Car rental in Panama City, Panama

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There are 89 car rental providers in Panama City. Check out the map below to find the most convenient pickup spot.

The most popular car rental companies in Panama City

Renting a car in Panama City: Fast facts

Here's everything you need to know to hit the road happy.
Most popular car rental companyHertz
Most popular carPremium/Luxury, SUV
Average daily priceAED 375
Best time to bookLess than 1 week before

How to book the best car rental deals in Panama City

We’re frequently named as the most trusted travel search site out there. We scan hundreds of trusted travel providers and put it all in one place, allowing you to instantly compare car rental rates and then book with no fees. Here's how to get the most out of your Panama City car rental search.

How to find a cheap car rental deal in Panama City

  • Pick up a cheap rental car in Panama City for an average of AED 375 a day and hit the road happy. We do the hard work for you by searching all the top rental companies, putting amazing deals at your fingertips.

  • AED 48 is the cheapest daily price listed for a rental in Panama City.

  • For longer trips, pick up a weekly rental from AED 150 and make room for more adventures.

  • Here's your clue on when to book. Around three weeks in advance gives you the best window to grab the best price on a Panama City car hire.

  • Avis, MEX and Dollar are some of the best-known providers in the city. They're a smart place to start comparing offers.

  • Whether you choose Avis or another supplier, double-check the coverage on your Panama City car rental. Some companies include a collision damage waiver (CDW), while others offer it as an optional extra.

  • Booking a one-way car rental is often a great hack for finding a deal. Select 'Return car to a different location.' Providers sometimes have to move vehicles from one branch to another, which means you can bag some awesome one-way prices on a car for rent in Panama City.

  • Avoid any surprise charges by booking a vehicle with a 'Fair fuel policy.' Begin and end your trip with a full tank, paying only for what you use.

  • Hit the highway without watching the miles and racking up extra charges. Go to the 'Policies' filter and choose 'Unlimited mileage' to find a car that lets you go the distance.

Best value car rental options right now

  • You'll find the best deal with this company. Prices average AED 105 a day.

  • Next in line is this provider, offering daily rates of around AED 63.

  • The third option also keeps costs reasonable. Expect to pay roughly AED 297 a day for one of their rentals.

  • After a car that works for most trips? The Premium rental category is the number one choice for travelers visiting Panama City.

Flying to Panama City? Think about an airport pick-up

Compare car rental types in Panama City

  • Small: Whether you're zipping around the city or taking a quick trip, this car category delivers big value in a small package. Including mini and economy classes, you can expect easy handling and excellent fuel efficiency.

  • Medium: Not too small, not too big, this is the Goldilocks of rentals! Typically including compact and intermediate cars, they strike a balance of fuel efficiency and interior space and are good for couples and small families.

  • Large: Long drives fly by in this Panama City car hire category. Also known as full-size, their bigger engines are built to perform. The extra space and comfort make them an excellent option for groups of friends and families.

  • SUV: Get a higher ground clearance and a commanding view of the journey ahead in an SUV. Whether you're carving through winding trails or cruising along wide-open highways, many offer all-wheel drive to keep you steady on any road.

  • Van: Go for this vehicle category when you want a car for rent in Panama City that makes light work of heavy loads. Typically featuring commercial vans and trucks, they're made to carry more, whether that's supplies, suitcases or groups of people.

Insurance and optional extras

  • Excess insurance covers what you'd otherwise have to pay if your Panama City car rental is damaged or stolen. While not mandatory, it's a smart add-on if you'd rather play it safe. Just remember that not all insurance policies are equal, so make sure you know exactly what's offered.

  • Take your ride to the next level with extras like mobile Wi-Fi or a reverse camera. These add-ons can turn your drive into a smoother experience when you rent a car in Panama City.

Good to know

  • Rental age requirements aren't always the same everywhere. Companies can set their own policies, and if you're a younger driver, you might run into extra costs or rules. Check the exact rules for each supplier before booking your car rental in Panama.

  • Bringing the kids with you? Car seat requirements vary from one location to another, and the best setup may depend on their age, weight and height. Be sure to add the right one to your Panama City car rental booking.

  • Come prepared to keep the pick-up process smooth. You'll generally need your physical driver's license (no electronic copies) and another form of photo ID. Also bring along a credit card with room for the security hold. If extra requirements apply, your booking will list them.

