Panama Permanent Residency by Investment: New Rules Effective September 16

Key Changes to Panama's Permanent Residency by Investment Programme

Executive Decree No. 17 of September 8, 2026, replaces the regulations governing the programme since 2020. It introduces new requirements for real estate investments, bank deposits and securities, along with stricter checks on applicants ^[1] Source: Executive Decree No. 17 of September 8, 2026, published in the Official Gazette of Panama .

Minimum real estate investment thresholds have changed

Previously, investors could obtain permanent residency by purchasing property worth at least $300,000, whether it was new or previously owned.

The minimum investment now depends on the type of property:

• $300,000 — newly built properties purchased directly from a developer, including off-plan developments;
• $500,000 — resale properties.

The changes are intended to support Panama's construction industry. The government aims to attract investment into new developments, create jobs, and increase tax revenue.

Stricter checks on the source of funds and property values

Investors must provide evidence of where the money used to purchase their property came from. This includes bank statements and documents confirming that the payment was transferred to the seller.

If the immigration authorities have doubts about a property's declared value, they can request an independent valuation to establish whether the purchase price meets the minimum investment requirement.

Minimum bank deposit requirement has been reduced

Foreign nationals can now obtain permanent residency by depositing $500,000 with either of Panama's two state-owned banks: Banco Nacional de Panamá or Caja de Ahorros. This is $250,000 less than the $750,000 required for deposits with private banks. In both cases, the deposit must be maintained for at least five years.

More types of securities are now eligible

The minimum investment remains $500,000, but investors now have a wider range of eligible securities to choose from. 

Qualifying investments include:

• government bonds and other debt securities issued or guaranteed by the Panamanian government;
• shares and corporate bonds that meet the programme's requirements;
• units in private equity and venture capital funds that finance projects in Panama;
• units in investment funds, including real estate funds.

Investors can choose a single type of security or spread their investment across several. Securities must be purchased through a licensed broker and held for at least five years.

What the changes mean for investors

Panama's new permanent residency by investment rules took effect on September 16, 2026. Transitional provisions apply to investors who began the application process before that date. If an investor:

• submitted an application before September 16, 2026 — it will be reviewed under the previous rules;
• purchased a property or signed a binding purchase agreement before September 16, 2026 — they can apply under the previous requirements until March 16, 2027.

All other applicants must meet the new requirements for permanent residency by investment.

5 reasons for investors to choose Panama

1. Rental income. Property owners in Panama can rent out their homes and earn income in US dollars. The average gross rental yield on residential property is 6.94% per year, according to Global Property Guide's September 2026 data ^[2] Source: Residential property rental yields in Panama, Global Property Guide .

2. A path to citizenship. Foreign nationals can apply for Panamanian citizenship after five years of continuous residence. Applicants must demonstrate knowledge of Spanish, as well as Panama's history, geography, and political system. They must also formally declare that they renounce their previous citizenship.

A Panamanian passport allows visa-free travel to the Schengen Area for up to 90 days within any 180-day period. Permanent residency alone does not provide this benefit: investors must first obtain Panamanian citizenship.

3. Travel opportunities. Tocumen International Airport in Panama City offers direct flights to destinations across North and South America. Bogotá is approximately 1 hour and 40 minutes away, Miami takes around 3 hours and 15 minutes, and New York is about a 5.5-hour flight.

Panama has beaches on both the Pacific and Caribbean coasts. The Bocas del Toro islands offer diving and snorkelling around coral reefs, while Red Frog Beach is known for its rainforest trails and tiny, brightly coloured frogs.

4. Permanent residency for the whole family. Investors can obtain permanent residency in Panama together with their spouse, children aged 24 or younger, and dependent parents, subject to the programme's eligibility requirements.

One qualifying investment covers the entire family. There is no need to purchase separate properties or open additional bank deposits for each family member.

5. A comfortable climate year-round. Panama has no cold winters. Daytime temperatures in Panama City typically range from +29 to +32°C, while nighttime temperatures rarely fall below +23°C. There is no need for winter coats or warm boots, and beach holidays are possible throughout the year.

How to obtain residency by investment in other countries

Cyprus offers permanent residency to foreign investors who invest at least €300,000. Eligible investments include real estate, shares in Cypriot companies and securities. Permanent residency is granted indefinitely. To maintain their status, investors must retain their qualifying investment and visit Cyprus at least once every two years.

Portugal offers residency by investment starting at €250,000. Applicants can choose from five investment options, including contributions to cultural and artistic projects, research, investment funds and businesses.

Greece grants Golden Visas to foreign nationals who invest at least €250,000. Eligible options include real estate, securities and bank deposits. Residence permits are renewed every five years. Investors can apply for Greek citizenship after seven years of residence, provided they meet the naturalisation requirements.

Passportivity helps investors obtain residence permits and second citizenship by investment. Book a free consultation with our experts.