The capital of Panama is Panama City. This vibrant metropolis is not only the political and administrative center of the country but also its largest city, hosting a diverse population and rich culture. Panama City is famous for its modern skyline, which includes high-rise buildings and the iconic skyscraper, the Biomuseo. The city serves as a major hub for trade and commerce, owing to its strategic location by the Panama Canal, one of the most significant waterways in the world. The city's cultural scene blends indigenous, colonial, and contemporary influences, making it a fascinating destination.