What is the Panama Friendly Nations Visa?

The Panama Friendly Nations Visa grants residency to citizens of 51 listed countries including the US, Canada, the UK and most EU member states. It originally required only a US$5,000 bank deposit. Executive Decree 197 of May 2021, amended by Decree 226 of July 2021 and in force from 7 August 2021, replaced that with three options: the Panama Friendly Nations, Labor Reasons route, based on a genuine employment relationship with a Panamanian company; US$200,000 in Panamanian real estate; or a US$200,000 fixed-term bank deposit held for at least three years.

Which countries qualify for the Panama Friendly Nations Visa?

Exactly 51 countries, set out in Article 2 of Executive Decree 416 of 2012 as amended by Executive Decree 226 of 20 July 2021 and Executive Decree 16 of 31 August 2026, which added Ecuador. They include the United States, Canada, the United Kingdom, Australia, Germany, France, Spain, Argentina, Brazil, Chile, Mexico, Peru, South Korea, Japan and most EU member states. Italy is not among them, because Italian citizens are covered by a separate bilateral treaty. Taiwan was removed after Panama switched diplomatic recognition to China in 2017. See our full country list for all 51.

What changed about the Friendly Nations Visa in 2021?

Before 2021, the FNV required only a US$5,000 bank deposit and proof of professional or economic ties to Panama. In 2021, Panama changed the program to require either a US$200,000 minimum investment (real estate or fixed-term deposit) or, on Labor Reasons, a genuine employment relationship with a Panamanian company. The easy bank deposit route no longer exists.

Is the Panama Friendly Nations Visa still worth it in 2026?

For most applicants, the FNV investment route is harder to justify now that it requires US$200,000. The Panama Qualified Investor Visa starts at US$300,000 for new property and US$500,000 for resale, and works to a stated decision period, which makes the FNV investment route less competitive for some buyers. The Labor Reasons route does not require the US$200,000 property or fixed-deposit economic tie used by the investment-based Friendly Nations alternatives. It does, however, require a genuine employment structure and the associated business, employment and compliance costs. Applicants should compare all Panama residency options before defaulting to the FNV.

How long does the Panama Friendly Nations Visa take?

On Labor Reasons, the practical estimate is about 3 months from a complete filing to the two-year provisional permit. It is not guaranteed and it is not a fixed legal term, because Migración can take longer if there are corrections, checks or administrative changes. For the investment alternatives, the process takes approximately 3 to 6 months after a complete application to receive provisional residency. Provisional residency lasts 2 years, after which you apply for permanent residency, which takes an additional 2 to 4 months. Total time from application to permanent residency is typically 2.5 to 3 years.

Panama Friendly Nations Visa 2026: Is US$200K Worth It?

The Friendly Nations Visa isn't what it used to be, and that might be a good thing.

When Panama launched this program in 2012, you could show up with US$5,000 in a local bank account and walk out with permanent residency. Those days ended in August 2021. Now you need US$200,000 tied up in real estate or a bank deposit, plus a two-year wait before your status becomes permanent.

Most guides treat these changes like bad news. I see it differently: the higher bar filters out applicants who weren't serious, which means faster processing and fewer bureaucratic headaches for those who are.

I hold residency in both Panama and Paraguay. This guide covers the Friendly Nations Visa as it works in 2026, rather than the 2019 version that still dominates Google results.

What's inside: real costs, actual timeline, and whether it's worth US$200K of your money.

Eligible Countries

Do you even qualify? Exactly 51 countries are listed, and your nationality alone isn't enough anymore, because you also have to prove economic ties through one of three routes.

The list comes from Article 2 of Executive Decree 416 of 2012, as amended by Executive Decree 226 of 20 July 2021 and Executive Decree 16 of 31 August 2026, which added Ecuador with effect from 1 September 2026. Nothing published since has changed it.

North America: United States, Canada, Mexico

Europe: United Kingdom, Germany, France, Spain, Netherlands, Belgium, Switzerland, Austria, Sweden, Norway, Denmark, Finland, Ireland, Portugal, Poland, Czech Republic, Croatia, Cyprus, Estonia, Greece, Hungary, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Monaco, Montenegro, Andorra, San Marino, Serbia, Slovakia

Asia Pacific: Australia, New Zealand, Japan, South Korea, Singapore, Hong Kong

Latin America: Argentina, Brazil, Chile, Uruguay, Costa Rica, Paraguay, Peru, Ecuador

Other: Israel, South Africa

Two names you will see on other lists that do not belong there. Taiwan came off when Panama switched diplomatic recognition to China in 2017 and does not appear in the 2021 decrees. Italy has never been on this list, because Italian citizens are covered by a separate bilateral treaty with its own requirements.

The complete list of all 51, with the amendment chain

If your country is not on the list, several Panama routes have no nationality restriction at all, including forestry investment from US$80,000, Pensionado, Self-Solvency and Qualified Investor.

