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Car rental in Panama City - Search, Compare, and Save

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Cheapest Car Rental Rates in Panama City

Panama City

Mini

Fiat 500 or similar

4

1

3

A/C

Auto

GreenMotion

24

per day

Panama City

Economy

Toyota Yaris or similar

5

2

5

A/C

Auto

GreenMotion

29

per day

Panama City

Compact

Volkswagen Golf or similar

5

3

5

A/C

Auto

GreenMotion

33

per day

Panama City

Intermediate

Skoda Octavia or similar

5

4

5

A/C

Auto

GreenMotion

39

per day

The average cost of car rental is €34 per day, with 1,878 vehicles available and an average rental duration of 6 days

Why Rent a Car in Panama City?

Panama City is a vibrant metropolis with a blend of modern skyscrapers and historic districts. While public transportation is available, renting a car gives you the freedom to explore at your own pace, discover hidden gems, and venture beyond the city limits.

Explore Beyond the City: With a rental car, you can easily visit nearby attractions such as the Panama Canal, the beaches of the Pacific Coast, or the rainforests of Gamboa. Public transport to these locations can be limited or time-consuming.

Flexibility and Convenience: Having your own vehicle allows you to create your own itinerary and travel on your own schedule. You won't have to wait for buses or taxis, and you can easily stop at points of interest along the way.

Access to Remote Areas: Many of Panama's most beautiful natural attractions are located in remote areas that are not easily accessible by public transportation. With a rental car, you can explore these hidden gems at your leisure.

Rental Terms and Conditions in Panama City

Before renting a car in Panama City, ensure you understand the terms and conditions. These typically cover age restrictions, licensing requirements, insurance, deposits, mileage policies, and potential extra charges.

Area

Approximately 275 square kilometers (106 square miles)

Population

Approximately 1 million residents

Time Zone

EST (UTC-5)

Ideal for

Exploring the city and surrounding areas

Rush Hours

Expect heavy traffic 7 AM – 9 AM and 4 PM – 7 PM

Rating

4.5/5

1. Age RequirementsMost rental companies in Panama City require drivers to be at least 21 years old. Some may impose additional fees for drivers under 25.

2. Driver’s License & DocumentationA valid driver's license is required. Foreign visitors may need to present their passport and an International Driving Permit (IDP) if their license is not in Spanish.

3. Insurance & DepositsBasic insurance is usually included in the rental price. Additional coverage options like collision damage waiver (CDW) may be available. A security deposit is typically required and will be refunded upon the car's return, provided there is no damage.

4. Mileage & Fuel PolicyMileage policies vary. Some rentals offer unlimited mileage, while others may have a limited number of kilometers per day. Fuel policies also vary, so check whether you need to return the car with a full tank.

5. Additional FeesExtra charges may apply for additional drivers, GPS navigation systems, child seats, or for returning the car to a different location.

Car Rental Prices in Panama City – How Much Does It Cost?

Estimated Daily Prices

Business:

from £35 / $44 / €42

Electric:

from £16 / $20 / €19

Classic:

from £8 / $10 / €9

Executive:

from £25 / $31 / €30

7 Seater:

from £28 / $35 / €34

Automatic:

from £16 / $20 / €19

SUV:

from £9 / $11 / €10

Seasonal Trends

Peak season (December to April): Experiences higher demand, with prices increasing by 20-30%

Low season (May to November): Often offers discounts as demand decreases

*Additional costs may apply for insurance, extra drivers, and one-way rentals. Booking early and comparing offers can help secure the best deal.

How to Book a Car in Panama City?

To book a car in Panama City, follow these simple steps to ensure a smooth rental experience. From comparing prices to understanding rental terms, preparation is key.

1. Compare Prices - Use online comparison sites to find the best deals from different rental companies. Consider factors like insurance and mileage when comparing prices.

2. Choose the Right Car - Select a vehicle that suits your needs, considering the number of passengers, luggage space, and road conditions you'll encounter.

3. Check Rental Terms - Carefully review the rental terms, including the mileage limits, insurance coverage, and fuel policy, to avoid unexpected charges.

4. Book in Advance - Book your car in advance, especially during peak season, to secure lower prices and ensure availability.

5. Pick Up Your Car - When picking up your rental, bring your driver’s license, passport, credit card, and any other required documentation.

General Information About Panama City

Panama City is a bustling hub with a rich history and modern attractions. Getting around by car offers flexibility, but it's important to be aware of local traffic regulations and parking options.

Panama City, the capital of Panama, offers a unique blend of historical charm and contemporary flair. The city is known for its modern skyline, vibrant nightlife, and the world-famous Panama Canal. Exploring Panama City by car allows visitors to conveniently access various attractions both within and outside the city.

