This country note briefly summarizes information relevant to both climate change and agriculture in Panama, with focus on policy developments (including action plans and programs) and institutional make-up. Like most countries in Latin America, Panama has submitted one national communication to the United Nations Framework Convention on Climate Change (UNFCCC) with a second one under preparation. Land use change and forestry are by far the largest contributors to green house gas (GHG) emissions in the country. The emission reduction potential of the sector is large, but not sufficiently explored. Panama counts with only five Clean Development Mechanism (CDM) projects, none of which are in the agricultural sector. It is estimated that Central America produces less than 0.5 percent of global carbon emissions, but it is one the most vulnerable regions to climate change related impacts on the planet. Agriculture is highly vulnerable to climate variability and weather extremes, this coupled with problems of land degradation in the country. A greater emphasis on reducing soil degradation, reforestation and developing and applying adequate insurance mechanisms can be placed for better management of public resources in light of natural disasters in the agriculture sector.