Check which route fits your situation

Investment Requirements

The US$200,000 question This is where most people's eyes glaze over. Three options, same minimum investment, very different implications for your money.

You must demonstrate economic ties to Panama through one of these options:

Option 1: Real Estate - US$200,000 minimum

Purchase property in Panama worth at least US$200,000

Decreto 226 permits the purchase to be financed through a Panamanian bank

How the US$200,000 threshold is measured on a financed purchase is confirmed with counsel before you commit

Property registered in your name or your Panama corporation

Option 2: Bank Deposit - US$200,000 minimum

Fixed-term certificate of deposit at a licensed Panama bank

Minimum 3-year term

Funds must come from abroad

Option 3: Panama Friendly Nations, Labor Reasons

A genuine employment relationship with a Panamanian company

Company must be registered and in good standing

Less common path, as most applicants prefer investment options

Also required: Open a personal Panama bank account with US$5,000 minimum balance. This demonstrates financial solvency. The balance does not need to be maintained after approval and can be used to cover costs.

Timeline and Process

How long it takes The marketing says 'path to permanent residency.' In practice it is closer to three years. Here's why, and why that's not necessarily a problem.

Phase 1: Provisional Residency (6 months)

Gather documents in your home country (apostilled)

Travel to Panama

Open bank account, complete investment

Submit application to Immigration

Receive temporary residency card

Processing takes approximately 6 months (sometimes less)

On Labor Reasons the estimate is shorter: about 3 months from a complete filing to the two-year provisional permit. It is an estimate, not a guaranteed period, and Migración can take longer if there are corrections, checks or administrative changes.

Phase 2: Provisional period (2 years)

Maintain your qualifying basis throughout this period: the investment or, for Labor Reasons, the employment relationship and its documents

The applicant must maintain a valid qualifying basis during the provisional period. If the employment relationship changes, the new structure should be reviewed and documented promptly rather than waiting until the permanent-residence application.

Visit Panama at least once every 2 years

You can work with a Panama work permit during this time

Phase 3: Permanent Residency (6 months)

After the two-year provisional period, an eligible applicant may apply for permanent residence and must again demonstrate the applicable qualifying basis.

Submit updated documents

Processing takes approximately 6 months

Receive permanent residency card

Attend the Tribunal Electoral in person for the cédula. The photograph, signature and identifying data are taken there, and the Tribunal sets no fixed period for an ordinary appointment.

Total timeline: Approximately 2.5-3 years to permanent residency

Required Documents

Main Applicant:

Valid passport (6+ months validity)

5 passport photos

Criminal background check (apostilled, less than three months old)

Health certificate from Panama doctor

Proof of economic ties (property deed, bank certificate, or employment letter)

Bank reference letter showing US$5,000+ balance

Sworn declaration form

Power of attorney for your lawyer

For Spouse:

All documents above (except economic ties proof)

Marriage certificate (apostilled)

For Children:

Birth certificate (apostilled)

All standard documents

All foreign documents must be apostilled or authenticated by a Panamanian consulate.

Which office issues the apostille depends on who issued the document, not on where you live. Federal Canadian records such as an RCMP check go to Global Affairs Canada, and federal United States records go to the US Department of State. Those are examples rather than the whole list, and documents issued by a province, state or territory usually go to that jurisdiction's own authority instead. Confirm the right office before you post anything, because sending a document to the wrong one costs weeks.

A criminal record check usually carries no expiry of its own, so Panama imposes one. You will see six months quoted in places. We work to three months from the date of issue, because a document that arrives at the edge of its window leaves no room for a correction, a re-order or a slow apostille desk, and those are ordinary events rather than rare ones.

Costs

What you will spend The US$200,000 investment gets all the attention. Government and legal fees come on top, depending on your family size, and that's before flights, hotels, and the inevitable surprises.

Fees vary with family size and documents. Get current prices for your situation.

Dependents

The US$200,000 investment threshold is the same whether you apply alone or with a family of four. One qualifying investment, whether a real estate purchase or a fixed deposit, covers the main applicant plus all eligible dependents on the same application.

This is the detail most prospects miss. They assume each family member needs their own qualifying investment. They do not.

Who counts as a dependent on the FNV

Three categories of family members can be included:

Spouse. Any nationality. A US citizen primary applicant can include a Russian spouse. A Canadian primary applicant can include a Chinese spouse. The dependent's passport does not need to appear on the eligible-countries list. Only the main applicant's does.

Children under 25. Those under 18 qualify automatically. Older children, between 18 and 25, must be unmarried, enrolled as full-time students, and financially dependent on the main applicant. The rule traces to Decreto Ejecutivo 320 of August 8, 2008, which governs Panama dependent visa eligibility across multiple residency programs including the FNV.

Parents. Financially dependent parents of the main applicant can be included.

