The flag of Panama was made by Maria Ossa de Amador. It has been officially adopted by the “ley 48 de 1925”; the flag is celebrated on November 4, one day after Panamanian independence from Colombia.
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The first flag of Panama proposed in 1823 consisted of 7 horizontal stripes of red and yellow, with a blue canton containing 2 golden suns, joined by a narrow line to depict the oceans to be united by the Panama Canal (see the depiction below). However, this was not accepted by the Panamanian leader, Manuel Amador Guerrero, whose family designed a new flag.
The stars and quarters are said to stand for the rival political parties, and the white for the peace in which they operate. Blue was the color of the Conservatives, and red the colour of the Liberals.
The current Panamanian flag was made by Maria Ossa de Amador on November 1, 1903. The son of Manuel Amador Guerrero, generally recognized as a skillful drawer, sketched the flag and showed it to Maria Ossa de Amador, who, after much difficulty in avoiding the Colombian army, eventually produced three copies of the flag, which were all eventually flown in Panama City upon independence, and distributed widely. Wikipedia