Panama is a Central American country lying on the Isthmus of Panama between North and South America. As a result of its geographical location, the country’s northern coast lies on the Caribbean Sea and its southern coast lies on the Pacific Ocean. This location has also made Panama the ideal place for a canal.
The Panama Canal was constructed between 1907 and 1914 by the United States, which had gained control of the Canal Zone after Panama achieved its independence from Colombia. The process of building the Panama Canal began with the creation of Lake Gatun by damming the Chagres river. Creating Lake Gatun made it unnecessary for the canal builders to dig through the entire Isthmus, which would have required several more years and millions of dollars to accomplish. The Panama Canal has made it possible for ships to travel from the Caribbean Sea to the Pacific Ocean without having to go around South America.
In addition to the Chagres river and Lake Gatun, Panama has hundreds of other rivers and lakes. The Gulf of Chiriqui and the Gulf of Panama lie on the country’s Pacific coast, with the Gulf of the Mosquitoes lying on the country’s Caribbean side.