Panama vs Costa Rica for your next adventure?

The beaches and islands feel like paradise in Panama…

However, the Pura Vida lifestyle throughout Costa Rica can’t be matched…

Costa Rica wins this one!

Can’t decide between Panama and Costa Rica for your next trip?

This blog is for you.

Following my visit to Central America, I have compared both countries in terms of vibes, nature, activities, and expenses, to help you make up your mind!

There is no doubt that the Panama Canal is spectacular, but does it match the Monteverde cloud rainforest?

Let’s have a look!

We will start with the vibes in Panama and Costa Rica.

Panama City skyline

The skyline in Panama City is epic.

What is the vibe like in both countries?

One thing which stood out to me was the latino in both Panama and Costa Rica.

Despite Panama City growing in size, infrastructure, and now offering a modern cosmopolitan vibe, there are still reminders of its Hispanic roots.

Colourful houses and buses captured my attention, as did the Spanish language throughout the country as I explored.

There is a strong American influence in Costa Rica with the growing influx of tourists, however, a walk through San Jose is a quick reminder that not all of Costa Rica is catering for tourists.

Having breakfast in a Soda Restaurant and experiencing a language barrier reaffirmed that there is still strong Hispanic local life.


The Pura Vida Lifestyle in Costa Rica.

With a national motto of ‘Pura Vida’, which means ’pure life’, it is no wonder that the locals are loving life throughout Costa Rica.

The combination of sunshine, nature and community spirit, meant that it didn’t take me long to feel like a local living the good life.

As you explore the different destinations in Costa Rica, you will notice all of the ‘healthy’ options for dining out, along with popular outdoor activities filling the beaches and rainforests.

Costa Rica has been voted the happiest country globally, and the locals want the pure life to continue, therefore, the nation is a leader in eco-tourism and sustainability.

This was an awesome fact which I learned on one of my tours.

Locals enjoying yoga on Tamarindo beach in Costa Rica.

Island paradise in Panama.

Despite the rise of Panama City and the use of the Panama Canal projecting a modern fast paced life to the outside world, if you venture out of the capital, there is also some of the chilled life in Costa Rica’s neighbour.

Panama boasts over 1000 islands across its Pacific and Caribbean sides!

As with many spots in Costa Rica, Panamanian island life consists of connection with nature and maintaining a happy attitude while living the simple life.

Two popular Panamanian Islands for you to enjoy are:

The Bocas del Toro Islands:

An archipelago located in the northwest Caribbean Sea, close to the border with Costa Rica. The stunning natural beauty, diverse wildlife, and laid-back atmosphere is very similar to Costa Rica.

The San Blas Islands.

This archipelago is located off the northeast coast of Panama in the Caribbean Sea, closer to the capital. It's famed for it being the home to the Guna people, who have maintained their traditional way of life for centuries. A day trip option from Panama City.

Panama carries a laid-back atmosphere, with a slower pace, but more so on the Caribbean side.

A food vendor in Panama.

A food vendor in Panama.

Both countries are surfing crazy.

One thing which I noticed which both countries have in common is their love for surfing.

The Pacific Ocean will do that!

Miles and miles of Pacific coast is like a dream come true, and the locals certainly make the most of it every day.

If the Caribbean side of both countries is laidback, the Pacific side is more adrenaline filled.

Whichever standard you are, there is a surf lesson for you!

I surfed for the first time in Tamarindo in Costa Rica and loved every second of it.

You don’t have to look far for a piece of the wave action, however, it can be a costly activity.

It is worth every penny though!

A surf cafe in Panama.

A surf cafe in Panama.

Surf shop in Montezuma in Costa Rica.

Surf shop in Montezuma in Costa Rica.

Colourful architecture in Panama.

My attention couldn’t help but be drawn into the colourful architecture in Panama.

Every house looks unique and different!

A common sight was the Spanish Colonial architecture, especially in the Casco Viejo district (Old Quarter) of Panama City which dates back centuries.

Buildings painted with vibrant colours, and set against beautiful parks, quirky churches, and sunny skies, makes this area of Panama City beautiful.

