Panama’s population is predominantly mestizo, with significant Afro-Panamanian, indigenous, mulatto and white communities. The Amerindian population is made up of seven recognised indigenous groups, including the Guna people, who traditionally inhabit the San Blas Islands, also known as Guna Yala.

Spanish is the country’s official language, with Panamanian Spanish having several distinct differences from its European counterpart, particularly in pronunciation, vocabulary and rhythm. With the country’s steadily growing economy, especially in the tourism and business sectors, English is becoming increasingly widespread. In addition, indigenous communities continue to speak their own languages and dialects, many of which are still actively used today.

While Panamanian culture is strongly influenced by European traditions introduced during Spanish colonisation, African and Native American customs remain a defining feature. Traditional clothing is still worn on special occasions, most notably the pollera, a long white cotton dress adorned with intricate, brightly coloured embroidery worn by women, and the montuno, a traditional male outfit consisting of white cotton trousers and an embroidered shirt.

With a high-income economy and a relatively high Human Development Index, Panamanians are often described as a generally happy population. As is the case in much of Latin America, family and religion play a central role in everyday life.