It is an indigenous territory of the Guna ethnic group in Panama. It was created in 1996 from territories east of the province of Panama, in the district of Chepo. It is currently not separated into districts, nor does it have a designated capital. Its area is 2,318.8 km2 and is located near the Bayano River.

The colorful environment in Madugandí is wrapped in mystery. It is a visual delight to view hundreds of homes made from wood and palm leaves, with colorfully dressed Guna children nearby. Unlike the Guna Yala region, little is known about them, since they have not been an indigenous territory for very long. That fact makes the town even more calm, with little influence from the modern world.

In this area you can purchase an authentic mola, handmade by the Guna women. This traditional art has received worldwide recognition for their beauty and quality of handicraft.