Panama: Where the Oceans Meet
By Julie Skurdenis

You rarely hear much about Panama that doesn’t have to do with its famous canal. It is, after all, one of the great engineering achievements of the 20th century and remains one of the most important strategic locations in the Americas. But Panama has much to offer beyond its canal. Wedged between Costa Rica and Colombia, Panama is flanked by the Caribbean to the east and the Pacific to the west. With a modern metropolis in Panama City, tropical locations, luscious rain forests and white-sand islands, Panama offers the perfect vacation for all types of travelers.

There is the sophisticated Panama City of high-rises and upscale hotels, such as the Miramar Intercontinental with its huge pool overlooking the Bay of Panama. There’s also wonderful dining, and glittering shopping malls like the new Multiplaza Pacific with over 150 shops and boutiques.

Only a short cab ride away, on the eastern edge of the city, is the Panama City of 500 years ago. Called Panama La Vieja, this first Panama City was founded in 1519 by the Spanish explorer Pedro Arias de Avila. During the 16th and 17th centuries, it grew rapidly in population and prosperity. Gold and silver from the mines of Bolivia and Peru were shipped here, and then carried across the Isthmus of Panama to Caribbean ports where it was shipped to Spain.

Panama La Vieja boasted a cathedral, churches, convents and monasteries, elegant mansions, as well as humbler dwellings, until 1671, when the pirate Henry Morgan attacked and looted the city. What he left, fire destroyed. Today, La Vieja is a ghost town of stone walls and foundations that became part of UNESCO’s prestigious list of World Heritage sites in 2003. For a nominal fee of $3, visitors can wander among the extensive ruins of a city that vanished almost overnight more than 300 years ago.

After La Vieja’s destruction, a second Panama City arose. Located five miles away on a peninsula jutting into the bay, it was enclosed by thick stone walls and defended by cannons. Called Casco Viejo, it’s a pleasant place for a leisurely stroll among colonial buildings. The presidential palace, known as Palacio de la Garza (Palace of the Herons) is located here, as are the cavernous dungeons once used by the Spanish and now housing art galleries and restaurants.

Even if you’re not particularly interested in technological masterpieces, don’t miss a visit to the canal. If there’s no time to do a full or partial transit of it, it’s possible to see how one of the locks operates. Located just five miles from Panama City, Miraflores Locks is easy to reach by taxi or public bus, and of course, there are tour excursions.

When you’ve had your fill of Panama City, old and new, you won’t have to go far to sample Panama’s lush rainforests.

The Gamboa Rain Forest Resort, located just 24 miles from Panama City, sits amid a dense jungle, beside the Chagres River. The resort offers a variety of nature and wildlife experiences: aerial tram rides high up into the rain forest canopy, fishing trips, nature and birding walks, and boat trips. If expeditions are not your thing, you can swim in a series of gorgeous pools beside the river, indulge in an herbal bath in the resort’s spa, dine alfresco, or simply swing in the hammock on your private balcony listening to the sounds of the jungle birds. It’s heaven on earth.

Panama is also known for its beaches, which line both the Pacific and Caribbean coasts, not to mention the dozens of islands. To combine beach relaxation with a unique experience, there are the San Blas Islands, a string of small islands in the Caribbean, less than an hour by air from Panama City. These islands are home to the Kuna Indians, who were here long before Columbus arrived in this part of the world. Kuna women wear colorful appliquéd blouses, long black skirts, and lots of beads circling their necks, arms and ankles. They also produce the brightly colored appliquéd textiles called molas, a perfect gift for your friends back home.

If you’re looking for something a little more adventurous than the comforts of a spa, a place worth visiting is the island of Uaguitupo, also part of the San Blas Islands. The Island Lodge offers rustic cabins with cold-water showers, a glorious view of palm trees, clear blue water, and surf breaking on a nearby reef. H