Panamanian Balboa flag

Panamanian Balboa

Balboa

Currency Code

PAB

ISO 590

Symbol

PAB

Native: B/.

Decimal Digits

2

Rounding: 0

Countries

PA

Using this currency

Currency Units

Major Unit

Name: balboa

Symbol: B/.

Minor Unit

Name: centésimo

Symbol:

Value: 0.01

Banknotes

Coins

Frequently Used

1 centésimo5 centésimos10 centésimos25 centésimos50 centésimosB/.1

Rarely Used

B/.2B/.5

Plural Forms

English Plural

Panamanian balboas

Native Plural

Balboas

Overview

The Panamanian Balboa is the currency of Panama, pegged to the US dollar at par since 1904. Panama uses both balboas and US dollars interchangeably, making it effectively a dollarized economy. The country benefits from the Panama Canal and serves as a major financial center.

Economy

  • Panama is a member of OAS, SICA, Rio Group, Non-Aligned Movement.
  • Main industries include: Construction, Brewing, Cement and other construction materials, Sugar milling, Banking, Insurance, Container ports, Medical and health services.
  • Panama is part of the World Trade Organization.
  • Imports are fuels, machinery, vehicles, iron and steel, medicines.
  • Major exports include fruit, nuts, fish, iron and steel waste, wood.
  • GDP: $76.6 billion (2023 est.).
  • GDP per capita: $17,557 (2023 est.).
  • Unemployment rate: 6.8% (2023 est.).
  • Inflation rate: 2.5% (2023 est.).
  • Main trading partners: United States, Netherlands, China, Japan, Colombia, Ecuador.
  • Trade agreements: Panama-US Trade Promotion Agreement, Central America-EU Association Agreement.

History

  • Previous currencies used: Colombian peso, US dollar (used alongside).
  • The balboa was introduced in 1904 after Panama's independence from Colombia. It was named after Spanish explorer Vasco Núñez de Balboa and has been pegged to the US dollar since inception.
  • 1904: PAB introduced, pegged to USD at 1:1
  • 1914: Panama Canal opened, boosting economy
  • 1999: Panama Canal control transferred to Panama
  • 2007: Canal expansion project launched
  • 2016: Expanded Panama Canal inaugurated
  • Exchange rate peg: USD (1904-present) at 1:1 parity.
  • Currently pegged to USD at 1 PAB = 1 USD.

General Information

  • ISO 4217 Code: PAB
  • Symbols: PAB/B/.
  • Currency Subunits: 100 centésimos
  • Central Bank: National Bank of Panama
  • Monetary Policy: Currency board system maintaining USD parity. Effectively dollarized economy with limited independent monetary policy.
  • Bills: US dollars are used for larger denominations
  • Coins: 1 centésimo, 5 centésimos, 10 centésimos, 25 centésimos, 50 centésimos
  • USD Exchange Rate: 1.00
  • Pegged To: USD at 1 PAB = 1 USD
  • Capital: Panama City
  • Population: 4,351,267 (2023 est.)
  • Area: 75,420 km²
  • Languages: Spanish (official), English
  • Time Zones: UTC-5 (Eastern Standard Time)
  • Government Type: Presidential republic
  • Head of Government: President (head of state and government)
  • Independence: November 3, 1903 (from Colombia)
  • Ethnic Groups: Mestizo 65%, Native American 12.3%, Black or African descent 9.2%, Mulatto 6.8%, White 6.7%
  • Religions: Roman Catholic 85%, Protestant 15%
  • Literacy Rate: 95% (2015 est.)
  • Transport: Tocumen International Airport, Pan-American Highway, Panama Canal, major ports
  • Communications: Good telecommunications, 64% internet penetration, extensive mobile coverage
  • Energy: Hydroelectric 60%, Thermal 30%, Renewables 10%
  • Countries Using This Currency: Panama
  • Data Sources: Central Bank: National Bank of Panama (bnp.gob.pa), Economic Data: National Institute of Statistics and Census, World Bank, IMF, Trade Data: Panama Customs Authority, Demographic Data: National Institute of Statistics and Census, Geographic Data: Institute of Meteorology and Hydrology, Historical Data: National Bank of Panama archives
  • Last Updated: 2025