  • Spend some time getting acquainted with your rental. Fix your seat and mirrors, test the brakes and blinkers, and get used to how it handles before you set off. And don't forget to stay on the right side of the road in Panama.

  • Follow the local speed limits. Most of the time that's around 45kph in urban areas and 110kph or so on highways, unless signed otherwise.

  • A blood alcohol concentration (BAC) limit of 0.05% applies in Panama. The safest choice for staying legal to drive is to not drink at all.

  • Around 8am is one of the busiest times for traffic in this destination. Try to avoid peak travel times generally for a more relaxed drive.

Best hotels in Panama City for drivers

  • Spend less time circling for a parking space and more time enjoying the comfort of Sofia's B&B Hostal Boutique. About 3 kilometers from central Panama City, it comes with parking, air conditioning and a laundry.

  • Sofitel Legend Casco Viejo - Panama City makes life simpler with parking and features such as a fitness center and a beauty salon. It's roughly 3 kilometers from the city center.

  • Browse through the range of hotels in Panama City for even more choices. Use the 'Parking,' 'Outdoor parking,' and 'Valet parking' filters to find the ideal fit. You can even select the 'Electric vehicle (EV) charging station' filter to limit results to EV-friendly stays.

  • It's time to start exploring now you've found a car rental deal in Panama City and your hotel. From Casco Viejo to Metropolitan Cathedral (Catedral Metropolitan) and Independence Square, you'll find plenty to fill your days here.

Hit the road: Where to drive to from Panama City

  • Keep traveling to Colon. Around 56 kilometers northwest of central Panama City, it's home to must-sees like Agua Clara Locks and Catedral Inmaculada Concepcion.

  • You'll be well taken care of at Radisson Colon 2,000 Hotel & Casino and New Washington Hotel, two accommodation options with parking in Colon.

  • Or make the trip to La Chorrera after picking up your cheap car rental in Panama City. It's around 31 kilometers west and features highlights like La Esquina Real Hortencio De Icaza.

  • Stretch your journey and road-trip it to Pocrí, around 137 kilometers southwest of Panama City. First, swing past Stella Sierra Regional Museum, then spend some time at Parador Fotográfico | Aguadulce.

Frequently asked questions

On average, renting a car in Panama City will set you back around AED 375 per day or AED 1,956 per week. 
The cheapest car to rent in Panama City is a compact pickup. The most popular is Premium/Luxury, SUV.
The cheapest car rental companies in Panama City are currently Fox - Rent A Car and MEX.
Scoring the best car rental deal depends on when you book – often, it pays to book your wheels as far in advance as possible. However, according to our data, the cheapest month to rent a car in Panama City is currently July.
On average, around AED 1,956. But the best price we found for a car rental for a week in Panama City is AED 150.
Based on everything we know about daily prices, the average cost to rent a car in Panama City for a whole month is AED 2,853. 

But sometimes, you'll get a discount for booking a whole month instead of 3 and a half weeks. So play with your dates to find the best deals!
If you're looking for freedom to explore Panama City, choose a car with unlimited mileage, or look for car rental deals with a "full to full" fuel policy as opposed to a "half-full to full" one.

We also clearly highlight car and van rental options in Panama City that have free cancellation
Yes – you can easily find car rental companies that allow you to pick up your car in one place, and then drop it off in another. Just select "Return car to a different location" when you search with us.
Public transportation can only get you so far, and could be tricky to navigate with children or luggage. With your own set of wheels, you can go wherever you want, whenever you want, and for as long as you want. You'll also be able to discover more outside of Panama City.
Most places – Panama City included – allow people under the age of 25 to rent a car as long as they provide a valid driver's license and the correct documentation. It may cost slightly more due to a higher insurance deductible for young drivers. 
The cheapest price we found for an economy car is AED 48 per day. The average price per day is around AED 173.
Of course. Most major car rental companies like Hertz, NU Car Rentals and Automarket Rent a Car offer baby and child seats as an add-on when you book.
Other travelers rated Budget as the best overall in terms of experience.
We search the Internet for all kinds of vehicle rental deals, including vans. But at the moment, we can't find any van rental in Panama City.