Panama’s Residency Applications: What Are Applicants Choosing?

The Mundo team is interested in financial freedom and in helping people set out the tools and strategies to achieve it. In a business world that is wide and complex, especially in the interconnected world of the digital era, more creative combinations are needed to achieve the desired results. 

Today Mundo has picked our favorite country when it comes to second residency, a place where you can submit a permanent resident application through investment and become a legal resident: Panama. This is also the country with one of the most advanced retirement programs in the world. 

For Panama, 2024 was a successful year when it comes to residency applications and approvals, yet we thought it would be interesting to know how each program performed separately.

Residency Applications Increase for the Friendly Nations After a Long Time

When the Friendly Nations Visa was created, it was one of the most innovative of its kind. We're talking about a program that didn't require any investment and that offered immediate permanent residency to the lucky citizens of approximately 50 stipulated countries.

But things have changed since that day. At the moment of writing, the Friendly Nations Visa accepts residency applications but grants temporary residency. Nonetheless, the essence of the program remains the same: applicants must be from one of the friendly countries and they must prove having financial ties to Panama.

In 2021, major amendments were made to the program. One is the removal of the permanent residency application, changing it for a 2-year period.

Another change was reflected in another option to prove financial connections. Before, you could prove your financial ties by owning a company, but now you need either a fixed deposit, a real estate investment, or a job contract by a Panamanian entity. At that time, the list of friendly countries shrank, and some countries were removed. 

After a peak in 2021, we can see a drop in the number of residency applications approvals, also probably due to the COVID-19 pandemic aftermath.

Thus, the numbers remained low until 2024, when they bounced up again. Experts say that this is probably because applicants have had time and adapted to the new conditions.

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Pensionado Visa: Residency Applications for Retirees 

As mentioned above, the Pensionado Visa is one of the best retirement visas in the world, and it has proven its value. Reliable sources and publications dedicated exclusively to migration have published charts showing how the rate of approvals for residency applications has grown over the years. In the year of the pandemic, a little over 300 residency applications were approved when it comes to Pensionado, but the number grew year after year and reached over 1900 in 2024. 

What draws applicants to the Pensionado Visa? The truth is that the visa allows for practically a permanent resident application focused, of course, on retirees. Nonetheless, the program is not age restricted, which means anyone with a lifetime pension of at least $1000 a month can apply. This probably isn't the best option if you are planning to work in Panama because it doesn't allow you to obtain a job permit.

If this is a deal breaker, and if you have some money to invest, say $300,000, maybe it’s better to choose the Qualified Investor. 

Permanent Resident Application through Qualified Investor

Although this is not the only program to offer immediate permanent residency, it is by far the best. Thanks to the Qualified Investor, an applicant can submit a permanent resident application and become a permanent resident in only a few months. Unlike the previous programs in which investment is an option, here it's mandatory, but the benefits are considerable.

The program seems to have been geared with the purpose of encouraging real estate purchases because it has established a minimum of $300,000 while the other alternatives reach $500,000 and $750,000 in the stock market or fixed deposits.

We've discussed the perks of the Qualified Investor on numerous occasions, but numbers speak for themselves because the approvals for residency applications rose by 75%. It seems like the permanent resident application plus the abundant offer of luxury real estate in the country have made an impression on applicants.

Disclaimer: this article is merely informative and is not based on formal research. Therefore, this article should not be taken as financial, migration, or investment advice. Before taking any step forward in this direction, make sure to consult with a certified professional.

Submitting Your Permanent Resident Application with Mundo

To sum up, it's clear that residency applications are thriving in Panama and that every year encounters more approvals. All programs are highly successful because they have been prepared with the applicants' interests in mind. Furthermore, each of the programs caters to different needs, which makes Panama one of the most solid second residency hubs in the world.

You can start your permanent resident application process right now with the help of Mundo. We are connected with lawyers, advisors, realtors, and professionals who have expertise in Panama and many of them live or have lived in the country. 

Contact us and ask us about any of the residency programs, and also about Panama foundations, free zones, business incorporation, opening of bank accounts, and real estate acquisition.

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