Panama City is the oldest Spanish settlement on the mainland of the Americas, since it was formed in 1519, so it is no surprise to see such an influence on the architecture of the city.

A true architectural highlight in Panama is Biomuseo, which is a great example of modern architecture that is growing in popularity in the country.

We will look at Biomuseo in more detail further down the blog.

A colourful building in Panama

Colourful buildings are popular in Panama.

Quirky architecture in Panama

There is a mix of traditional and modern architecture.

An abundance of Street art in Costa Rica.

Quirky Architecture caught my attention in Panama, but it was beautiful street art in Costa Rica!

Street art hasn’t always been popular in Costa Rica, it blossomed in the late 1990’s when American and Nicaraguan graffiti artists began to express their art in the Central American nation.

My favourite place to enjoy the graffiti murals was the ‘City of Colour’ district in San Jose, which I visited during my day in the capital.

I found a variety of themes when exploring the murals in this area of San Jose, including politics, cartoons, and many expressions of the famous pura vida life in the happy nation.

An ideal Instagram location in Costa Rica!

Monteverde is another popular art spot where the colourful art adds to the Bohemian town’s close knit community spirit.

Street art in Montezuma in Costa Rica

Street art covers all of the towns in Costa Rica.

San Jose vs Panama City.

As I wandered through the streets of Panama City, I could have easily mistaken it for a city in the USA.

Skyscrapers blanket the skyline in the cosmopolitan city, as the towering buildings are the manifestation of a fast paced urban city vision, which the country held at the end of the 20th Century.

In contrast, a walk through San Jose offers a completely different vibe!

There is barely a skyscraper in sight, as the Costa Rican capital lives a more slower paced life.

When I spent a day exploring San Jose, I found the city to be very localised and not aimed at tourists.

Despite the city skyline of Panama taking off in recent years, there is still local life thriving. Tourism is not really very noticeable, so it is fun observing the local markets to gain a true sense of the culture of the capitals.

A fruit stall in Panama

A fruit stall in Panama City.

A fruit stall in San Jose in Costa Rica

A fruit stall in San Jose.

Interesting statues in the capitals.

One of the fascinating things I found in both capitals are the abundance of quirky statues dotted around the cities.

My favourites were the Eintstein head statue in the Via Argentina area of Panama City, and in San Jose, the quirky Los Presentes statues in front of the Central Bank Building, which were built as a monument to the Costa Rican workers.

Both statues represent important periods of the capitals’ history, so you should learn about their history before you go and visit them.

Enjoying a walking tour in San Jose in Costa Rica

Enjoying a walking tour in San Jose.

Walking and bike tours are the best way to explore Panama City and San Jose.

As San Jose is a compact and a walkable city, a guide tour is a great way of ticking off the main landmarks.

San Jose felt like a different city when I was exploring it from our guide’s storytelling perspective.

Enrique did move us onto the next location until everyone was satisfied and asked their questions.

The questions and answers from different people is a great way to learn about random things in the capital!

The coffee stop broke up the tour nicely and allowed us to get more personal with Enrique.

It is best to book in advance to secure your spot.

So you have walked San Jose with a guide, how about a bike tour in Panama City?

Another exercise based activity which is really fun.

I loved cycling through Panama City with a local. Mib was a great guide and made sure that we saw some offbeat areas of the city, while explaining the timeline of Panama City’s growth.

My favourite part was seeing the colourful Panama sign.

This is a great way to learn and explore at the same time, while burning your cocktails off from the night before!

Check prices and availability now for your trip.

A church downtown in Panama City.

A church downtown in Panama City.

The Panama Canal.

One of the biggest draws to Panama for global tourists is the Panama Canal which has now been in operation for over a century and is an example of some expert engineering.

The 50 miles long stretch of water consists of a series of artificial lakes, which are connected by a system of locks that raise and lower ships to different water levels.

Its primary purpose when built was to connect the Pacific to the Atlantic to greatly reduce shipping transit times and improve global trade.