Top Attractions to Discover

  • Panama Canal

    Witness the engineering marvel of the Panama Canal and learn about its history at the Miraflores Locks.

  • Casco Viejo

    Explore the historic district of Casco Viejo, a UNESCO World Heritage site with charming colonial architecture.

  • Amador Causeway

    Enjoy scenic views of the city skyline and the Panama Canal along the Amador Causeway.

Where to Find Parking

  • Public Parking Garages

    Numerous public parking garages are available throughout the city, offering secure and convenient parking options.

  • On-Street Parking

    On-street parking is available in some areas, but it can be limited and may require payment at parking meters.

  • Park & Ride

    Consider using park-and-ride facilities located outside the city center to avoid traffic congestion and parking challenges.

Gas Stations in Panama City

  • Major Brands Available

    You can find major fuel brands such as Delta, Puma, and Texaco throughout Panama City.

  • Fuel Availability

    Gas stations are readily available in most areas, but it's always a good idea to fill up before embarking on longer journeys.

  • Payment Options

    Most gas stations accept cash and credit cards.

Useful Tips for Visiting Panama City

  • Allow Extra Time for Traffic

    Traffic congestion can be heavy, especially during rush hours. Plan accordingly and allow extra travel time.

  • Use a GPS Navigation System

    A GPS navigation system can be very helpful for navigating Panama City's complex road network.

  • Be Aware of Local Driving Customs

    Familiarize yourself with local driving customs and traffic regulations to ensure a safe and enjoyable driving experience.

Key Transportation Hubs in Panama City

Major Bus Stations

Albrook Bus Terminal

The main bus terminal in Panama City, offering connections to destinations throughout Panama.

Railway Stations

Panama Railway

Offers train service along the Panama Canal Railway, connecting Panama City and Colon.

Airports

Tocumen International Airport (PTY)

The main international airport serving Panama City, located approximately 24 kilometers (15 miles) from the city center.

Marcos A. Gelabert International Airport (PAC)

A smaller airport located closer to the city center, primarily serving domestic flights.

What Do You Need to Rent a Car in Panama City?

To rent a car in Panama City, you'll need to meet a few essential requirements. Having these documents ready will ensure a smooth and hassle-free rental experience.

  • You'll need a valid driver's license from your country of residence. An International Driving Permit (IDP) may be required if your license is not in Spanish or English.

  • The minimum age to rent a car in Panama City is typically 21 years old, although some companies may have higher age requirements or charge additional fees for younger drivers.

  • A valid credit or debit card in the renter's name is required for the security deposit. The available credit on the card must be sufficient to cover the deposit amount.

  • You'll need to provide a valid passport or other form of government-issued identification.

Our Content Quality

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This content was written, fast-checked, and/or translated by our expert team of content creators.

Every piece of information on this page has gone through our Content Quality Assurance (CQA) process - a multi-step review that includes human editing, localization accuracy checks, and expert travel validation.

Learn more about our Content Quality Standards

This page was edited by experts

This page was edited, fast-checked, and/or translated by our experts which are passionate about helping travelers experience the world by car. CarTravelers team of seasoned travel writers and editors has driven across more than 50 countries, rented cars on six continents, and explored countless scenic routes — from Icelandic fjords to Moroccan deserts.

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Our Customers Reviews

Our clients rate such place as Panama City as

4.6

Because we want to make sure each review listed here is left by a real customer, we don’t have the option to post a review here. Instead, we ask each and every customer to leave a review after they return their rental car. This way, you know that all reviews are authentic.

Panama City was a fantastic stop on our road trip! Having a car made exploring so easy. We loved the vibrant Casco Viejo and the delicious seafood. Definitely recommend a visit!

SM

Sarah Miller

Reviewed: 18.12.2024

Panama City was amazing! Getting around with a car was effortless.

EC

Emily Carter

Reviewed: 24.10.2024

Exploring Panama City was a dream! Having a car made it so convenient to discover all the hidden gems. Highly recommend!

JG

Jessica Garcia

Reviewed: 21.03.2025

Pretty chill, overall.

CD

Chloe Davis

Reviewed: 11.04.2025

So relaxing! Panama City was beautiful, and having a car made exploring the coast so easy.

OR

Olivia Rodriguez

Reviewed: 19.09.2024

Pretty good, really.

AW

Ava Wilson

Reviewed: 02.10.2024

Weekend in Panama City was great; the Casco Viejo heat was intense.

AJ

Amelia Jones

Reviewed: 31.01.2025

Pretty decent, really.

MT

Mia Thompson

Reviewed: 21.06.2025

Panama City was a breeze! Cruising around in our rental car, we saw so much.

KL

Katherine Lee

Reviewed: 05.05.2025

Pretty laid-back, really.

BH

Brianna Harris

Reviewed: 23.12.2024

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