The Panamanian Government has created several laws which, depending on the particular type of visa applied for, enable foreigners to obtain legal temporary or permanent residency, work permits, and in some cases citizenship and / or passports in the Republic of Panama.
Most of these laws have been created to promote foreign investment in the country which benefit the local economy of Panama. Please check with your legal advisor regarding which one is the most convenient and best option for you.
In addition to the types of Visa and Residence programs for Panama listed below there is a Multiple Entry & Exit Visa Program that provides Residency Visas for foreigners so they can establish residency and permanently reside within the territory of the Republic of Panama. An "immigrant" is a foreigner or tourist that has completed a resident Visa application program and has obtained a Permanent Resident Card in Panama. Every Immigrant and / or Resident should have an Entry and Exit Visa if he or she plans to travel into and / or out of the Republic of Panama. The Multiple Entry & Exit Visa allows foreigners to enter and exit the Republic of Panama as many times as necessary during the validity of the Multiple Entry & Exit Visa, or until the expiration date of the Visa.
ALL TOURISTS ENTERING PANAMA ARE GRANTED A 90-DAY STAY RENEWABLE TO 60 ADDITIONAL DAYS UPON REVIEW AND COMPLETION OF ALL PREREQUISITES.
IMPORTANT: Click here to find out if you need a visa to enter/visit Panama
PANAMANIAN CONSULATES NEAR YOU: Click here to find out where.
1. Pensioned Visa (Turista Pensionado)
This program allows foreigners to obtain legal residency in Panama under the condition that they are retired or pensioned. According to the immigration Department of Panama, there is no minimum age required to qualify. The applicants retirement income (or pension income) amount must be at least $1000 USD / month or a mixture of US$100,000 in directly-held Panama real estate (the law does not specify if the property is free of mortgage)in which case the retirement income is reduced to $750. For each dependent, the retirement income (or pension income) amount must be increased by $250 USD. The applicant’s income must be proven by providing documentation such as a letter from the institution or company that pays the retirement or pension income. This certification must be notarized and authenticated by the Panamanian Consulate nearest you.
The Pensionado Visa is granted indefinitely but it is necessary to prove to the Immigration Department on an annual basis that the income is still flowing from your pension. The benefits include one-time exemption of duties for the importation of household goods (up to $10,000) and an exemption every two years of duties for the importation of a car. There is also a basket of other benefits and discounts available to those holding this Visa. Click to read more on Pensionado Benefits. However, please note that under this visa you cannot qualify to acquire Panamanian nationality or a Panama Passport. It is an instant permanent residency program.
BONUS:Click here to read additional benefits of a Pensionado Visa
This program allows foreigners to obtain immediate Panamanian Passport under the condition that they make a 5 year time deposit (certificiate of deposit - "CD") at the Banco Nacional de Panama which earns a minimum of $2000 US per month in interest income.
At current interest rates, this would mean that the investor would need to deposit a minimum of $500,000 USD in the 5 year time deposit at the Banco Nacional de Panama. The monthly interest earned from the time deposit (CD) would be deposited directly into the applicant’s savings account and the applicant can withdraw the funds in the savings account at any time.
There are two levels of investment for the Reforestation Visa - $60,000 and $80,000, with an additional requirement of 10 and 20 hectares purchased respectively. Both have residency and lead to the ability to apply for citizenship after five years. The larger investment leads to a permanent residency after one year, the smaller investment leads to a permanent residency after five years requiring the visa to be renewed each year until the fifth year. After five years you can apply for citizenship.
This is a unique program where one invests in an approved Panama reforestation program. This allows the investor to obtain a Visa for themselves and their spouse as well as dependents. With this program you are investing in forestry projects generally dealing with teak wood but other types of trees are available. Some projects give you title to the actual land, usually about 2 hectares. The reforestation project must be an approved one.
Designed for those who wish to live in Panama off their own means, without the need or desire to work or start a business. The person must have a one-year certificate of deposit in any local bank of at least $300,000. Self-solvency investor visa minimum investment alternatives include also real estate for which at least US$300,000 is paid for, free of mortgage,or a mixture of a 3-year deposit and mortgage-free real estate up to a combined minimum of US$30,000.Self-solvency investor visa real estate may be held under a Private Foundation which founder or beneficiary is the applicant. Upon applying for the first, provisional renewal of this visa, the certificate of deposit must also be renewed for one more year. After renewal, the visa is granted permanently with the right to a cedula (local identity card). Five years after obtaining the permanent visa, holders will be eligible to apply for Panamanian nationality and Passport.
Designed for those who wish to establish a business in Panama (note, though, that some retail businesses and some professions are reserved to Panamanians). There must be a minimum investment of $160,000 and minimum of five, permanent Panamanian employees hired. It is granted provisionally for one year and after renewal is granted permanently with the right to be issued a cedula. Five years after obtaining the permanent visa, holders will be eligible to apply for Panamanian nationality and passport.
This type of visa is no longer available. As of August 26, 2008 this visa has been eliminated as an option to all foreigners wishing to relocate and live in Panama.
This program allows foreign investors to obtain legal residency in Panama under the condition that they must rent a plot of land or an office or building (rented through a 10 to 20 year concession) within one of the new tax free processing zones in Panama, for the purpose of operating a business from Panama that exports its products or services.
Tourist, student and maritime workers visas will be available at any Panamanian Embassy or Consulate or Embassy worldwide and the assistance of a Panama attorney will no longer be required, (although we think it would be a good idea to have such assistance).
Now some "permanent" visas are issued for life, but under the new law, a visa holder who leaves Panama for more than two years will lose their visa unless they obtain prior approval from immigration officials.
The fees for visa applications will be increased from $100 to $250, plus a new $800 refundable repatriation fee to guarantee a return home if the application is denied.
The Immigration Department is allowed 60 days to approve or deny any applications. If a determination has not been made by the 61st day, the application is automatically considered approved. (Knowing how Panama's bureaucrats work, I have my doubts about this).
The new law for the first time creates four categories for foreigners :1) Non-resident; 2) Temporary resident; .3) Permanent resident; 4) Foreigners under the protection of the Republic of Panama (political and other refugees). The rules that will apply to each of these categories are to be issued later this year, and therein lies concerns as to what these may be.
DISCLAIMER: All material included in the TropilandPanama web sites is for informational purposes only and may not reflect the most current legal developments, verdicts or settlements. The information should in no way be taken as an indication of future results. The material contained herein is not offered as legal or any other advice on any particular matter. Translations of the law are provided for informational purposes only, and are not provided as legal translations of the law.Back to Top