The ocean to ocean Panama Canal tour.

If you want to experience the Panama Canal for yourself, there is the option to do so!

The Ocean to Ocean tour includes stops at Lake Gatun, Agua Clara Locks, and Fort San Lorenzo, with lunch, and thorough explanations of each stop and the general history of the canal.

If you are on a longer Panama trip, this full day tour is an awesome way of learning about the history and engineering of the Panama Canal, as well as its current operations, which are having a positive influence on modernising the country.

The famous Panama canal.

The famous Panama canal.

Panama or Costa Rica for beaches?

One of the highlights of my trip to Costa Rica and Panama are the beautiful beaches.

You really are spoilt for choice in these two countries as they both enjoy a Pacific and Caribbean coastline, both of which offer different, but equally fun vibes.

On the Pacific side of both countries, the surf culture is next level, and although surfing is still big on the Caribbean sides, I found the vibe to be a lot more laidback and chill.

Costa Rica beaches you have to visit:

Manuel Antonio National Park.

Wildlife, nature, sandy beaches and the Pacific ocean make Manuel Antonio a must visit spot.

Tamarindo Beach.

I felt a Hawaii style vibe during my time in Tamarindo and loved the line of beach bars which offer an awesome spot to watch the sun set. I also enjoyed a fun surf lesson during the day with an awesome local, therefore, Tamarindo will also be in my heart.

Puerto Viejo de Talamanca.

A Caribbean option, which offers the laidback vibe you would expect, along with quieter waters than the Pacific side, An ideal spot for snorkelling in clear waters.

Beach in Bocas Del Toro in Panama.

Bocas Del Toro in Panama.

beach at sunset in Tamarindo in Costa Rica.

Tamarindo in Costa Rica.

Some popular beach destinations in Panama:

Playa Blanca.

A more chilled Pacific beach destination, which is ideal for relaxing and family trips.

Santa Catalina.

An awesome surfers town located on the Pacific side, with an abundance of available wellness and yoga retreats. Very similar vibes to Tamarindo in Costa Rica.

Starfish beach in Panama.

Located on Isla Colón on the Bocas del Toro archipelago on the Caribbean side, with the main highlight being the beautiful starfish on the edge of the water. The crystal clear waters make it a dream for marine life lovers.

The beach also goes by the name of ‘Playa Estrella’.

Isla Diablo in Panama.

Isla Diablo in Panama.

Which country has the best cuisine?

There are many similarities in the cuisine in Panama and Costa Rica, mainly in the staple foods used in the dishes, which include rice, beans, plantain, and corn.

I felt that many of the meals in the local soda restaurants were similar to what you would expect in Mexico.

Interestingly, the national dish of both countries is usually enjoyed at breakfast, lunch and dinner.

What is the food like in Panama?

Panama has a more extensive coastline on its Pacific and Caribbean side than Costa Rica, so you can expect to find more fresh seafood. I also found Panamanian food to be much spicier than Costa Rica, which is a result of more use of spices achiote (annatto) and chilli peppers.

Indigenous, African, Spanish and Caribbean influences have created a unique taste in Panamanian food.

Panama national dish: Sancocho.

A broth style stew with vegetables, plantains, corn, and a meat included, which I had served with veg and rice as a side.

Other notable Panamanian dishes you should try:

  • Ropa Vieja.

  • Ceviche.

  • Tamales.

Sancocho in Panama.

Sancocho in Panama.

What is the food like in Costa Rica?

The pura vida way in Costa Rica is infectious, even with the cuisine!

There is an abundance of ‘healthy’ restaurants in line with the eco tourism focus of the country. Montezuma, Tamarindo, and La Fortuna are all densely populated with vegan spots, and healthy breakfast options.

Similar to Panama, the cuisine in Costa Rica has been influenced by foreign tastes, especially with tourism growing at a rapid rate.

National dish of Costa Rica - Gallo Pinto.

A mix of black beans and white rice, usually served with onions, peppers, and cilantro for added flavour. Mine was also served with fried egg, sour cream, and toast.

