We came to the capital city of Panama excited. The city looked promising from a distance. All excitement evaporated during the walk on the very first evening. We noticed barbed wires securing private properties, neglected buildings, and abandoned construction sites. It was one of the best neighborhoods, but there was no decent restaurant near our hotel. Panama City streets are not pleasant. Some may think that modern high-rise architecture goes hand in hand with a high living standard. This is misleading. Panama City, despite the fact that it looks modern, still belongs to the third world and is no match for the modern city centers of Europe and North America.

Fortunately, there is the historic quarter of Panama City. Located on the peninsula, Casco Viejo (Old Town) has preserved brick streets, colorful houses and many historic churches. The architecture of the old town is a mixture of Spanish colonial and traditional Caribbean architecture. It is not difficult to notice that balconies with wrought-iron railings hanging above narrow streets dominate here.

Casco Viejo has two faces. Nice stylish part has government buildings, hotels and restaurants. It is in contrast to the neglected poor neighborhood where buildings are in a state of decay and where loud Latin music dominates.