Panama has put together the most appealing program of special benefits for retirees you’ll find anywhere in the world today…and it’s open to foreigners. The program outlines a series of senior discounts for retiree-age members and includes a permanent residence component for foreigners with pensions.
Types of Visas
Panamanian politicians and the business community have recognized the opportunity presented by promoting the country as a world-class retirement haven. That’s led to a flurry of new visa possibilities, from the humble pensionado visa all the way to sophisticated investor permits.
Temporary Visas
Like neighboring Costa Rica, Panama has recently introduced a 180-day visa waiver for tourists. This applies to most European and Latin American countries as well as the US and Canada. You’ll need your passport, Proof of return ticket or onward journey, and proof of sufficient funds.
The short-stay visa for remote workers is for people who can work remotely for employers or clients outside Panama. You must have a minimum monthly income of $3000 or $4000 if you have dependents. You’ll need to prove your employment and income. The visa lasts for nine months and can be renewed once.
Long-Term Visas
Panama is unusual in that its most popular program, the Pensionado visa, grants immediate permanent residency. But there are other ways to get long term residency, all of which lead to permanent residency after two years.
Friendly Nations Visa
Citizens of over 50 countries deemed "friendly" by Panama, including the US, Canada, most EU countries, and more, can acquire long-term residency rights by showing proof of economic or professional ties to Panama. This can either be through employment, business, or purchase of real estate. You also need a bank account in Panama with a minimum balance of $5,000.
This initially grants temporary residency, which can lead to permanent residency after two years.
Business Investor Visa
Entrepreneurs interested in starting or investing in a business in Panama who put in at least $160,000 and create at least five full-time jobs can get this permit. It's temporary, but it can lead to permanent residency after two years.
Permanent Residency
There are three main routes to immediate permanent residency in Panama.
Pensionado Program
Retirees or pensioners with a lifetime pension of at least $1000 per month qualify. If you purchase real estate in the country valued at $100,000 or more, this requirement drops to $750. The visa includes all sorts of discounts and perks, including healthcare, restaurants, transportation, and tourism.
Self-Economic Solvency Visa
Individuals with sufficient personal wealth who are prepared to deposit $300,000 in a Panamanian bank for three years, or buy Panamanian real estate worth $300,000, or a combination of the two, can get immediate permanent residency.
Qualified Investor Program
Individuals investing at least $500,000 in Panamanian real estate or $160,000 in a Panamanian business get immediate permanent residency.
Citizenship
Foreign residents of Panama can apply for citizenship after five years of continuous permanent residency. During this period, you must have lived inside the country, with “minimal time” spent outside. The law does not clearly define this.
In addition, you must show sufficient proficiency in Spanish to conduct all naturalization processes in the language. You must also show a good understanding of Panamanian history, culture, and government. Finally, you'll have to show that you've established sufficient links in Panama, paid your taxes, and generally been a good resident.
Panama does not officially recognize dual citizenship, but in practice, very few people are required to give up their original citizenship.
Note that the Panamanians are quite serious about the “social integration” aspect. Some people claim that it's almost impossible to get citizenship by naturalization, but in most cases, this appears to be because they've tried to skirt this aspect of the requirements. Red flags include failing to learn Spanish and spending too much time outside the country.
Requirements and Documentation
Visas
Passport: Valid passport with at least six months of validity remaining beyond the intended stay. Some visa categories may also require a copy of all pages of the passport, not just the identification page.
Application Form.
Passport-Sized Photos: 2-3.
Proof of Financial Means: Bank statements, proof of income, or a letter from an employer demonstrating the applicant's ability to support themselves financially during their stay.
Criminal Background Check: A recent (usually within the last three to six months) criminal background check from the applicant’s home country or any country where they have resided in the last five years.
Medical Certificate: A medical certificate from a licensed physician confirming the applicant is in good health and free from contagious diseases.
Health Insurance: For short-term visas like the Digital Nomad, proof of health insurance that covers the applicant for the duration of their stay in Panama.
Proof of Employment or Business Activities: For work visas, investor visas, or other employment-related visas, proof of employment (such as a job offer or employment contract) or proof of business activities may be required. This could include company registration documents for business owners or contracts for independent contractors.
Marriage or Birth Certificates: If including dependents in the application, marriage certificates (for spouses) or birth certificates (for children) are required. These documents must be authenticated or apostilled.
Proof of Investment: For investor visas, documentation showing the required investment has been made, such as real estate purchase documents, bank statements, or business registration certificates.
Sponsor Letter: A letter from a Panamanian sponsor or employer, if the visa application is being supported by a third party.
Documents from outside Panama often need to be apostilled in the country of origin before being accepted by Panamanian authorities. Non-Spanish documents may need to be translated into Spanish by a certified translator.
Citizenship
Passport valid for at least six months.
A medical certificate from a Panamanian doctor.
Clear Criminal Record from the applicant's home country and any country where they have resided in the past five years.
Copy of your permanent residency card.
A valid passport.
Proof of your legal residency in Panama for the required period.
Birth certificate.
A sworn statement of your intention to reside permanently in Panama.
Letters of reference from Panamanian citizens who can vouch for your character.
Processing Time
As Panama has become increasingly popular as an expat destination, processing times have increased. Most people who have been through the program confirm that the process is vastly easier and quicker if you work through a local attorney or immigration consultant. Here are the average times for the various visa programs:
Pensionado: two to four months.
Digital Nomad: two to three weeks.
Friendly Nations: three to six months.
Qualified Investor: one to three months.
Self-Economic Solvency: Four to six months.
Business Investor: three to six months.
Cost
Fees for Panamanian Long-Term Visas and permanent residency visas vary depending on the individual’s circumstances. Here are our current reported ranges:
Digital Nomad: $300 to $500.
Pensionado: $1000 to $1500
Digital Nomad: $300 to $500
Friendly Nations: $1000 to $1500
Investor Visa: $1500 or more, depending on the investment type.
Permanent Residency: $800 to $1500.
If you hire an attorney, legal fees range from between $1,000 and $5,000. You’ll also need to pay to translate and authenticate documentation.
Contacts
Embassy of Panama
2862 McGill Terrace NW, Washington, DC 20009
Tel. (202) 483-1407
Email: info@embassyofpanama.org
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