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Common types of Residency Visas in Panama

Published: 2006-05-26 Send Print

In recent years the Republic of Panama has asserted itself on an international level as one of the best retirement locations world wide. This is due to several factors including:

  • Panama has a comfortable climate.
  • Panama has the US dollar as its currency.
  • Panama is a very large banking center.
  • Panama is free from major natural disasters.
  • Panama has modern medical facilities.

In light of the current boom in Panama, the Ministry of Immigration and Naturalization has imposed new visas. Some of the visa processes have become more flexible in order to generate migratory stability for foreign retirees.

The following four visas are most commonly used by tourists and foreign investors when making the move to Panama:

  1. The Retired Tourist Visa
  2. The Retirement Visa
  3. The Self-Economic Solvency Visa
  4. The Small Business Investor Visa

The Retired Tourist Visa

The applicant of the Retired Tourist Visa must b retired from a foreign government, international entity or private company. The retiree must receive a monthly income or pension of at least 500 USD and additional 100 USD for each dependant.

Benefits of The Retired Tourist Visa are:

  1. Total exemption from import duties on personal and domestic goods up to the value of 10,000 USD.
  2. Import tax exemption every two years on a motor vehicle for personal or family use.
  3. Indefinite residency as soon as the application is submitted.
  4. Multiple tax exemptions and discounts on various services in Panama, such as movies restaurants, concerts and public transportation to name a few.

The Retirement Visa

This visa requires that the retiree establish a long-term saving account with a minimum duration of 5 years, with Banco National de Panama, a sovereign bank. The amount of this deposit should generate a monthly interest of no less than 750 USD, an amount considered the monthly income of a retiree.

The main attraction of this type of visa is that it allows one to obtain a special renewable passport, issued by the Panamanian Government, which is valid for 5 years. This passport is a valid travel document for the bearer, but does NOT grant Panamanian Citizenship. This type of Visa takes roughly 15 working days to obtain, and must be requested through a Panamanian attorney.

Other benefits of the Retirement Visa are:

  1. Indefinite residency 15 years after applying for the provincial residency permit.
  2. Tax exemptions and discounts on various services in Panama, such as movies, restaurants, concerts public transport and medicine to name a few.
  3. Exemptions from import duties on personal goods up to a value of 10,000 USD.

The Self-Economic Solvency Visa

There are three ways to obtain this type of Visa:

  1. Purchase Real Estate in the Republic of Panama, for a minimum value of 200,000 USD and present evidence of sufficient economic solvency to cover associated costs.
  2. Purchase real estate in the Republic of Panama, for a minimum value of 80,000 USD and establish an account with a local bank, for a period of at least two years, with a minimum deposit of 120,000 USD.
  3. Open a long-term account in a local bank for a period of at least 2 years, and a minimum deposit of at least 200,000 USD.

Benefits of The Self-Economic Solvency Visa include:

  1. Permanent residency one year after applying for the provisional residency permit.
  2. The right to a Panamanian Cedula (ID card)
  3. The option to apply for Panamanian nationality five years after receiving the permanent residency.

The Small Business Investor Visa

This type of Visa requires a minimum investment of 40,000 USD and maximum investment of 150,000 USD. All documents expedited outside the Republic of Panama must apostilled or certified by a Panamanian Consulate in the place of expedition.

Among the benefits included in The Small Business Investor Visa are:

  1. Permanent Residency four years after applying for the provisional residency permit
  2. The Right to a Panamanian Cedula (ID card).
  3. Option to apply for Panamanian nationality 5 years after receiving the Permanent Residency.

Panama is a melting pot of cultures, lifestyles and landscapes, and as a result an attractive place for investors, tourists and foreigners from all walks of life to set up their second homes, live peacefully and have available all the amenities to which they are accustomed. Further to this, The Ministry of Immigration and Naturalization reserves a strong position on encouraging foreign investment, for this reason methods have been established to process these common types of visas more rapidly than other types of immigrant visas.

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