What is panama soles?

Panama has its own currency known as the Panamanian balboa (PAB). However, since 1904, Panama has been using the US dollar as its official currency. The exchange rate between the Panamanian balboa and the US dollar is fixed at a 1:1 ratio.

The Panamanian balboa is only available in coin form, with denominations of 1, 5, 10, 25, 50 cents, and 1 balboa. However, due to the proximity and close economic ties with the United States, US dollars are widely accepted and preferred in Panama for everyday transactions, especially in tourist areas and among expats.

Panama also has a sophisticated banking system, with many international banks having a presence there. The country is known as a tax haven and is home to many offshore banking services and corporations.

The Central Bank of Panama is responsible for managing the country's monetary policy and regulating the banking system. It was established in 1953 and is responsible for issuing and maintaining the country's currency.