8 Countries Where the US Dollar is Widely Accepted

2. Panama - A Historical Connection

Panama's relationship with the US dollar dates back to the early 20th century, rooted in the construction of the Panama Canal. The canal project brought an influx of American influence, including the adoption of the dollar alongside the Panamanian balboa, which remains pegged to the dollar at a 1:1 ratio. This dual currency system has facilitated trade and investment, making Panama an attractive hub for international business. The dollar's presence has also contributed to Panama's reputation as a financial center, drawing banks and corporations seeking a stable and predictable economic environment. Panama's unique position showcases the dollar's role in shaping global commerce and infrastructure.