Surrounded by the Caribbean and the Pacific Ocean, Panama is a relatively undiscovered country. Yet, many who visit quickly fall in love with its charm!
With its tropical climate, unique biodiversity, and stable economy, Panama is becoming an increasingly popular destination for expatriates. If you’re considering moving there, here’s a comprehensive guide on the cost of living in Panama.
Overview of Average Cost of Living in Panama in 2024
The cost of living in Panama is 29% lower than in France. The main expenses include housing, followed by groceries and dining out.
| Monthly Salary | 945€ |
| Rent for a One-Bedroom Apartment in the City Center (Panama City) | Between 600€ and 1385€ |
| Purchase Price of an Apartment per m² in City Center (Panama City) | 2328€ on average |
| Gasoline (1Liter) | 0,95€ |
| Mobile Phone Plan | Between 10€ and 35€ per month |
| Food | Among the most affordable in Central America |
| Mid-range Restaurant Meal for Two | 55€ |
Currency and Exchange Rate
Panama’s official currency is the Balboa, abbreviated as “PAB” and symbolized as “฿”. One Balboa is divided into 100 centésimos (cents) and is only used in coin form (1, 5, 10, 25, and 50 cents).
For over 100 years, the Balboa has been pegged to the US dollar. Panama no longer prints its own banknotes, so all transactions are conducted using US dollar bills (USD).
For this reason, 1 PAB = 1 USD, i.e. EUR 0.92 (Index as of 31 July 2024).
Accommodation
Although accommodation is the largest expense in Panama’s cost of living, prices in this country are fairly affordable. Here are the average rates (in balboas and US dollars):
- The price of renting a one-bedroom flat is between 570 and 800 PAB/USD.
- To buy a flat, the price per m2 varies between 1,600 and 2,300 PAB/USD.
Housing prices in Panama City are certainly slightly higher.
- The average price for renting a one-bedroom flat in the city center is around 1,000 PAB/USD.
- Outside the city center, the average budget is 650 PAB/USD.
- If you want to become a homeowner, expect to pay around 2,500 PAB/USD per m2 in Panama City city center, and 1,500 PAB/USD outside the city center.
Additional charges
The average monthly budget for additional housing-related charges is PAB/USD 100. Here are some budget items:
- Electricity per kWh: 0.154 PAB/USD.
- 12.5 kg gas cylinder: starting price 15 PAB/USD.
Food
The average shopping budget in Panama is 30% lower than in France.
Here are the prices of staple foods in Panama compared with those in France:
| Food item | Price in Panama | Price in France |
| Milk (1 L) | $1,76 | $1,24 |
| Water (1,5 L) | $1,51 | $0,76 |
| Sliced Bread (500 g) | $2,39 | $1,93 |
| Rice (1 kg) | $2,19 | $2,39 |
| Eggs (12 pieces) | $2,52 | $4,11 |
| Local cheese (500 g) | $11,10 | $18,71 |
| Chicken (1 kg) | $7,19 | $13,83 |
| Red Meat (1 kg) | $8,40 | $20,58 |
| Potatoes (1 kg) | $2,06 | $2,21 |
| Onions (1 kg) | $2,19 | $2,24 |
| Lettuce (1 head) | $1,97 | $1,47 |
| Apples (1 kg) | $3,30 | $3,00 |
| Bananas (1 kg) | $1,43 | $2,23 |
| Oranges (1 kg) | $2,76 | $3,16 |
| Mid-range Wine | $9,00 | $7,58 |
| Imported Beer (33 cl) | $1,84 | $3,00 |
Transportation
If you want to live in Panama, you can choose from a wide range of transport options at different prices.
- Bus: Bus journeys are popular in the city and for inter-city connections. In Panama City, the fare is 0.40 PAB/USD with the Metro Bus and 0.25 PAB/USD with the “diablos rojos”, colorful buses that are typically Panamanian.
- Taxi: For journeys within the city, prices range from 1.50 PAB/USD to 5 PAB/USD.
- Metro: Panama City has two metro lines. Each journey costs 0.35 PAB/USD.
- Plane: Several regional airports link different cities in the country, including Panama City, David, and Bocas del Toro. The average price of a ticket is 150 PAB/USD.
- Car: If you plan to drive in Panama, you can get around by car by filling it up with petrol at an average price of 1.03 PAB/USD per liter. Note that road safety in Panama can be less than ideal, so drive carefully.
Healthcare in Panama
Panama has one of the best medical infrastructures in Central and Latin America.
Here is an overview of the costs of certain health services:
| Medical Services | Price |
| Consultation with a general practitioner in a public hospital | 9 to 11 PAB/USD |
| Consultation with a specialist in the public sector | 30 to 45 PAB/USD |
| Consultation with a private GP | 20 to 30 PAB/USD |
| Consultation with a private specialist | 60 to 70 PAB/USD |
| Dental Cleaning | 50 PAB/USD |
| Emergency Visit | 100 PAB/USD |
| MRI | 500 PAB/USD |
Panama’s health system is fairly standard, based on public and private health services. Insured persons are covered to a greater or lesser extent, but to benefit from comprehensive coverage with a wide range of treatments, it is advisable to take out international health insurance.
Education in Panama
Education is mandatory from the age of 6 in Panama, with options available in public, private, and international schools.
Here are the average tuition costs:
- Kindergarten: 365 PAB/USD per month
- International Primary School: 8,400 PAB/USD per year
- Secondary School: 4,000 PAB/USD per year
You may choose to enroll your child at the Lycée Français International de Panama, which offers to teach French, Spanish, and English.
Here are the first enrolment fees for 2024-2025:
- Nursery and elementary: 7,995 PAB/USD
- Secondary: 8,253 PAB/USD
The 2024-2025 tuition fees:
- Kindergarten and elementary: 6,320 PAB/USD
- Secondary: 8,960 PAB/USD
Telecommunications
Panama’s telecommunications industry is rapidly growing. Average prices include:
- Mobile Plan (calls and 10+ GB of data): 30 PAB/USD
- Internet Subscription (60 Mbps or higher, unlimited data): 50 PAB/USD
Activities and Leisure
If you’re thinking of moving to Panama, you’ll never be bored. With its famous canal, the Bocas del Toro archipelago, and the San Blas islands, the country is known for its natural beauty and the countless activities that go with it. Panama City in particular, also boasts lively neighborhoods and a wide range of leisure activities.
Here’s the average price you can expect to pay for not-to-be-missed activities in Panama:
| Activities | Price |
| Entry to Biodiversity Museum | Adult 10$ Student $6 Retiree $5 Minor $6 |
| Panama City Metropolitan National Park | Adult $1 Child $0.50 Retiree $0.50 |
| Panama Viejo Visit | Adult $10 Retiree $5 Child $2 |
| Visit the town of Boquete A few tips for a stay in Boquete : – Travel light. There are supermarkets everywhere. – Climbing Volcan Barú is a must! – Plan a hike along The Pipeline Trail. | You can travel from Panama City to David by bus for an average fare of $2. Then from David to Boquete by bus for an average of $15. |
| Explore San Blas Islands | You can get there from Panama City by plane, for an average ticket price of $100. |
| An excursion to the Panama Canal | Prices start from $50 |
| Movie Ticket | $7 per ticket |