1 Balboa

Panama has never operated its own central bank and issues no paper currency of its own — the US dollar has served as the de facto national currency since 1904, with Panamanian coinage existing purely as subsidiary fractional tender fully interchangeable at par. The balboa, in practice, is a coin denomination without a banknote equivalent, making the one-balboa piece the largest denomination Panama actually mints.

KM#39.1 was struck at the Franklin Mint during years when Panama contracted outside facilities for much of its coinage production. The .1 variety designation reflects minor specification differences from the subsequent KM#39.2 subtype.