Is It Likely Panama Can Surpass Costa Rica As Tourism Leader in Central America?

By Christopher Lewis


Somewhere in the early 90s, Costa Rica became known as a have to see tourism destination in Latin America. Its name as an ecologically friendly, peace loving nation helped put the country on the radar for surfers, environmentalist and adventure-seekers. Meanwhile, CostaRica's southern neighbour Panama was still suffering from a post-Noriega hangover. The transition of the Panama Canal from U.S. Control was not all smooth sailing, and the initial few elected govts struggled to pull Panama into modern times. The idea of Panama becoming a major tourism destination seemed but a distant dream.

Jump forward to the present day. The beautiful Costa Rica still is considered one of the top places in Central America for tourism, yet Panama is fighting for their position. This unlikely eventuality has happened for a range of reasons. First, where Costa Rica has slipped:

Structure: Costa Rica didn't make significant investments into its tourism framework during so many years of success. Roads are still deplorable, police are scant and underfunded, and the general public hospices are in coarse shape.

Cost: Whether due to the lagging dollar or local inflation, Costa Rica isn't an inexpensive holiday spot. In fact , it is a little bit costly. As that reputation grows, white-collar tourists will naturally look elsewhere.

Costa Rica's Own Success: Intrepid travelers wish to be the 1st kid on the block to go to visit a new destination. Now that Costa Rica has become so well known, it has nearly become passage to vacation there.Traveler trends change and it's virtually impossible for even the very best destinations to stay hip & relevant forever.

Compromised Values: Costa Rica is still a very eco friendly country with wonderful laws defending nature, wildlife and beach front. Nevertheless during the property boom of the 2000s, some projects managed to circumvent the regulations and build resorts and apartments that are basically not in accordance with the brand values that made Costa Rica great.

But Panama's growing popularity hasn't been exactly a function of Costa Rica's slight decline. Panama must be given credit for some of the efforts it has made to court tourists, retirees and foreign investment.

Mega Projects: Panama has taken on a fantastic quantity of big projects in the past few years. The growth of the Panama Canal is the most noteworthy. This project is to be completed in 2015 at a final cost of over $6 billion $. 1 or 2 major road projects have also been completed and a subway system in Panama Town is currently being built.

Copa Airlines: Panama benefits enormously from being the home and hub of Copa Airlines. Copa offers lots of daily flights to South and North America, actually making Panama the true heart of the Americas as is promoted in their selling materials.

Business Heart: Partly because of Copa Airlines and also Panama's location amid the Americas, it's a major business meeting place for multinationals.

Cheap Travel Destination: Thanks to Panama's affordable economy and the low cost of everything, it makes it a great place to live or to visit.. Panama City does have some reasonably pricey locations, but outside the capital is extremely affordable.

So , can Panama possibly supplant Costa Rica as tourism leader in the region? Anything is possible but here are the factors limiting this today.

Service: Panama has a rather serious service problem. Part of this stems from a superannuated labor code that was built to protect staff from the notoriously abusive practices of fruit firms almost a century gone. High work figures.

Quality Destinations & Hotels: Costa Rica has some well established destinations such as Manuel Antonio, Tamarindo, Arenal Volcano, the Guanacaste Province. These are just a few of the locales with a network of hostels, B&Bs, rentals, diners and tour operators which make a destination great. Panama is still very much in its tourism nappies when it comes to having an established tourism sector in multiple destinations. The country has put so much stress on The Canaland Panama City for the previous decades that the remainder of the countryside,known domestically as "the interior" has needed to develop essentially on itsown. As such, it is still a bit disconnected, physically, financially and culturally, from the capital. Panama's top-flight are building a walled-in resort area about 2 hours from Panama Town, complete along with its own aeroport, yet the more well known. Destinations are Bocas del Toroand Boquete. These are 2 remote towns, the former a Caribbeanbanana town and the second a coffee growing mountain town. Bothborder Costa Rica and due to their distance from Panama Town, grew slower and organically than the resort cities nearer to the capital.

Countrywide Parks: One of Costa Rica's best strengths is the fantastic system of National Parks. A reasonably crude National ParksService is a massive opportunity for Panama, as the country has as much or more natural beauty, wildlife, flora & fauna as Costa Rica. Sofar, National Parks have not been a point of focus, pride or promotion by the Panama Tourism Authority, yet the potential is simply enormous. Plenty in the tourism sector are concerned that Panama's pro-development approach may be on a collision course with a more eco-sensitive tourism plan.

Authenticity: Panama needs to learn some lessons from Dubai; it's difficult to turn out paradise. Today's global traveler is better educated, connected and savvy than ever. They are unafraid of foreign cultures and hunt down authentic, unique experiences.Travelers aren't crying out for another Cancun. Unfortunately the states major developers have an inclination to pave over Panama's past and build jumbo, Disney-esque versions what they suspect foreigners need. This too frequently ends up looking like re-hashed versions of 1990s Miami, rather than anything uniquely Panamanian. As an alternative Panama should stress the entrancing culture, history and nature that the country has to give.

Although Panama is gaining ground on Costa Rica the fact remains that it still has a little ways to go. In order for Costa Rica to maintain its foothold it will have to reinvent itself.




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