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Panama is a country with a small population which is located in the continent/region of North America. Countries near Panama include Costa Rica, Nicaragua, Colombia and Honduras.
1 David â The largest city in the Chiriqui Province, located on the Pan-American and serves as a transit point between Panama City, Boquete, Bocas del Toro, and Costa Rica. 2  Gamboa. 3  Portobelo â Historic Spanish forts, boats to Colombia, and dive centers.