Two dead in landslide as floods hit Panama

Panama City: Panama declared three disaster areas after two people were killed in landslides triggered by torrential rain.

"I have just seen the people who were killed and spoken with their families. This is more serious than people thought," President Ricardo Martinelli said in a posting on Twitter on Sunday.

The worst hit areas were Colon province on the Caribbean coast and the Capira area 60 kilometres west of Panama City, where a landslide buried two people inside their home.

Mr Martinelli toured hard hit areas and declared Capira, Chorrera and Colon disaster areas, to speed up assistance to them, a statement from his office said.

In Chorrera, water filled homes to the roof, rivers burst their banks and shops were flooded.

At least 800 homes have been damaged by the storm and 94 people had to be evacuated by rescue officials, emergency workers said.

"I have lived in Chorrera for 38 years and never seen anything like this," said Guillermo Ferrufino, minister for social development.

He said the death toll could rise as authorities begin to reach areas cut off by the heavy rains.