Panama

The archipelago’s most developed island is home to the provincial capital of Bocas del Toro. From the mid-1990s, foreign investors flooded the island, creating hotels, restaurants and condos while infrastructure for water, trash and sewage lagged far behind. Today the island, which runs on diesel, struggles to find a balance between satisfying development and serving community needs.

Officially known as El Valle de Antón, this picturesque town is nestled in the crater of a huge extinct volcano, and ringed by verdant forests and jagged peaks. El Valle is a popular weekend getaway for urban dwellers in need of fresh air and scenery and is also a retirement community for foreigners, with some 200 resident expats from more than 40 countries. With an extensive network of trails, this is a superb place for walking, hiking or horseback riding. Nearby forests offer excellent birdwatching, and the valleys of El Valle are home to an impressive set of waterfalls and natural pools.

Colorful and full of Caribbean-style clapboard houses, Bocas del Toro (better known simply as Bocas town) was built by the United Fruit Company in the early 20th century. Today it is a relaxed community of West Indians, Latinos and resident gringos, with a friendly atmosphere that is contagious. It’s an easy place to adapt to and even easier to linger in.

Although it’s just a 10-minute boat ride from the town of Bocas del Toro, Isla Bastimentos is like a different world. Some travelers say this is their favorite island in their favorite part of Panama. The northwest coast of the island is home to palm-fringed beaches that serve as nesting grounds for sea turtles, while most of the northern and southern coasts consist of mangrove islands and coral reefs that lie within the boundaries of the Parque Nacional Marino Isla Bastimentos.

This Caribbean fishing village is so laid-back and languorous, it's hard to imagine it was once the greatest Spanish port in Central America. Mules carried Peruvian gold and Oriental treasures to Panama City via the fortresses at Portobelo. Though English privateers destroyed them many times throughout their history, several of these atmospheric colonial fortresses still stand amid village homes.

Boquete is known for its cool, fresh climate and pristine natural surroundings. Flowers, coffee, vegetables and citrus fruits flourish in its rich soil, and the friendliness of the locals seems to rub off on everyone who passes through. Boquete gained a deluge of expats after the American Association for Retired Persons (AARP) named it a top retirement spot. Until you see the gated communities and sprawling estates dotting the hillsides up close, though, you'd be hard-pressed to see what the fuss is about.

Cherished as Panama's cultural heart and soul, the Península de Azuero is a farming and ranching hub. The area's rolling hills are matched by a long and lovely coastline. Over time the peninsula has seen stark transformations – from verdant rainforest to cattle country, from indigenous land to Spanish stronghold and, finally, from a quiet town to surf central and one of Panama’s travel hot spots.

David is Panama’s second-largest city and the capital of Chiriquí Province. It's more a center of agricultural industry than a cultural hub. Yet with foreign capital flowing into Chiriquí, David is rapidly gaining wealth and importance, and is poised to boom.

The name of Veraguas province (literally “see waters”) is both descriptive and accurate – it is the only one of Panama's provinces and comarcas (indigenous districts) to border both the Pacific Ocean and the Caribbean Sea.

Coclé is known to Panamanians as the land of salt, sugar and presidents. More salt has been reclaimed from the sea, more sugar refined and more Panamanian presidents born here than in any other province. These facts are the source of great civic pride, but Coclé offers a lot more than table condiments and political legacies.