoy Giro, Director of Special Projects in the Office of the Panama’s First Lady and President-elect of the Standing Board of Carnival, explains that Carnival in Panama reflects the traditions and diversity of the people and different provinces of Panama. Held in late January into early February, during the days before Ash Wednesday and the beginning of Lent, Carnival can be enjoyed in Panama City, Colon Province, and in any of the other provinces. “It is a beautiful showcase of the rich folklore of Panama. You can dance in the streets along with the procession, enjoy and participate with the singers and dancers. When you play Carnival in Panama you participate, you don’t have to be a spectator.”