Overview

• Description: Panama, located at the crossroads of North and South America, is a vibrant and diverse country known for its modern skyline, tropical climate, and rich cultural heritage. The capital, Panama City, is a bustling metropolis with a mix of colonial charm and contemporary architecture, while the countryside offers lush rainforests, beautiful beaches, and serene highlands.
• Attractions: Key attractions include the iconic Panama Canal, the historic Casco Viejo district, the Bocas del Toro archipelago, and the picturesque San Blas Islands. Popular activities range from exploring rainforests and diving in clear waters to enjoying the dynamic nightlife and vibrant local festivals.

Visa and Residency Options

Visa Requirements

• Types of Visas: Panama offers a specific Digital Nomad Visa, known as the “Short Stay Visa for Remote Workers”. This visa allows remote workers to live and work in Panama for up to 18 months.
• Application Process: The application can be completed online or at Panamanian consulates. Applicants must provide proof of remote employment, a clean criminal record, and health insurance.
• Documentation and Eligibility: Required documents include a valid passport, proof of employment and income (minimum of $36,000 per year), police clearance certificate, and health insurance coverage.

Long-term Stay Permits

• Extending Your Stay: Options for extending beyond the digital nomad visa include applying for a Friendly Nations Visa, which is available to citizens of specific countries and offers an easy path to residency.
• Application Details: Applications for long-term permits can be submitted through Panamanian consulates or immigration offices in Panama. Required documents include proof of economic solvency, a police clearance certificate, and a health certificate.
• Long-term Options: Long-term pathways include the Pensionado Program, which offers permanent residency for retirees, and the Friendly Nations Visa, which provides a fast track to permanent residency.
• Cost and Criteria: Costs for long-term visas vary, with the Friendly Nations Visa costing approximately $2,000 in legal fees and additional costs for documentation. The Pensionado Program requires proof of a lifetime pension of at least $1,000 per month.

Residency Options

• Paths to Residency: Routes to residency include the Friendly Nations Visa, Pensionado Program, and the Reforestation Visa.
• Residency Requirements: Requirements typically include financial proof, health certificates, and clean criminal records. Residency benefits include tax advantages and access to healthcare.
• Transitioning to Permanent Residency: Transitioning from temporary to permanent residency usually involves maintaining the visa status for a certain period (typically two years) and meeting financial and health criteria.

Living Conditions

• Cost of Living: Panama offers a relatively low cost of living, with monthly expenses for a single person estimated at $1,200 to $2,000. This includes rent, food, and transportation. The local currency is the Panamanian Balboa (PAB), which is pegged to the US Dollar (1 USD = 1 PAB).
• Infrastructure: Panama has excellent internet reliability, with widespread availability of high-speed connections. Co-working spaces are abundant, especially in Panama City. The healthcare system is modern and accessible, with both public and private options.
• Additional Details: Opening a bank account in Panama requires proof of residence and income. Registering a company is straightforward, with attractive tax incentives for foreign investors. Local tax obligations are favorable, particularly for foreign-earned income.

Community and Networking

• Community Overview: Panama has a growing digital nomad and expatriate community, particularly in Panama City and beach areas like Bocas del Toro.
• Networking Opportunities: Numerous events and meetups cater to digital nomads and expats, including co-working space gatherings, professional networking events, and social clubs.
• Social Platforms: Popular platforms for networking include Facebook groups such as “Expats in Panama” and “Panama Digital Nomads,” as well as Meetup.com for local events.

Cultural Insights

• Local Customs: Panamanians are friendly and family-oriented. Common customs include greeting with a handshake and being punctual for social events.
• Language Tips: Spanish is the official language, but English is widely spoken, especially in tourist areas and business settings.
• Safety and Laws: Panama is generally safe, but it’s advisable to stay vigilant in crowded areas and avoid displaying valuables. Adhere to local laws, especially those related to drugs and alcohol.
• Do’s and Don’ts: Do be respectful of local traditions and dress modestly in rural areas. Don’t criticize the government or local customs publicly.

Summary

Pros:

• Warm climate and beautiful natural scenery.
• Favorable tax environment for foreign income.
• Growing community of digital nomads and expats.
• Excellent internet and modern amenities.

Cons:

• High humidity and occasional heavy rainfall.
• Bureaucratic processes can be slow.
• Language barrier in rural areas.
• Key Reasons: Panama’s strategic location, favorable cost of living, modern infrastructure, and vibrant expat community make it an attractive destination for digital nomads.

Useful Contacts and Resources

• Local Government and Services:
  • Panama Immigration Service: migracion.gob.pa
  • Ministry of Foreign Affairs: mire.gob.pa
• Essential Services:
  • Public Transportation: mi.bus
  • Healthcare Information: css.gob.pa
• Emergency phone number:
  • General Emergency: 911
  • Police: 104
  • Fire Department: 103
  • Medical Emergencies: 911