Other Costa Rican dishes which I enjoyed:

  • Chicken Casado.

  • Olla de Carne.

  • Arroz con Pollo.


Both countries have a major International influence on cuisine, especially in tourist spots. I noticed American and South American themed restaurants throughout both countries.

The malls were the main places where I saw recognisable fast food chains operating!

Costa Rica wins for food!

Gallo Pinto in Costa Rica.

Gallo Pinto in Costa Rica.

Is Costa Rica or Panama better for sunsets?

As they are geographically very close, the sunsets in both Costa Rica and Panama are sensationally similar.

Chilling on an island in Panama watching the sunset in pure tranquillity is awesome, as is sitting in a beach bar in Tamarindo with an ice cold beer, watching the horses trot past.

The stunning sunset I enjoyed in La Fortuna behind the Arenal Volcano takes the win though.

It was a unique travel moment which we just happened to witness randomly on our way to a tour.

I feel as though the landscape in Costa Rica creates such special experiences as the sun sets.

Is Costa Rica or Panama cheaper to visit?

From my experience, Costa Rica is far more expensive than Panama for almost everything.

If you want the true Central America budget backpacking trip, then Costa Rica doesn’t fit in as well as its surrounding neighbours. I found Costa Rica to have similar costs to many places in Europe and the USA, surprisingly!

My tips to help you save money in Central America.

Your budget will dictate your experience while travelling in any country, however, regardless of whether you are in Costa Rica or Panama, these tips will help your spending budget go further.

Add free activities to your itinerary.

It doesn’t cost anything to enjoy a nice hike through the beautiful rainforests or miles of sandy beaches in both countries. Filling some days with nature adventures is a sure way to save money.

Visit in the rainy season.

Prices and crowds are down in the rainy season in both countries. Some days you will escape rain all together, so if you are on a budget, this is a good option. I visited Central America at the start of the rainy season and May and didn’t experience any rain.

Choose local over International when dining out.

You will see many Internationally themed restaurants in both countries as tourism rises, however, these options are considerably more expensive than the local Soda restaurants. Your cash will go a lot further using this option, and the meals are local and very filling.

Cycling through the forest in Panama

Cycling through the forest in Panama.

Getting around both countries.

Panama and Costa Rica can be very cheap to travel around if you use the public bus network, but this does come at a time cost, especially in Costa Rica, as the poor road infrastructure means the journey time between destinations is longer than many countries.

I found the bus network to be more efficient and comfortable in Panama!

In Costa Rica, I used shuttles several times, but this is an expensive option, and still takes a while for journeys.

On average it is around $50-$60 for journeys below 3 hours, and $75 + for longer trips on a shared shuttle service between different locations.

Panama is slightly cheaper at around $25-$35 for shorter trips, and $45-$60 for longer ones.

There are more shuttles in Costa Rica, therefore, the timings can be more flexible.

Getting on the bus in La Fortuna in Costa rica

The bus is the cheapest option to travel through Costa Rica.

Panama city is more efficient than San Jose.

Using the metro system in Panama City was enjoyable, as it is a clean and efficient way to get around the city. You can tell that the Panama Canal has had a positive influence on the infrastructure of the capital. It feels very modern and similar to western capitals.

San Jose is more of a walkable city.

I found San Jose to be much more walkable than Panama City, as it is smaller and much more compact. I didn’t notice as many people using taxis, and it is very pedestrianised downtown.


Expect delays and rugged landscapes in Costa Rica.

As I mentioned above, delays are very common in Costa Rica due to the rugged landscape.

It takes some planning to drive around a giant volcano and abundant rainforests!

When I visited Montezuma, the roads in and out of the small bohemian town were very small and I noticed many buses struggling to drive on them.


Island Hopping is made easy in Panama.

If you are on a longer itinerary in Panama, you will most likely want to go and visit some of the beautiful islands!

Boats and ferries are essential for exploring Panama's islands and coastal regions, and there are three main types:

Water Taxis - Used to connect mainland towns to nearby islands, and usually carry a dozen people.

