The US Geological Survey measured the quake at magnitude 7.6, as a tsunami threat notice was issued.
A powerful 7.6-magnitude earthquake struck Panama on Friday morning, shaking buildings as far as the capital and triggering evacuations, according to the US Geological Survey (USGS).
The quake's epicentre was located near the country's southern tip, around 14 kilometres southwest of the remote community of Pitaloza Arriba, the USGS said.
Tremors were felt in Panama City, where buildings shook and residents rushed into the streets. Residents gathered outside as they awaited updates on the quake's impact.
Local media reported that the quake was also felt in parts of neighbouring Colombia. Panama's Civil Protection agency said it was assessing possible damage in areas near the epicentre.