The capital of Panama is Panama City. Panama City is located near the center of the country, adjacent to the Canal Zone, and it has been the capital of Panama since the country achieved independence from Colombia in 1903.
With a 2010 population of 880,691, Panama City is also the largest city in Panama. The richest city in Central America, Panama City has become a center of international business since the opening of the Panama Canal in 1914. It is home to two UNESCO World Heritage Sites, Casco Viejo and Panamá Viejo, as well as a number of museums and monuments. Panama City was founded in 1519 by Spanish governor Pedro Arias de Ávila.