Large Ferries - They offer more comfort for longer distance journeys between Panama City and islands such as the Pearl Islands.

Panga Boats: Small motorboats which are used for navigating within archipelagos like Bocas del Toro, as they are ideal for narrow waterways.

Nature and climate.

Both countries are very similar in terms of climate, which is tropical, including dry and wet seasons.

The temperatures in both countries remains hot all year round, with dry season typically running from December to April, and wet season, from May until November.

If you visit in the shoulder season months of May and November, you will experience very little rain and less crowds.

Volcanoes & Waterfalls.

Both countries are home to volcanoes and waterfalls, however Costa Rica has more of both, along with having more active volcanoes.

Many of Panama’s are now dormant or extinct.

The Arenal Volcano in La Fortuna in Costa Rica is the volcano highlight across the two countries, offering a picture perfect setting for miles. It was active jas recent as 2010, therefore, you can still enjoy hot springs from its geothermal activity!


In terms of waterfalls, Costa Rica takes the win again.

Rio Celeste was my highlight because of its sky blue coloured water, which is a optical illusion, but unfortunately, you can’t swim there.

If you want waterfalls, which you are allowed to swim at, you have La Fortuna Waterfall in Costa Rica, or Llanos de Cortez Waterfall in Panama.

Both offer amazing vibes, and beautiful water to swim in.

I found Montezuma waterfalls to be a more offbeat option in Costa Rica, with a tricky self guided hike required to reach the main and bottom section of the three tiered waterfall.

You can head to the upper sections and do a spot of cliff jumping, which is also a fun experience.

Rio Celeste waterfall in Costa Rica

Rio Celeste is muy favourite waterfall in both countries.

National Parks.

Make no mistake, both Central American countries are phenomenal for national parks and you will love both!

With tourism being greater in Costa Rica, the national parks are much more established and better developed than Panama.

This is awesome for tourists who want a well planned out trip into the forests with knowledgeable guides.

However, If you prefer a more offbeat adventure, then Panama may be better for you!

I found there to be a larger variety of park types in Costa Rica, with volcanoes, cloud forests, and dream-like waterfalls offering visitors some picture perfect sites.

The most famous national park in Panama.

Darien National Park is famed in Panama for its biodiversity and beautiful nature and it was rewarded through being added to the UNESCO World Heritage list in 1981.

At 2,220 square miles, the national park is the largest protected area in Central America, which makes some areas of it still undiscovered.

This makes it an awesome spot for a spontaneous adventure!

A popular national park in Costa Rica.

Manuel Antonio is the most visited national park in Costa Rica.

Some visitors compare it to an open zoo as it is so well developed in terms of infrastructure and setup.

There are said to be hundreds of species of wildlife within the national park, but one of its unique aspects is that it is also home to some beautiful beaches.

Due to its popularity, advance bookings are essential.

You will see some sloths in Manuel Antonio!


Which country is best for sloths?

Costa Rica is best for observing sloths in the wild, as there is far more rainforest coverage in the country, compared to Panama.

Historically, Costa Rica has also put sustainable conservation practices in place to protect its rainforests, which has created an environment for wildlife and nature to flourish, including our little sloth friends.

It is very likely you will see a sloth in its natural habitat on your Costa Rica itinerary.

A rare sloth in Panama.

Panama is the only place to see the critically endangered pygmy sloth, as there is said to only be around 100 individuals left in the world, all located on ‘Isla Escudo de Veraguas’ off the Caribbean coast.

A wild sloth in Panama.

A wild sloth in Panama.

Which country has the best activities?

Both countries are abundant with outdoor activities, which have been developed around the natural beauty spots, so I would say they both could fill up a 3 month itinerary with ease.

I have listed some examples of my favourites for you to consider adding to your travel itinerary.

Here are two ways of exploring the biodiversity of both countries in very different ways:

Biomuseo - Panama city.

Panama and Costa Rica are both very important counties for biodiversity and the natural formation of the Earth due to their location on the Central American Isthmus.

