what is the capital of panama

The capital of Panama is Panama City. It is located in the east-central part of the country near the Pacific Ocean terminus of the Panama Canal, in the province of Panama. Panama City is the political and administrative center of the country, as well as a hub for banking and commerce. It is the largest urban area in the country, with about two-fifths of the national population residing in its metropolitan area. The citys economy depends heavily on financial services and on activities associated with canal traffic, and it has become a major international finance center.