|Elevation||591 ft (180 m)|
|Area||0.36 sq mi (1 km2)|
|- land||0.36 sq mi (1 km2)|
|- water||0.00 sq mi (0 km2)|
|Density||958.3 / sq mi (370 / km2)|
|- summer (DST)||CDT (UTC-5)|
|Wikimedia Commons: Panama, Illinois|
Panama is located at (39.030451, -89.523548).
According to the 2010 census, the village has a total area of 0.36 square miles (0.93 km2), all land.
Panama is Located in both Montgomery and Bond County Illinois. 2/3 of the village is in Montgomery County with the additional being in Bond County. Local Law enforcement is dispatched through the Montgomery County Sheriffs Office in Hillsboro Illinois 62049
As of the census of 2000, there were 323 people, 155 households, and 84 families residing in the village. The population density was 958.3 people per square mile (366.8/km²). There were 174 housing units at an average density of 516.2 per square mile (197.6/km²). The racial makeup of the village was 97.83% White, 0.93% Native American, and 1.24% from two or more races.
There were 155 households out of which 20.6% had children under the age of 18 living with them, 42.6% were married couples living together, 6.5% had a female householder with no husband present, and 45.2% were non-families. 41.3% of all households were made up of individuals and 16.8% had someone living alone who was 65 years of age or older. The average household size was 2.08 and the average family size was 2.75.
In the village the population was spread out with 20.4% under the age of 18, 6.2% from 18 to 24, 27.2% from 25 to 44, 24.1% from 45 to 64, and 22.0% who were 65 years of age or older. The median age was 43 years. For every 100 females there were 87.8 males. For every 100 females age 18 and over, there were 87.6 males.
The median income for a household in the village was $28,889, and the median income for a family was $38,125. Males had a median income of $29,861 versus $17,250 for females. The per capita income for the village was $21,634. About 7.5% of families and 14.0% of the population were below the poverty line, including 15.9% of those under age 18 and 8.3% of those age 65 or over.
Notable people 
- "US Gazetteer files: 2010, 2000, and 1990". United States Census Bureau. 2011-02-12. Retrieved 2011-04-23.
- "2010 Census U.S. Gazetteer Files for Places – Illinois". United States Census. Retrieved 2012-10-13.
- "American FactFinder". United States Census Bureau. Retrieved 2008-01-31.
- Allan H. Keith, Historical Stories: About Greenville and Bond County, IL. Consulted on August 15, 2007.
The town was founded in the early 20th century as the Shoal Creek Coal Company of Chicago sunk a coal mine shaft there. The shaft was completed in 1906. The town attracted many European immigrants. The Historical Society of Montgomery County offers more information about the early history of the village. http://history.montgomeryco.com/groups/Panama-Illinois