The Biomuseo is a state of the art Museum located on the Amador causeway in Panama City, which showcases the history of the biodiversity of Panama, along with the currents and climates formed by the country’s creation.

With Panama having a singular impact on the whole of planet earth, the Biomuseu was designed to make a statement as the first biodiversity museum in the world.

The quirky museum was designed by famous architect Frank Gehry in a modern way in line with the rest of Panama’s rapid development.


Spanish and English is used throughout the museum, and it costs 18 Panamanian Balboa (£14) to enter, making it one of the best places to visit in Central America with kids.

As I wandered around, it felt as though I was walking through the forest with the sounds of nature echoing around the museum.

There is nothing like actually exploring nature, however, if you are on a shorter trip it is a great way to learn about it and enjoy a similar environment.

You will leave Biomuseo with some good knowledge of the unique history of Panama.

Biomuseo in Panama City.

Biomuseo in Panama City.

Mistico Park Hanging Bridges - La Fortuna.

How about the real thing in Costa Rica?

There is no better way of learning about the biodiversity of a country than connecting with its nature.

Mistico Park is a 2.7 mile circular loop walking trail which covers the ground level of a rainforest, along with taking visitors high above the rain forest on suspended hanging bridges.

I loved walking across the bridges and gazing into the distance, which was abundant with miles of forest.

The sounds of life in the forest are also fascinating!

A guided tour is essential to finding the secrets of the forest, along with guaranteeing that you will meet some awesome people.


Our tour guide Chris was amazing and made sure we got to see the true essence of forest life in La Fortuna.

He brought binoculars and a telescope which he set up for us all to observe the animals zoomed in, along with showing us camouflaged sections of the forest like tarantula houses and toad holes.

We would never have spotted these if we explored Mistico Park on our own.

All of the locals are very knowledgeable and explain the different ecosystems in the forest to visitors.

By the end of our tour, it felt like Chris was part of the forest!

Tom HEnty Enjoying the hanging bridges at Mistico Park.

Enjoying the hanging bridges at Mistico Park.

Spanish lesons in Montezuma in Costa Rica

Spanish lessons are readily available in both Panama and Costa Rica.

Are Costa Rica and Panama both safe to visit?

Before I visited the two Central American countries I had researched safety and found out that both are considered safe for tourists.

At no point in my trip did I feel unsafe, in either country!

The pura vida culture in Costa Rica is embedded in society, so it feels laid back throughout the country.

The only places I wasn’t too sure about were certain areas of San Jose on a night, however, Uber is readily available and cheap, so this reduces anxiety greatly.

Panama has invested heavily in its police force and other safety measures in the last two decades, so it also feels very safe to walk around, even at night!

Maintaining standard safety precautions will ensure you have a safe and enjoyable visit to both Costa Rica and Panama.


Want to make your visit to Central America more permanent?

Both Panama and Costa Rica now offer tailored visa programs for digital nomads wanting to reside in the countries.

A rise in coworking spaces throughout the popular destinations in both countries is evidence of a rise in international workers working online, while enjoying their beautiful charm and abundant nature.

Another great way to earn money in Costa Rica and Panama is to teach English.

Completing an online 120 hour TEFL course offers a level 3 certified qualification.

There are growing numbers of internationals teaching English as a second language throughout the Central American region.

The Panama-Costa Rican border.

The Panama-Costa Rican border.

My winner.

Costa Rica takes the win for me as it epitomises how the simple things in life can make you happy.

Nature, sunshine, and the Pacific does wonders for human beings!

Both countries enjoy these perks, so you can’t go wrong with either option.

Panama is modern and has a bright future, but Costa Rica is a proven destination, hence it has significantly more tourists visiting it.

The budget backpacker can enjoy more luxuries in Panama, but nothing is more luxurious than feeling the life of the Monteverde cloud forest or Mistico Hanging Bridges Park.

The Pura Vida life is for me!


Disclosure: I sometimes use affiliate marketing. This will not cost you anything, but helps with my travel costs. I only recommend companies I use myself.

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