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There is a good range of nightlife in Panama City, including many nightclubs, casinos and theatres. There is often live entertainment available in the many hotels in the city. Food from around the world is available, particularly American, Spanish, French and Chinese food, as well as seafood and the local cuisine, which is similar to spicy Creole cooking.

Colon and the other main towns also have many restaurants, music venues, cinemas and casinos.

Shopping is a very popular pursuit in Panama, since it is a duty-free zone where imported products from all over the world are available for purchase at heavily discounted prices. Panama City in particular has many excellent shopping malls.

Panama's location and natural features make it an ideal location for water-sports. There is excellent snorkelling and diving, particularly off Coiba Island, while the best surfing is at Santa Catalina Beach on the Azuero Peninsula. Diving in the Panama Canal to explore the wrecks is also popular. Another big attraction for foreign visitors is the abundant wildlife and birdlife. There are also a number of world-class golf courses in Panama.

Among the locals basketball and baseball are extremely popular spectator and participant sports. Cycling, tennis and horse-racing are also popular in Panama.

There are many religious and other festivals celebrated here. One of the highlights is the Carnival held in Panama City on the four days preceding Ash Wednesday, which includes much music, dancing and a big parade.

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