Ante Budimir guided Croatia to a 1-0 win over a stubborn Panama side in their World Cup Group L clash on Tuesday, giving the Balkan side a crucial three points and eliminating the Central Americans on a night where the stakes were high for both sides.

Croatia and Panama came into the match looking for their first points of the tournament and knowing that a loss would send them home early after England and Ghana drew 0-0 earlier in the other game in the section.

Toronto Stadium was painted red, white and blue -- the colours of both countries` flags -- on a windy evening by Lake Ontario. Croatia`s faithful serenaded attendees with a moving rendition of Hrvatski Band Aid`s "Moja domovina" rally song before kickoff, setting the tone for a lively match.

Croatia finally found a way past Panama`s organised back line in the second half when Marco Pasalic played a clever backheel to Josip Stanisic, who skipped forward and swung a cross into the box that Budimir guided home to put Croatia ahead and send their wall of fans behind the goal into a frenzy.

They nearly added another when Pasalic was played in all alone, though he could not beat goalkeeper Orlando Mosquera and then sent the rebound skyward.

Both teams went toe-to-toe in a physical midfield battle but it was Panama who gave Croatia plenty of scares in the opening period with their pace down the wings as Jose Luis Rodriguez and Amir Murillo sent crosses into the box, though no one connected.

The victory was a sweet finale on a special night for 40-year-old Croatia midfield maestro Luka Modric, who made his 200th international appearance and was thrown in the air by his teammates to mark the achievement at the end of the match.

While Panama have been eliminated, they still have a lot to play for in their final group-stage match as they continue to search for their first win at a World Cup, though it is a difficult ask against Group L leaders England.

Croatia facesecond-placed Ghana, who are level on four points with England, in their final group match.