The celebration is celebrated every three years and draws young Catholics together from all over the world.
The 2016 festival took place in Krawkow, Poland last week and more than a million people from across the globe turned out to see Pope Francis.
Concluding his trip to Poland, the pontiff said: "God's providence is always one step ahead of us.
"Think: it has already determined the next stop in this great pilgrimage begun in 1985 by Saint John Paul II!
"So now I am happy to announce that the next World Youth Day - after the two that will be held on the diocesan level - will take place in 2019 in Panama."
He went on: "I invite the Bishops of Panama to approach, and to join me in giving the blessing.
"Trusting in the intercession of Mary, let us ask the Holy Spirit to enlighten and sustain the journey of young people in the Church and in the world, and make you disciples and witnesses to God's mercy."
There are around 2.7 million Catholics in Panama.
Previous World Youth Days have been held in Rome, Buenos Aires, Manila, Toronto, Sydney and Madrid, among other countries.