What dependents cost on the Investment route

The US$200,000 investment does not change. What changes:

Government and legal fees per dependent

Apostille and translation costs per dependent

For a family of four under the Investment route, the per-dependent fees are added on top of the US$200,000 base. That is not a second US$200,000. Get current prices for your situation.

Why the Investment route is family-friendly compared to alternatives

Other Panama residency pathways charge differently. On the Labor Reasons route, the per-dependent legal fees run substantially higher than the Investment route. The Investment route's per-dependent cost is dominated by government fees rather than legal fees, which keeps it cheaper for larger families.

If you are applying with three or more dependents, the Investment route is almost always more cost-efficient than the alternatives.

Benefits

Territorial Taxation

Panamanian-source income is taxed rather than worldwide income. Law 526 adds a specific economic-substance regime for certain foreign passive income earned by covered multinational-group entities, from fiscal year 2027. What Law 526 does and does not cover

Only Panama-source income is taxed (up to 25%)

No wealth, inheritance, or gift taxes

Working in Panama

Friendly Nations residency does not include the right to work. A work permit is a separate application to MITRADEL.

Banking Access

Full access to Panama international banking system

US dollar economy, no currency risk

Path to Citizenship

Eligible for naturalization after 5 years of permanent residency

Requires Spanish proficiency and civics knowledge

Oath of renunciation required (most Western countries do not enforce)

Minimal Presence Requirements

Visit once every 2 years to maintain status

No requirement to live full-time in Panama

Friendly Nations vs Other Panama Options

Feature	Friendly Nations	Qualified Investor	Self-Solvency
Investment	US$200,000	US$300,000 to US$750,000	US$300,000
Eligible Countries	51 nations	Any	Any
Time to Permanent	~2.5 years	Certificate up to 15 business days, decision up to 30 business days, each from a complete file	~2.5 years
Best For	FN passport holders	Speed priority	Non-FN nationalities

If you hold a passport from an eligible country and can wait 2+ years for permanent status, the Friendly Nations Visa offers a lower investment threshold than other options.

If speed matters more than cost, the Qualified Investor Visa works to a stated decision period, up to 15 business days for the investment certificate and up to 30 business days for the residency decision, each from a complete file. It requires US$300,000 for a new property bought first-hand or US$500,000 for a resale, and other figures for securities and deposits.

Common Questions

Can I start the process while visiting as a tourist?

Yes. Many applicants enter Panama on a tourist visa, open their bank account, complete their investment, and submit their residency application before their tourist status expires.

Do I need a lawyer?

Legally, yes. Panama requires all immigration applications to be submitted by a licensed Panamanian attorney. This is not optional.

What if I am denied?

You can file a reconsideration or appeal. Denials are usually due to incomplete documentation or issues with the investment proof. Working with an experienced attorney minimizes this risk.

Can I include non-eligible family members?

Yes. Your spouse and children can be included as dependents even if they hold passports from non-eligible countries, as long as you (the main applicant) qualify.

What happens to my investment after approval?

Real estate: You own it and can sell after receiving permanent residency.

Bank deposit: Locked for 3 years per the certificate terms.

Is the Friendly Nations Visa Right for You?

This visa makes sense if you:

Hold a passport from one of the 51 eligible countries

Have US$200,000+ to invest in real estate or bank deposit

Can wait 2+ years for permanent residency

Value Panama banking and tax benefits

Consider other options if:

Your country is not on the eligible list (try Self-Solvency or Qualified Investor)

You want a residency decision on a stated timetable (try Qualified Investor, from US$300,000 for a new property and US$500,000 for a resale)

You have pension income (try Pensionado, lower requirements)

You hold a university degree in a profession Panama does not restrict, which may qualify you for the professional route for degree holders.

One Thing Most Guides Won't Tell You

Company ownership by itself is not the qualifying basis. Under the Labor Reasons route, the qualifying basis is the genuine labor relationship and the documentation supporting it. If a Panamanian company is part of your file, you're on the hook for annual compliance filings. Miss them and you're looking at US$2,000+ in penalties. This caught a lot of early Friendly Nations visa holders off guard.

We wrote a full breakdown of the compliance situation - worth reading before you commit.

## Next Steps

The Friendly Nations Visa offers a balanced path to Panama residency, lower investment than the Qualified Investor program, and a clear route to citizenship. Friendly Nations residency does not include the right to work. A work permit is a separate application to MITRADEL.

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Last updated: July 2026. Country list verified against Executive Decree 226 of 20 July 2021, with every subsequent decree year checked for amendments. Requirements change periodically and we confirm them with licensed Panamanian counsel before every client engagement.

Plan B Expat provides consulting and coordination, not legal or tax advice. Always take counsel from the licensed attorneys, accountants and tax specialists in our vetted network.

Panama Friendly Nations Visa 2026: Worth US$200K?