The Panamanian Balboa is the official currency of Panama, abbreviated as PAB in forex markets. It is pegged at parity to the US Dollar, meaning 1 PAB always equals 1 USD. US Dollars circulate freely alongside Balboas in Panama.
Example
“Because the Balboa is pegged 1:1 to the US Dollar, a trader paying 100 PAB for goods in Panama is effectively spending $100 USD.”